<TABLE> <S> <C>

<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF FAMILY HEALTH SYSTEMS, INC. FOR THE NINE MONTHS ENDED
MAY 31, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<MULTIPLIER> 1

<S>                             <C>
<PERIOD-TYPE>                   9-MOS
<FISCAL-YEAR-END>                          AUG-31-1998
<PERIOD-START>                             MAY-31-1998
<PERIOD-END>                               MAY-31-1998
<CASH>                                         145,287
<SECURITIES>                                   373,434
<RECEIVABLES>                                   33,179
<ALLOWANCES>                                         0
<INVENTORY>                                          0
<CURRENT-ASSETS>                               551,900
<PP&E>                                               0
<DEPRECIATION>                                       0
<TOTAL-ASSETS>                                 551,900
<CURRENT-LIABILITIES>                                0
<BONDS>                                              0
                                0
                                          0
<COMMON>                                         3,351
<OTHER-SE>                                     548,549
<TOTAL-LIABILITY-AND-EQUITY>                   551,900
<SALES>                                              0
<TOTAL-REVENUES>                               313,456
<CGS>                                                0
<TOTAL-COSTS>                                        0
<OTHER-EXPENSES>                                 4,060
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                   0
<INCOME-PRETAX>                                309,397
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                                  0
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   309,397
<EPS-BASIC>                                      0.154
<EPS-DILUTED>                                    0.154


</TABLE>



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