SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

                   QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934


                     FOR THE QUARTER ENDED DECEMBER 31, 1998


                          COMMISSION FILE NUMBER 1-9875


                                 [STANDARD LOGO]

                         STANDARD COMMERCIAL CORPORATION


Incorporated under the laws of                           I.R.S. Employer
     North Carolina                               Identification No. 13-1337610


                2201 MILLER ROAD, WILSON, NORTH CAROLINA 27893

                        Telephone Number 252-291-5507






Former name, former address and former fiscal year, if changed since last report
- Not applicable


On February 1, 1999 the registrant had outstanding  12,830,174  shares of Common
Stock ($.20 par value).


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 and (2) had been subject to such filing requirements for
the past 90 days.



                                          YES   X           NO
<PAGE>


PART I FINANCIAL INFORMATION
ITEM 1 FINANCIAL STATEMENTS
STANDARD COMMERCIAL CORPORATION
CONSOLIDATED BALANCE SHEET
(In thousands, except share data)
                                                     December  31    March  31
                                                     1998     1997     1998
                                                     ----     ----     ----
                                                      (unaudited)
ASSETS
Cash............................................ $ 38,345 $ 76,646  $  34,116
Receivables.....................................  185,238  248,661    254,469
Inventories.....................................  473,152  417,509    361,418
Prepaid expenses................................    5,050    6,325      8,674
Marketable securities...........................      762      722        656
                                                -----------------------------

   Current assets...............................  702,547  749,863    659,333

Property, plant and equipment...................  111,251  113,079    113,572
Investment in affiliates........................   17,413   15,502     12,647
Other assets....................................   57,658   46,502     53,921
                                                -----------------------------

   Total assets................................. $888,869 $924,946   $839,473
                                                =============================

LIABILITIES
Short-term borrowings........................... $353,013 $375,961   $267,799
Current portion of long-term debt...............    4,050    4,362      4,987
Accounts payable................................  110,943  122,891    144,585
Taxes accrued...................................   15,668   23,685     22,863
                                                -----------------------------

   Current liabilities..........................  483,674  526,899    440,234

Long-term debt..................................  125,262  126,752    128,083
Convertible subordinated debentures.............   69,000   69,000     69,000
Retirement and other benefits...................   20,244   19,552     19,479
Deferred taxes..................................    2,474    4,884      2,776
                                                -----------------------------

   Total liabilities............................  700,654  747,087    659,572
                                                -----------------------------

MINORITY INTERESTS..............................   29,621   30,858     30,271
                                                -----------------------------


SHAREHOLDERS' EQUITY
Preferred stock, $1.65 par value; authorized
  shares 1,000,000
  Issued none
Common stock, $0.20 par value; authorized
  shares 100,000,000
  Issued 15,436,402 (Dec. 97 - 15,420,796;
  Mar 98 - 15,424,555)..........................    3,089    3,084      3,085
Additional paid-in capital......................  101,989  102,166    101,788
Unearned restricted stock plan compensation.....   (1,719)  (1,876)    (1,996)
Treasury shares, 2,617,707......................   (4,250)  (4,250)    (4,250)
Retained earnings...............................   88,454   71,758     82,943
Cumulative translation adjustments..............  (28,969) (23,881)   (31,940)
                                                -----------------------------

   Total shareholders' equity...................  158,594  147,001    149,630
                                                -----------------------------

   Total liabilities and equity................. $888,869 $924,946   $839,473
                                                =============================

The accompanying notes are an integral part of these financial statements.


<PAGE>



STANDARD COMMERCIAL CORPORATION
CONSOLIDATED STATEMENT OF INCOME AND RETAINED EARNINGS 
(In thousands, except per share information; unaudited)

<TABLE>
<CAPTION>


                                                     Third quarter ended        Nine months ended
                                                          December 31              December 31
                                                       1998        1997         1998         1997
                                                       ----        ----         ----         ----
<S>                                                 <C>         <C>           <C>          <C>
Sales - tobacco ................................    $215,123     $286,230     $607,614     $706,763
      - nontobacco .............................      53,570       80,770      160,531      247,805
                                                   ---------    ---------    ---------    ---------
   Total sales .................................     268,693      367,000      768,145      954,568

Cost of sales - materials, services and supplies     242,336      327,645      683,524      854,962
              - interest .......................       5,839        4,749       14,892       17,429
                                                   ---------    ---------    ---------    ---------
   Gross profit ................................      20,518       34,606       69,729       82,177
Selling, general and administrative expenses ...      18,167       18,776       54,013       53,955
Other interest expense .........................       4,362        4,672       13,253       10,843

