FORM 10-QSB

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE 
     SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended				              
March 31, 1998

OR

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE 
     SECURITIES EXCHANGE ACT OF 1934

For the Quarter Ended March 31, 1998			             
Commission File # 0-15303

UNICO, Inc.
(Exact name of Registrant as specified in its Charter)

Delaware									       
(State or other jurisdiction of incorporation or organization)	
					          				
73-1215433
(IRS Employer Identification Number)

8380 Alban Road, Springfield, VA  22150
(Address of principal executive offices)  (Zip Code)
  
(703) 644-0200
(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  [ ]

APPLICABLE ONLY TO CORPORATE ISSUERS

Indicate the number of shares outstanding of each of the 
issuer's classes of common stock, as of the latest practicable 
date.

Class:  Common Stock, $.01 Par Value

Number of shares outstanding as of May 15, 1998				
2,119,077

UNICO, Inc.

INDEX

Page No.

PART 1 - FINANCIAL INFORMATION

Item 1  Consolidated Balance Sheets
     	  March 31, 1998 and December 31, 1997		           3

     	  Consolidated Statements of Operations
        For the Quarter Ended March 31, 1998
        and the Quarter Ended March 31, 1997		           5

        Consolidated Statements of Cash Flow
        For the Quarter Ended March 31, 1998
        and the Quarter Ended March 31, 1997		           6

        Notes to Interim Consolidated Financial 
        Statements                                       7

Item 2  Management's Discussion and Analysis of 
        Financial Condition and Results of Operations    9


PART 11 - OTHER INFORMATION                             11

SIGNATURE PAGE                                          13

PART 1.  FINANCIAL INFORMATION

UNICO, Inc.

CONSOLIDATED BALANCE SHEETS                            1 of 2


                                              March 31,       December 31,
ASSETS                                          1998              1997
-------                                       ---------       ------------

CURRENT:
	
Cash and cash equivalents	                    $  90,036	       $  129,860
Accounts receivable:
 Trade (net of allowance for 
 Uncollectible accounts of 
 $82,900 and $60,000)                           275,705           292,003
Inventory                                       166,114           119,203
Other receivables                               134,911             2,877
Prepaid expenses                                  2,328             9,140
                                              ----------        ----------
	Total current assets                           669,094           553,083

PROPERTY:

Printing and office equipment                 3,513,286         3,428,274
Computer equipment and software                 604,591           604,591
Transportation equipment                        138,693           138,693
Leasehold improvements                           63,063            63,063
                                            ------------      ------------
Total                                         4,319,633         4,234,621
Less accumulated depreciation                (2,368,897)		     
(2,166,065)
                                            ------------      ------------
Net property and equipment                    1,950,736         2,068,556

DEPOSITS AND OTHER ASSETS                        15,155            18,302
                                            ------------      ------------
TOTAL ASSETS                                $ 2,634,985       $ 2,639,941
                                            ============      ============

The accompanying Notes To Financial Statements are an integral 
part of these financial statements.

UNICO, Inc.

CONSOLIDATED BALANCE SHEETS                               2 of 2

                                              March 31,       December 31,	
LIABILITIES & STOCKHOLDERS' EQUITY       	      1998              1997
                                              ---------       ------------
CURRENT LIABILITIES:
Accounts payable                            $ 1,011,708	      $ 1,307,198
Accrued liabilities                             709,649           485,433
Notes payable, current portion                1,428,977         1,449,384
Deferred revenue                                267,351           120,509
                                            ------------      ------------
Total current liabilities                     3,417,685         3,362,524

LONG TERM LIABILITIES:
Notes payable                                   360,622           360,622
Deferred rent                                   320,874           320,874
                                            ------------      ------------
Total long term liabilities                     681,496           681,496
                                            ------------      ------------
Total liabilities                             4,099,181         4,044,020

COMMITMENTS AND CONTINGENCIES (Note 2)

DEFICIENCY IN STOCKHOLDERS' EQUITY:
Preferred stock, $.01 par value:  
5,000,000 shares authorized; 
designated as:
Redeemable Preferred; 
70 shares issued and outstanding	                     1                 1
	Series A Convertible Preferred	                  -                 -
	Series B Preferred		                             -                 -
Series C Preferred stock, $.01 
par value; voting on the basis of 
4 votes to 1 vote for the common 
stock, preferred in liquidation at 
$1 per share over common shareholders, 
convertible into common stock on the 
basis of 4 common shares for each 
preferred share, with automatic 
conversion on August 1, 1998; 
authorized, 2,000,000 shares, 
authorized, 428,185 shares issued 
and outstanding                                    4,282            4,282
Common stock - $.01 par value; 
20,000,000 shares authorized; 
2,119,077 shares issued and 
outstanding			                                    21,191           21,191
Additional paid-in capital                     6,801,008        6,801,008
Deferred compensation                             (4,557)          (4,557)
Accumulated deficit                           (8,286,121)	     (8,226,004)
                                             ------------     ------------
Total deficiency in stockholders'equity		     (1,464,196)	     (1,404,079)
                                             ------------     ------------
TOTAL LIABILITIES AND DEFICIENCY IN
STOCKHOLDERS' EQUITY                         $ 2,634,985      $ 2,639,941
                                             ============     ============

