<TABLE> <S> <C>


<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF RALLY'S HAMBURGERS, INC., FOR THE QUARTERLY PERIODS
ENDED DECEMBER 28, 1998 AND DECEMBER 28, 1997, AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANICAL STATEMENTS.
</LEGEND>
       
<S>                             <C>                     <C>
<PERIOD-TYPE>                   12-MOS                   12-MOS
<FISCAL-YEAR-END>                          DEC-28-1998             DEC-28-1997
<PERIOD-START>                             DEC-29-1997             DEC-30-1996
<PERIOD-END>                               DEC-28-1998             DEC-28-1997
<CASH>                                           6,481                   5,388
<SECURITIES>                                         0                       0
<RECEIVABLES>                                    2,750<F1>               1,949<F1>
<ALLOWANCES>                                         0                       0
<INVENTORY>                                      1,017                   1,052
<CURRENT-ASSETS>                                11,736                  10,968
<PP&E>                                          61,914<F2>              68,067<F2>
<DEPRECIATION>                                       0                       0
<TOTAL-ASSETS>                                 123,306                 134,297
<CURRENT-LIABILITIES>                           15,865                  20,793
<BONDS>                                          7,819                   4,017
<PREFERRED-MANDATORY>                                0                       0
<PREFERRED>                                          0                       5
<COMMON>                                         2,961                   2,484
<OTHER-SE>                                      31,558                  39,024
<TOTAL-LIABILITY-AND-EQUITY>                   123,306                 134,297
<SALES>                                        139,602                 139,348
<TOTAL-REVENUES>                               144,952                 144,930
<CGS>                                          124,282                 123,681
<TOTAL-COSTS>                                  140,189                 141,429
<OTHER-EXPENSES>                                   480                     750
<LOSS-PROVISION>                                 1,635                     158
<INTEREST-EXPENSE>                               7,145                   7,434
<INCOME-PRETAX>                                 (7,283)                 (4,061)
<INCOME-TAX>                                       252                     455
<INCOME-CONTINUING>                             (7,535)                 (4,516)
<DISCONTINUED>                                       0                       0
<EXTRAORDINARY>                                      0                       0
<CHANGES>                                            0                       0
<NET-INCOME>                                    (7,535)                 (4,516)
<EPS-PRIMARY>                                    (0.28)                  (0.22)
<EPS-DILUTED>                                    (0.28)                  (0.22)
<FN>
<F1> Receivables consist of -
     Accounts Receivable - net                 $ 2,597                 $ 1,555
     Notes Receivable                              153                     394
                                               -------                 -------
     Total                                     $ 2,750                 $ 1,949

<F2> PP&E is net of accumulated depreiation and amortization of $51,961 and
     $45,001, respectively.
</FN>
        

</TABLE>