<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF SHONEY'S INC. FOR THE PERIOD ENDED AUGUST 3, 1997 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<MULTIPLIER> 1
       
                             
<PERIOD-TYPE>                   OTHER
<FISCAL-YEAR-END>                          OCT-26-1997
<PERIOD-START>                             OCT-28-1996
<PERIOD-END>                               AUG-03-1997
<CASH>                                      16,809,796
<SECURITIES>                                         0
<RECEIVABLES>                               13,307,504
<ALLOWANCES>                                 1,482,660
<INVENTORY>                                 46,076,422
<CURRENT-ASSETS>                           159,253,385
<PP&E>                                     811,687,480
<DEPRECIATION>                             334,262,617
<TOTAL-ASSETS>                             703,067,579
<CURRENT-LIABILITIES>                      252,596,195
<BONDS>                                    404,458,439
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                    48,568,109
<OTHER-SE>                                 (24,873,333)
<TOTAL-LIABILITY-AND-EQUITY>               703,067,579
<SALES>                                    934,227,876
<TOTAL-REVENUES>                           952,907,795
<CGS>                                      844,603,044
<TOTAL-COSTS>                              958,731,486
<OTHER-EXPENSES>                            79,155,637
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                          34,972,805
<INCOME-PRETAX>                             (5,823,691)
<INCOME-TAX>                                (6,114,000)
<INCOME-CONTINUING>                            290,309
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   290,309
<EPS-PRIMARY>                                     0.01
<EPS-DILUTED>                                     0.01