The accompanying Notes To Financial Statements are an integral 
part of these financial statements.

UNICO, Inc.

CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997


                                             1998          1997    
                                             ----          ----
REVENUES:

Other							                              $  7,973	     $ 468,377
	
TOTAL REVENUES                               7,973        468,377

EXPENSES:

General and administrative                 117,882        100,490
Interest expense - affiliate                  -	           23,211
Interest expense - other                     5,681         20,220
                                          --------       --------
TOTAL EXPENSES                             123,563        143,921
                                          --------       --------
NET INCOME (LOSS) BEFORE INCOME TAXES 
AND DISCONTINUED OPERATIONS               (115,590)       324,456

INCOME TAX PROVISION                             0              0

NET INCOME (LOSS) BEFORE DISCONTINUED 
OPERATIONS                                (115,590)       324,456

GAIN FROM OPERATIONS TO BE DISCONTINUED:

Income from operations of subsidiary to 
be sold, net of an income tax provision 
of $9,000 in 1998 and $9,000 in 1997        55,473	        27,345
                                        -----------    ----------
NET INCOME LOSS                         $  (60,117)    $  351,801
                                        ===========    ==========
BASIC NET INCOME (LOSS) PER 
COMMON SHARE:

Weighted average common shares 
Outstanding                              2,119,077	     2,119,077
                                        -----------    ----------
Loss from continuing operations         $    (.055)	   $     .153
Income from discontinued operations           .026           .013
                                        -----------    ----------
Net income (loss) per common share      $    (.029)    $     .166
                                        ===========    ==========

The accompanying Notes To Financial Statements are an integral 
part of the financial statements.

UNICO, Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1998 AND 1997

                                            1998           1997    
                                            ----           ----
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)                       $  (60,117)    $ 351,801
Adjustments to reconcile net income 
to net cash provided by operating 
activities:
  Depreciation and amortization            170,932   	   105,493
  Provision for bad debts                   22,900        28,610
  Deferred income taxes                      9,000         9,000
	   
Changes in operating assets and 
liabilities:
  Accounts and notes receivable           (115,736)	   (128,030)
  Prepaid expenses and inventory           (40,099)	   (101,586)
  Deposits and other                         3,147	     (59,672)
  Accounts payable and accrued 
   liabilities				                         (71,274)     389,943
  Deferred revenue                         146,842       (1,965)
                                         ----------    ---------
Net Cash Provided by (Used in) Operating 
Activities                                  65,595      593,594

CASH FLOWS FROM INVESTING ACTIVITIES:
Territory Buy Back Allowance                  -	        (497,500)
Purchase of property                       (85,012)      (46,398)
                                          ---------    ----------
Net Cash Provided by (Used in) 
Investing Activities			                    (85,012)	    (543,898)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from debentures                         0             0
Proceeds from notes payable                      0	      151,125
Payment of notes payable                   (20,407)      (36,560)
Payment of funding costs                         0             0
                                         ----------   ----------
Net Cash Provided (Used In) 
Financing Activities                       (20,407)      114,565
                                         ----------   ----------
CHANGE IN CASH AND CASH EQUIVALENTS:       (39,824)	     164,261
Cash and Cash Equivalents - 
 Beginning of Period			                    129,860       231,971
                                         ---------    ----------
Cash and Cash Equivalents - 
 End of Period				                       $  90,036	   $  396,232
                                         =========    ==========
SUPPLEMENTAL CASH FLOW DISCLOSURES:

Cash paid for income taxes               $       0	   $        0
Cash paid for interest                   $   5,681	   $   20,220
                                         =========    ==========	

The accompanying Notes To Financial Statements are an integral 
part of the financial statements.

UNICO, Inc.


NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE PERIODS ENDED MARCH 31, 1998 and 1997
--------------------------------------------------

1.  BASIS OF PRESENTATION
-------------------------

The interim consolidated financial statements at March 31, 1998 
and for the three month periods ended March 31, 1998 and 1997 are 
unaudited, but include all adjustments which the Company 
considers necessary for a fair presentation.  The December 31, 
1997 balance sheet was derived from the Company's audited 
financial statements.
 
