<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> DEC-31-1997 <CASH> 47,600 <SECURITIES> 0 <RECEIVABLES> 357,700 <ALLOWANCES> 4,600 <INVENTORY> 129,600 <CURRENT-ASSETS> 2,175,500<F1> <PP&E> 1,452,700 <DEPRECIATION> 789,400 <TOTAL-ASSETS> 3,773,000<F1> <CURRENT-LIABILITIES> 1,357,700 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 700 <OTHER-SE> 467,200 <TOTAL-LIABILITY-AND-EQUITY> 3,773,000 <SALES> 1,479,700<F2> <TOTAL-REVENUES> 1,524,900 <CGS> 908,300 <TOTAL-COSTS> 908,300 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 19,200<F3> <INCOME-PRETAX> 143,400<F4> <INCOME-TAX> 55,200 <INCOME-CONTINUING> 88,200<F4> <DISCONTINUED> 172,800<F5> <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 261,000 <EPS-PRIMARY> 3.53<F6> <EPS-DILUTED> 3.45 <FN> <F1>Includes net assets of discontinued operations of $1,424,000. <F2>Excludes sales of $1,833,100 of the Packaging Business, which was classified as a discontinued operation as of December 31, 1997. <F3>Excludes interest expense allocated to Grace's discontinued operations of $59,400 ($38,600 after-tax). <F4>Includes a pretax gain of $103,100 ($63,000 after-tax) on the sale of Grace's specialty polymers business and a pretax provision of $47,800 ($30,600 after-tax) relating to restructuring costs and asset impairments. <F5>Includes income from operations of the Packaging Business of $258,600 ($160,400 after-tax) and a $19,000 ($12,400 after-tax) reversal of previously recorded provisions for Grace's cocoa business. <F6>Grace's basic EPS was $3.53. In accordance with SFAS NO. 128, Grace no longer reports primary EPS. </FN>