<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM HEALTH CARE AND RETIREMENT CORPORATION'S QUARTERLY REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 1996, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> JUN-30-1996 <CASH> 4,746 <SECURITIES> 0 <RECEIVABLES> 117,197 <ALLOWANCES> 12,803 <INVENTORY> 0 <CURRENT-ASSETS> 136,358 <PP&E> 603,278 <DEPRECIATION> 92,730 <TOTAL-ASSETS> 770,195 <CURRENT-LIABILITIES> 137,827 <BONDS> 174,831 <COMMON> 489 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <OTHER-SE> 379,161 <TOTAL-LIABILITY-AND-EQUITY> 770,195 <SALES> 0 <TOTAL-REVENUES> 381,912 <CGS> 0 <TOTAL-COSTS> 306,353 <OTHER-EXPENSES> 14,787 <LOSS-PROVISION> 3,020 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> 40,801 <INCOME-TAX> 12,240 <INCOME-CONTINUING> 28,561 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 28,561 <EPS-PRIMARY> 0.59 <EPS-DILUTED> 0.59