SECURITIES AND EXCHANGE COMMISSION 
                             Washington, D.C.  20549 
 
                                   Form 10-Q 
 
(x)  Quarterly Report Pursuant to Section 13 or 15(d) of the Security Exchange 
     Act of 1934 For the Quarterly period ended December 28, 1996 
 
                                     or 
 
(  )  Transition Report Pursuant to Section 13 or 15(d) of the Securities       
      Exchange Act of 1934 For the Transition period from ______ to _______ 
 
                         Commission File Number 1-7138 
  
                                  CAGLE'S, INC. 
 
                GEORGIA                                58-0625713 
  (State or other Jurisdiction of         (I.R.S. Employer Identification No.) 
   Incorporation or Organization) 
 
                 2000 Hills Avenue, N. W. Atlanta, Georgia  30318 
 
              (Address of Principal Executive Offices and Zip Code) 
 
                                  (404) 355-2820 
 
              (Registrant's Telephone Number, Including Area Code) 
 
Indicate by check mark whether the registrant (1) has filed all reports  
required to be filed by Section 13 or 15(d) of the Securities Exchange Act  
of 1934 during the preceding 12 months (or for such shorter period that the  
Registrant was required to file such reports), and (2) has been subject to  
such filing requirements for the past 90 days. 
 
                  Yes  __x__                   No ______ 
 
Indicate the number of shares outstanding of each of the issuer's classes of 
common stock, as of the latest practicable date 
 
       Class                                    Outstanding December 28, 1996 
--------------------------------------          ----------------------------- 
Class A Common Stock, $1.00 Par Value	                 5,006,282 
 
 
<PAGE> 
 
<TABLE> 
 
PART 1.  FINANCIAL INFORMATION 
 
Cagle's, Inc. And Subsidiary 
Consolidated Balance Sheets 
December 28, 1996 and March 30, 1996 
(In Thousands, Except Par Value) 
(Unaudited) 
<CAPTION> 
                                                   12/28/96       03/30/96 
                                                 ------------   ------------- 
<S>                                              <C>            <C> 
Assets 
----------------------------------------- 
CURRENT ASSETS 
Cash                                                  $  884          $  326 
Accounts receivable, net of allowance for 
doubtful accounts of $557 and $315 at 
Dec. 28, 1996 and March 30, 1996, 
respectively                                          16,398          18,631 
Inventories                                           36,633          32,908 
Insurance Proceeds Receivable                          4,483           9,183 
Other current assets                                     791           2,481 
                                                 ------------    ------------ 
Total current assets                                  59,189          63,529 
                                                 ------------    ------------ 
INVESTMENTS IN AND RECEIVABLES FROM 
UNCONSOLIDATED AFFILIATES                             17,947          14,675 
OTHER ASSETS                                             948           1,038 
PROPERTY, PLANT, AND EQUIPMENT                        97,276          94,538 
Less accumulated depreciation                        (35,764)        (31,093) 
                                                 ------------    ------------ 
Property, plant, and equipment, net                   61,512          63,445 
                                                 ------------    ------------ 
TOTAL ASSETS                                        $139,596        $142,687 
                                                 ============    ============ 
</TABLE> 
<TABLE> 
<CAPTION> 
LIABILITIES & STOCKHOLDERS' EQUITY                                            
-----------------------------------------                                     
<S>                                              <C>             <C> 
CURRENT LIABILITIES                                                          
Current Maturities                                $    2,625      $    1,570 
Accounts payable                                      12,746          13,489 
Accrued expenses                                       6,847           7,776 
Current income taxes payable                               0             184 
Current deferred income taxes                              0               0 
                                                 ------------    ------------ 
Total Current Liabilities                             22,218          23,019 
                                                 ------------    ------------ 
LONG TERM DEBT (net of current maturities)            57,810          58,508 
NONCURRENT DEFERRED INCOME TAXES                       8,652           9,139 
                                                 ------------    ------------ 
STOCKHOLDERS' EQUITY: 
Common stock, $1 par value; authorized 9,000  
shares and 5006 and 5006 shares issued 
respectively                                           5,006           5,006 
Capital in excess of par value                         7,946           7,946 
Retained earnings                                     37,964          39,069 
                                                 ------------    ------------ 
Total stockholders' equity                            50,916          52,021 
                                                 ------------    ------------ 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY         $ 139,596       $ 142,687 
                                                 ============    ============ 
<FN> 
The accompanying notes are an integral part of these consolidated financial 
statements. 
</TABLE> 
<PAGE> 
<TABLE> 
 
Cagle's, Inc., & Subsidiary 
Consolidated Statements of Income 
For the 13 and 39 weeks ended Dec. 28, 1996 and Dec. 30, 1995 
(Amounts in thousands, except per share data) 
(unaudited) 
                                        13 wks    13 wks    26 wks    26 wks 
                                         ended     ended     ended     ended 
                                       12/28/96  12/30/95  12/28/96  12/30/95 
                                       --------  --------  --------  -------- 
<S>                                    <C>       <C>       <C>       <C> 
Net Sales                               $85,506   $64,439  $261,341  $231,103 
 