The accompanying unaudited financial statements are for the 
interim periods and do not include all disclosures normally 
provided in annual financial statements, and should be read in 
conjunction with the Company's audited financial statements 
included in the Company's Form 10-KSB for the year ended December 
31, 1997.  The accompanying unaudited interim financial 
statements for the three month period ended March 31, 1998 are 
not necessarily indicative of the results which can be expected 
for the entire year.

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 and disclosure 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 could differ from those 
estimates.

2.  COMMITMENTS & CONTINGENCIES
-------------------------------

The Company is exposed to various legal matters encountered in 
the normal course of business.  In the opinion of management, the 
resolution of these matters will not have a material adverse 
effect on the Company's consolidated financial position or 
results of operations.

3.  INCOME TAXES
----------------

The Company accounts for income taxes in accordance with the 
provisions of Statement of Financial Accounting Standards No. 
109, "Accounting for Income Taxes" ("SFAS 109"), which 
requires an asset and liability approach to accounting for income 
taxes.  Under SFAS 109, deferred tax assets or liabilities are 
computed on the difference between the financial statement 
and income tax bases of assets and liabilities ("temporary 
differences") using the enacted marginal tax rate.  Deferred 
income tax expenses or benefits are based on the changes in the 
deferred tax asset or liability from period to period.

Management has determined that it is not more likely than not 
that the Company will be able to realize all the tax benefits 
from available net operating loss  carryforwards and has, 
therefore, provided a valuation allowance of an equal amount.  
The income tax expense of $9,000 reflected in the Statements of 
Operations for the quarter ended March 31, 1998 and March 31, 
1997 represents state income taxes payable by United Marketing 
Solutions, Inc. on first quarter profits that are not impacted by 
the net operating loss carryforwards.

4.  SUBSIDIARY RESTRUCTURING 
----------------------------

Certain amounts in the 1997 financial statements as reported 
herein have been reclassified to conform with the 1998 
presentation.  These reclassifications relate primarily to 
reporting discontinued operations.  These reclassifications had 
no effect on the net income or loss, total current assets or 
total current liabilities as previously reported.
	
During 1997, the Company decided to dispose of its principal 
operating subsidiary United Marketing Solutions, Inc. (formerly 
United Coupon Corporation), by sale if a suitable purchaser 
could be obtained.  Accordingly, the results of operations for 
1998 and 1997 have been presented showing the results of 
continuing operations and discontinued operations, net of 
applicable income taxes.  A summary of the subsidiary's 
operations for the three months ended March 31, 1998 and 1997 are 
as follows:

                                        1998           1997
                                       ------         ------
REVENUE
Printing, design and advertising 
sales, net                         $ 1,195,648	    $ 1,447,291
Franchise fees                  				   138,785          72,685
Other	                                  50,272            -
                                   -----------     -----------
Total revenue				                    1,384,705       1,519,976

EXPENSES
Cost of sales                          797,930         989,547
Franchise development                  130,044          79,350
General and administrative             392,258         414,734
                                    ----------     -----------
Total expenses                       1,320,232       1,483,631
                                    ----------    	-----------	
NET INCOME BEFORE INCOME TAX
(PROVISION)	                            64,473          36,345

INCOME TAX PROVISION                     9,000	          9,000
                                     ---------       ---------
NET INCOME                           $  55,473	      $  27,345
                                     =========       =========

5.  CORPORATE RESTRUCTURING
---------------------------

At its meeting on December 31, 1997, the stockholders approved a 
reverse split of all of the Company's outstanding common and 
preferred shares on a one-for-four basis.  All share amounts 
presented in the financial statements have been adjusted to 
reflect this reverse split.

Item 2.  Management's Discussion and Analysis of Financial 
         Condition and Results of Operations
----------------------------------------------------------

Certain matters discussed herein (including the documents 
incorporated herein by reference) are forward-looking statements 
intended to qualify for the safe harbors from liabilities 
established by the Private Litigation Reform Act of 1995.  These 
forward-looking statements can generally be identified as such 
because the context of the statement will include words such as 
the Company "believes," "plans," "intends," "anticipates," 
"expects," or words of similar import. Similarly, statements that 
describe the Company's future plans, objectives, estimates, or 
goals, are also forward-looking statements. Such statements 
address future events and conditions concerning capital 
expenditures, earnings, litigation, liquidity, capital resources 
and accounting matters.  Actual results in each case could differ 
materially from those currently anticipated in such statements by 
reason of factors such as future economic conditions, including 
changes in customer demands; future legislative, regulatory and 
competitive developments in markets in which the Company 
operates; and other circumstances affecting anticipated 
revenues and costs.

