<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0001051827
<NAME> MERRILL LYNCH PREFERRED FUNDING III, L.P.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> OTHER
<FISCAL-YEAR-END> DEC-29-2000
<PERIOD-START> JAN-01-2000
<PERIOD-END> SEP-29-2000
<CASH> 1
<SECURITIES> 909,875
<RECEIVABLES> 15,760
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 925,636
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 925,636
<CURRENT-LIABILITIES> 15,760
<BONDS> 0
0
773,196
<COMMON> 136,680
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 925,636
<SALES> 0
<TOTAL-REVENUES> 47,666
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 47,666
<INCOME-TAX> 0
<INCOME-CONTINUING> 47,666
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 47,666
<EPS-BASIC> 0
<EPS-DILUTED> 0
</TABLE>