Costs and Expenses: 
Cost of Sales                            80,169    61,295   252,095   219,182 
Selling and Delivery                      2,873     2,100     8,110     7,125 
General and Administrative                1,575     1,404     4,911     4,810 
                                        -------  --------  --------  -------- 
Total costs and expenses                 84,617    64,799   265,116   231,117 
                                        -------  --------  --------  -------- 
Income From Operations                      889      (360)   (3,775)      (14) 
 
Other Income(Expense):                                                   
Interest expense                         (1,157)     (714)   (3,637)   (1,449) 
Income from unconsolidated 
affiliates and other 
income, net                               2,761     5,020     6,358    12,387 
                                       --------  --------  --------  -------- 
Income (Loss) Before Income Taxes         2,493     3,946    (1,054)   10,924 
 
(Provision) Benefit For Income Taxes       (948)   (1,517)      400    (3,988) 
                                       --------  --------  --------  -------- 
Net Income                               $1,545    $2,429      (654)    6,936
                                       ========  ========  ========  ======== 
Weighted Average Number Of 
Common Shares Outstanding                 5,006     5,009     5,006     5,021 
                                       ========  ========  ========  ======== 
Net (Loss) Income Per Common Share     $   0.31  $   0.48  $  (0.13) $   1.38 
Dividends Per Common Share                  .03       .03       .09       .09 
                                       ========  ========  ========  ======== 
 
<FN> 
The accompanying notes are an integral part of these consolidated  
financial statements. 
 
</TABLE> 
<PAGE> 
<TABLE> 
 
Cagle's, Inc & Subsidiary 
Consolidated Statements of Cash Flows 
For the 39 weeks ended December 28, 1996 and December 30, 1995 
(In Thousands) 
(unaudited) 
<CAPTION> 
                                                   Dec 28, 1996    Dec 30, 1995 
                                                  -------------   ------------- 
<S>                                               <C>             <C> 
CASH FLOWS FROM OPERATING ACTIVITIES:                                         
Net Income                                         $      (654)    $     6,936 
 
Adjustments to reconcile net income to net cash 
provided by operating activities: 
Depreciation and amortization                            5,559           4,083 
(gain)loss on disposal of property, plant and 
equipment                                                   10          (8,379) 
Changes in investment in and receivables from 
unconsolidated affiliates                               (3,272)         (2,311) 
Deferred Income Taxes                                     (487)          3,081
Changes in assets and liabilities: 
Accounts receivables, net                                2,233           1,115  
Inventories                                             (3,725)         (3,260)
Insurance Proceeds Receivable                            3,200          (9,655) 
Other current assets                                     1,690             960 
Accounts payable                                          (743)         (1,204) 
Accrued expenses                                          (929)           (923) 
Income taxes payable                                      (184)           (967) 
Deferred income taxes                                        0            (914)
                                                        -------         ------- 
Total Adjustments                                        3,352         (18,374) 
                                                        -------         ------- 
Net cash provided by operating activities                2,698         (11,438)
                                                        -------         ------- 
 
CASH FLOWS FROM INVESTING ACTIVITIES: 
Additions to property, plant, and equipment             (2,250)        (31,437) 
(Increase)decrease in other assets                          90            (420) 
Proceeds from the sale of property, plant, and equip.      114          10,137 
                                                        -------         ------- 
Net cash used in investing activities                   (2,046)        (21,720) 
                                                        -------         ------- 
Cash Flows from financing activities: 
Payments of long-term debt and capital 
lease obligations                                       (5,643)         (1,404) 
Repurchase Common Stock                                      0            (448) 
Proceeds from issuance of long-term debt                 6,000          35,000 
Dividends Paid                                            (451)           (452) 
                                                        -------         ------- 
Net cash provided by (used in)financing activities         (94)         32,696  
                                                        -------         ------- 
NET INCREASE(DECREASE) IN CASH                             558            (462)
CASH AT BEGINNING OF PERIOD                                326             462 
                                                        -------         ------- 
CASH AT END OF PERIOD                                   $  884          $    0 
                                                        =======         ======= 
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: 
Cash paid during the period for: 
Interest                                                $3,637          $1,449 
                                                        =======         ======= 
Income Taxes paid                                       $    0          $2,769 
                                                        =======         ======= 
<FN> 
The accompanying notes are an integral part of these consolidated financial 
statements. 
</TABLE> 
<PAGE> 
 
Cagle's, Inc. & Subsidiary 
Notes to Consolidated Condensed Financial Statements 
December 28, 1996 
 
 
1.  In the opinion of Management, the accompanying unaudited consolidated 
     financial statements contain all adjustments which are of normal and 
     recurring nature, necessary to present fairly the consolidated financial 
     position of Cagle's, Inc. and Subsidiary(the "Company") as of December 
     28, 1996 and March 30, 1996 and the results of their operations for the 13 
     weeks and 39 weeks ended December 28, 1996 and December 30, 1995 and 
     their cash flows for the 39 weeks ended December 28, 1996 and December 
     30, 1995. 
 