Liquidity and Capital Resources
-------------------------------

The Company's principal measures of liquidity are cash, 
certificates of deposit, accounts receivable and salable 
inventory.  Also, management deems appropriately managed 
and collateralized bank lines of credit as a proper supplement to 
its liquidity.

The Company's working capital was a deficit $2,748,591 at March 
31, 1998, a 2% improvement from December 31, 1997.  This change 
reflects:  a reduction in Cash and Equivalents of $39,824 
resulting primarily from the net loss from operations for the 
period; a net increase of $115,736 in Trade and Other Accounts 
Receivable; an increase of $46,911 in paper and work in process 
Inventory at United Marketing Solutions, Inc. ("United 
Marketing"); a decrease of $6,812 in Prepaid Expenses related to 
utilization of lower annual insurance renewals and similar 
contracts;  These changes were impacted by a decrease of 
$295,490 in Accounts Payable and a $224,216 increase in Accrued 
Liabilities related to accrual of seasonal operating costs at 
United Marketing, as well as accrual of costs related to 
potential sale of United Marketing.  Working capital was also 
aided by a $20,407 reduction in the current portion of 
Notes Payable net of principal payments made during the period.  
Deferred Revenue increased by $146,842 during the period.

Long term liabilities were unchanged during the period.

Management adopted a restructuring plan for its subsidiary Cal-
Central Marketing Corporation during 1995.  Management abandoned 
its restructuring plan for Cal-Central during the fourth quarter 
of 1996 and wrote off remaining accounts receivable and goodwill 
associated with this operation.  During the quarter ended March 
31, 1997, management determined that appropriate actions had been 
taken to eliminate the ultimate liability for approximately 
$403,000 of Cal-Central obligations.  These amounts were written 
off during such period, resulting in other income of  an equal 
amount.  Had this action not been taken, the Company would have 
experienced a consolidated operating loss of approximately 
$51,000 during the three-month period ended March 31, 1997.

Results of Operations - Quarter Ended March 31, 1998 as Compared 
to the Quarter Ended March 31, 1997
----------------------------------------------------------------

Total revenues for the Company decreased by 30% during the three 
month period of 1998, after restatement of both periods to 
reflect the plan to discontinue, through potential sale, the 
operations of the Company's remaining operating subsidiary, 
United Marketing.  This decline reflects a reduction of 
$251,643 in printing, advertising and design sales to third 
parties and a $418,105 decline in other revenue as a result of 
one-time income received during the first quarter of 1997 related 
to write-off of approximately $403,000 of Cal-Central Marketing 
obligations that management determined would not require ultimate 
payment.  These declines were partially offset by a $66,100 
increase in franchise fee revenues during the 1998 period.  
Overall, the decline in total revenue reflects the dilution of 
management's efforts related to attempts to locate a suitable 
purchaser for United Marketing and continuing limited working 
capital availability.

Production Expenses, which include art development, printing, 
bindery, delivery, product development, distributor support and 
selling expenses, decreased by $191,618, during the 1998 quarter 
in contrast to the same period in 1997.  This decrease is 
directly related to the decline in printing advertising and 
design sales as well as tight cost containment actions.

General and Administrative Expense decreased by $5,083 over the 
same period last year primarily as a result of lower overall 
level of business and required administrative functions.

Franchise Development Cost, which includes the cost of 
developing, advertising, selling, training and supporting United 
Marketing franchises, was $50,694 higher than the prior year, 
reflecting expanded sales efforts, including use of third party 
franchise sales organizations.

Interest Expense decreased $37,750 over the same period last year 
as a result of conversion of convertible debenture debt to equity 
during the past year.

Consolidated Net Loss for the current quarterly period was 
$60,117 compared to net income of $351,801 for the prior year.  
As noted above, the 1997 period was aided by the recognition of 
approximately $403,000 of non-recurring income related to the 
write-off of Cal-Central obligations that were deemed 
extinguished during the period.


PART II - OTHER INFORMATION
---------------------------

Item 1.  Legal Proceedings
--------------------------
Omitted from this report as inapplicable.

Item 2.  Changes in Securities
------------------------------
Omitted from this report as inapplicable.

Item 3.  Default Upon Senior Securities
---------------------------------------
Omitted from this report as inapplicable.

Item 4.  Submission of Matters to Vote of Securities Holders
------------------------------------------------------------
Omitted from this report as inapplicable.

