<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE 
FINANCIAL STATEMENTS OF CLAYTON HOMES, INC FOR THE THREE MONTHS ENDED 
SEPTEMBER 30, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH 
FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          JUN-30-1998
<PERIOD-START>                              JUL-1-1997
<PERIOD-END>                               SEP-30-1997
<CASH>                                          72,366
<SECURITIES>                                         0
<RECEIVABLES>                                  500,663
<ALLOWANCES>                                     4,919
<INVENTORY>                                    113,796
<CURRENT-ASSETS>                                     0
<PP&E>                                         274,660
<DEPRECIATION>                                  56,883
<TOTAL-ASSETS>                               1,065,798
<CURRENT-LIABILITIES>                           99,334
<BONDS>                                         21,238
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                        11,865
<OTHER-SE>                                     770,518
<TOTAL-LIABILITY-AND-EQUITY>                 1,065,798
<SALES>                                        208,946
<TOTAL-REVENUES>                               262,695
<CGS>                                          143,554
<TOTAL-COSTS>                                  214,348
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                 1,000
<INTEREST-EXPENSE>                               (532)
<INCOME-PRETAX>                                 47,879
<INCOME-TAX>                                    18,200
<INCOME-CONTINUING>                             29,679
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                    29,679
<EPS-PRIMARY>                                     0.25
<EPS-DILUTED>                                     0.25