<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF REEDS JEWELERS, INC. FOR THE SIX MONTHS ENDED AUGUST 31,
1997, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<CURRENCY> U.S. DOLLARS
       
                             
<PERIOD-TYPE>                   6-MOS
<FISCAL-YEAR-END>                          FEB-28-1998
<PERIOD-START>                             MAR-01-1997
<PERIOD-END>                               AUG-31-1997
<EXCHANGE-RATE>                                      1
<CASH>                                              42
<SECURITIES>                                         0
<RECEIVABLES>                                   38,543
<ALLOWANCES>                                     2,949
<INVENTORY>                                     38,248
<CURRENT-ASSETS>                                77,704
<PP&E>                                          28,369
<DEPRECIATION>                                  15,887
<TOTAL-ASSETS>                                  98,052
<CURRENT-LIABILITIES>                           16,253
<BONDS>                                         45,215
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           422
<OTHER-SE>                                      32,354
<TOTAL-LIABILITY-AND-EQUITY>                    98,052
<SALES>                                         40,078
<TOTAL-REVENUES>                                45,855
<CGS>                                           25,667
<TOTAL-COSTS>                                   25,667
<OTHER-EXPENSES>                                17,306
<LOSS-PROVISION>                                 1,690
<INTEREST-EXPENSE>                               1,718
<INCOME-PRETAX>                                   (526)
<INCOME-TAX>                                      (166)
<INCOME-CONTINUING>                               (360)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                    (59)
<CHANGES>                                            0
<NET-INCOME>                                      (419)
<EPS-PRIMARY>                                    (0.10)
<EPS-DILUTED>                                    (0.10)