Item 5.  Other Information
--------------------------
On May 12, 1998, 428,185 shares of the Company's Series C 
Preferred Stock (the "Preferred Shares") were delivered to Shane 
Sutton, Esquire, 689 Fifth Avenue - Sixth Floor, New York, New York
10022, as Escrow Agent (the "Escrow Agent"), for the 
account of T.C. Equities, Ltd., a Bahamas corporation ("T.C. Equities"), 
pursuant to a series of agreements between Renaissance Capital 
Partners I, a Oklahoma Limited partnership, ("Renaissance"), 
Duncan-Smith Company, a Oklahoma corporation ("Duncan-Smith") 
and Next Generation Media Corporation, a Nevada 
corporation ("NexGen"), between the Company and NexGen and 
between NexGen and T. C. Equities.  Pursuant to these agreements, 
T. C. Equities, acquired effective control of the Company through 
its ownership of the Preferred Shares, which represent 44% of 
the total votes entitled to be cast by the holders of all classes 
of the Company's capital stock, and the agreement of the 
Company's current Board of Directors to resign from office, 
appointing T. C. Equities nominees to fill the vacancies thereby 
created, upon the consummation of the sale of the Company's sole 
operating subsidiary, United Marketing Solutions, Inc., formerly 
United Coupon Corporation, ("United") to NexGen (the "United 
Acquisition").  The Preferred Shares were acquired from 
Renaissance and Duncan-Smith by NexGen, simultaneously with its 
acquisition of all of the Company's subordinated debt, in 
exchange for an aggregate consideration to the holders of the 
Preferred Shares and Subordinated Debt consisting of:  (i) 
cash in the amount of $100,000; (ii) 250,000 shares of NexGen 
Series A Callable, Convertible Cumulative Preferred Stock; and 
(iii) ten year warrants to purchase 166,667 shares of 
NexGen's' common stock (subject to adjustment) at an exercise 
price of $.16 per share. As part of that transaction, all of the 
Company's subordinated debt obligations were forgiven and the 
dividend preference of the Preferred Shares upon liquidation was 
canceled.  The source of the cash portion of the consideration 
paid by NexGen for the Preferred Shares, was T. C. Equities, which 
invested $350,000 in NexGen in exchange for:  (x) 70,000 shares 
of NexGen Series B Callable Convertible Cumulative Preferred 
Stock; (y) five year warrants to purchase 250,000 shares of 
NexGen's Common Stock (subject to adjustment) at an exercise 
price of $.16 per share; and (z) an agreement to transfer and 
deliver the Preferred Shares and certain shares of the Company's 
Common Stock (and any options to purchase shares of the Company's 
common stock) currently held by certain members of the Company's 
Board of Directors (the "Director Shares") to T.C. Equities.  
Pursuant to agreements between NexGen and directors, Leon Zadel, 
Gerard R. Bernier and Gerald Bomstad, Jr., these individuals 
agreed to surrender the Director Shares to be conveyed to T.C. 
Equities (and in the case of director, Bomstad, a promissory note 
from UNICO having a principal balance of $12,000, and accrued 
interest of $1,400, to be forgiven by NexGen) to NexGen in 
exchange for 8,747,806 and 37,600 shares of NexGen common stock, 
respectively (and in the case of director, Bomstad, five year 
options to purchase 1,787 shares of NexGen common stock at an 
exercise price of $.16 per share).  The Director Shares represent 
103% of the total votes entitled to be cast by the holders 
of all classes of the Company's capital stock.  Accordingly, upon 
the consummation of the sale of United to NexGen, T.C. Equities 
will control 55% of the total votes entitled to be cast by 
the holders of all classes of the Company's capital stock.  Until 
the United Acquisition is completed, after submission to and 
approval by the Unico stockholders at a special meeting to be 
called for such purpose, the Preferred Shares and the Director 
Shares are held in escrow by the Escrow Agent who is required to 
vote affirmatively therefor, but to otherwise refrain from any 
other voting of such shares.

Item 6.  Exhibits and Reports on Form 8-K
-----------------------------------------
A.  Exhibits
    27 Financial Data Schedule Pursuant to EDGAR filing requirements 
    for the period ending March 31, 1998, filed herewith this Form 
    10QSB dated May 15, 1998.

B.  Reports on Form 8-K
    There were no reports on Form 8-K filed during the three-
    month period ended March 31, 1998.


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.

UNICO, INC.

May 20, 1998

By:  /s/Gerard R. Bernier                                     
     --------------------
     Chief Executive Officer and President


May 20, 1998

By:  /s/Subhash Ghei     
     ---------------                                
     Chief Financial Officer