2.  The results of operations for the 13 weeks and 39 weeks ended December 28, 
     1996 and December 30, 1995 are not necessarily indicative of the results 
     expected for the full year. 
 
3.  Inventories consisted of the following:  (In Thousands) 
 
                                   December 28, 1996     March 30, 1996 
 
Finished Product	                        $15,231              $ 10,640 
Field Inventory and Breeders              16,724                17,630 
Feed, Eggs, and Medication                 2,920                 3,000 
Supplies	                                  1,758                 1,638 
                                    ----------------     -------------- 
                                         $36,633               $32,908 
 
4.  Use of Estimates 
     The preparation of financial statements in conformity with generally 
     accepted accounting principles requires management to make estimates 
     and assumptions that affect the reported amounts of assets and liabilities
     , the disclosures of contingent assets and liabilities at the date of the  
     financial statements, and the reported amounts of revenues and expenses 
     during the reporting period.  Actual results may vary from those
     estimates. 
 
5.  Investments in and Receivables from Unconsolidated Affiliates. 
     The Company accounts for its investments in three unconsolidated 
     affiliates using the equity method.  The Company's share of earnings and
     management fees from these affiliates was $1,913,000 and $1,397,000 and
     $5,460,000 and $3,807,000 respectively for the 13 weeks and 39 weeks
     ended December 28, 1996 and December 30, 1995. 
 
6.  Insurance Proceeds Receivable 
     As of December 28, 1996, the Company has accrued $4,483,000 for the 
     receipt of insurance proceeds related to the fire at the Company's Pine 
     Mountain Plant on June 24, 1995.  The Company received $3,200,000 as an 
     advance on the claim during the 9 months ended December 28, 1996.  The  
     adjusting of the total claim is continuing. 
 
<PAGE>

Management's Discussion and Analysis of Financial  
Condition and Results of Operation 
December 28, 1996 
 
 
Financial Condition 
 
The Company's Financial condition improved during the quarter as a result of a 
return to profitable operations which allowed some reduction in debt. 
Moderation in the price of feed grains reduced demands for cash and borrowing
levels in total. As of December 28, 1996, $26 Million was advanced on the $35
Million revolver, however, $4 million of this advance was utilized to retire
the Industrial Revenue Bonds that had financed construction of a feed mill. 
 
Results of Operations 
 
Sales for the 13 weeks and 39 weeks ended December 28, 1996 increased 32.7% 
and 13.1% respectively as compared to the same periods of a year ago.  This 
increase is due mainly to the return of the Pine Mountain Valley facility to 
production.  It was out of production from June 24, 1995 to late November 1995 
and was not at full pre-fire production until mid fourth quarter of a year ago. 
 
In addition, the Georgia Dock reported market price for the 13 weeks and 39 
weeks averaged 11.3% and 12.6% higher, respectively,  than year ago prices 
during the same periods. 
 
Gross margins improved for the quarter ended December 28, 1996 by 1.3% as 
compared to year ago levels, but for the 39 weeks, margins were 1.7% lower.   
The current quarter reflected the moderation of grain prices and higher market 
prices for poultry, especially in the export sector.  The lower margins for the 
39 week period ended December 28, 1996 as compared to year ago levels reflect  
the full effect of record high grain prices during the summer and early fall. 
 
Selling, Delivery and Administrative Expenses 
 
Selling, delivery and administrative expenses increased by 26.9% and 9.1% 
respectively for the 13 weeks and 39 weeks ended December 28, 1996 and 
December 30, 1995.  This increase is the result of increased storage cost 
required for higher frozen product production in support of domestic and  
export sales. 
 
Interest Expense 
 
Interest expense was 62.0% and 151.0% higher respectively for the 13 weeks and 
39 weeks ended December 28, 1996 and December 30, 1995 and is the direct 
result of higher borrowing levels necessitated by the building of the new plant 
at Pine Mountain Valley, Georgia and to support higher working capital needs 
brought about by high grain costs and increased inventory levels dictated by
our marketing mix. 
 
Other Income 
 
Other income for the 13 week and 39 week periods was 45.0% and 48.7% lower, 
respectively, than the same year ago periods due to the inclusion of gains from
insured recoveries in the year ago amounts. 
Other income for the quarter and 39 weeks ended December 28, 1996 included 
$770,000 which resulted from the settlement of a condemnation suit which had 
been pending for several years. 
 
Income Taxes 
 
The benefit provision for income taxes for the 39 weeks ended December 28, 1996 
reflects a credit at statutory rates for the loss currently reported. 
 
 
 
Part II	Other Information 
 
Item 9  Exhibits and Reports on Form 8-K 
	a.  Not applicable 
	b.  No reports on Form 8-K were filed during the quarter. 
 
Signatures 
 
	Pursuant to the requirements of the Securities and Exchange Act of 1934, 
the registrant has duly caused this report to be signed on its behalf by the  
undersigned thereunto duly authorized. 
 
 
 
Date:  February 7, 1997                      /s/      J. Douglas Cagle 
 
Date:  February 7, 1997                      /s/      Kenneth R. Barkley 
 
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