Other income (expense) - net ...................       2,571          746        8,877        5,218
                                                   ---------    ---------    ---------    ---------
   Income before taxes .........................         560       11,904       11,340       22,597
Income taxes ...................................        (637)      (3,360)      (4,018)      (5,962)
                                                   ---------    ---------    ---------    ---------
   Income/(loss) after taxes ...................         (77)       8,544        7,322       16,635
Minority interests .............................         792         (112)      (1,103)      (1,621)
Equity in earnings of affiliates ...............          45          176          574          726
                                                   ---------    ---------    ---------    ---------
   Net income ..................................         760        8,608        6,793       15,740

Retained earnings at beginning of period .......      88,335       63,150       82,943       58,089
Common stock dividends .........................        (641)          --       (1,282)      (2,071)
                                                   ---------    ---------    ---------    ---------
Retained earnings at end of period .............   $  88,454    $  71,758    $  88,454    $  71,758
                                                   =========    =========    =========    =========
Earnings per common share
Basic  - net ...................................   $    0.06    $    0.67    $    0.53    $    1.29
       - average shares outstanding ............      12,824       12,802       12,816       12,234

Diluted - net ..................................   $    0.06    $    0.62    $    0.53    $    1.25
        - average shares outstanding ...........      15,173       15,151       15,165       14,583
</TABLE>

The accompanying notes are an integral part of these financial statements.


<PAGE>



 STANDARD COMMERCIAL CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(In thousands; unaudited)


                                                             Nine months ended
                                                                December 31
                                                              1998       1997
                                                             ------     ------
CASH FLOWS FROM OPERATING ACTIVITIES

Net income............................................      $6,793    $15,740
  Depreciation and amortization.......................      13,593     15,412
  Minority interests..................................       1,103      1,621
  Deferred income taxes...............................        (693)      (525)
  Undistributed earnings of affiliates net of 
     dividends received...............................        (574)      (726)
  Gain on disposition of property, plant and equipment      (3,614)    (3,806)
  Other...............................................       3,024     (1,715)
                                                      ------------------------
                                                            19,632     26,001
Net changes in working capital other than cash
  Receivables.........................................      67,081     (3,795)
  Inventories.........................................    (120,061)  (174,348)
  Current payables....................................     (32,760)     5,875
                                                      -----------------------

CASH USED FOR OPERATING ACTIVITIES....................     (66,108)  (146,267)
                                                      ------------------------

CASH FLOWS FROM INVESTING ACTIVITIES

Property, plant and equipment - additions.............     (11,992)   (12,278)
                              - dispositions..........       9,982      5,984
Business (acquisitions) dispositions..................      (7,387)    (6,328)
                                                      ------------------------

Cash used for investing activities....................      (9,397)   (12,622)
                                                      -----------------------

CASH FLOWS FROM FINANCING ACTIVITIES

Net change in short-term borrowings...................      85,214     56,593
Proceeds from long-term borrowings....................         535    110,387
Repayment of long-term borrowings.....................      (4,938)   (16,716)
Net proceeds of equity offering.......................          --     47,043
Dividends paid........................................      (1,282)        --
Other.................................................         205     (2,889)
                                                      ------------------------

CASH PROVIDED BY  FINANCING ACTIVITIES................      79,734    194,418
                                                      -----------------------

Increase in cash for period...........................       4,229     35,529
Cash at beginning of period...........................      34,116     41,117
                                                      -----------------------

CASH AT END OF PERIOD.................................    $ 38,345    $76,646
                                                      =======================

Cash payments for - interest....................           $24,859    $18,798
                  - income taxes................           $10,663     $7,763



The accompanying notes are an integral part of these financial statements.

<PAGE>

 STANDARD COMMERCIAL CORPORATION
 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.BASIS OF PRESENTATION
The interim  statements  presented herein should be read in conjunction with the
 audited financial statements and notes thereto included in the Company's latest
 Annual Report on Form 10-K. The  interim period financial  statements have been
 prepared by the Company without audit and contain all of the adjustments  which
 are, in the opinion of the  management,  necessary for a fair  statement of the
 results of operations. All such adjustments are of normal, recurring nature and
 there were no material  changes in accounting  policies during the period ended
 December  31,  1998.  Because  of  the  nature  of  the  Company's  businesses,
 fluctuations in results for interim  periods are not necessarily  indicative of
 business trends or results to be expected for a full year.

2.INVENTORIES

                                  December 31         March 31
            (In thousands)      1998        1997        1998
                                ----        ----        ----
            Tobacco           $402,909    $330,160    $284,822
            Nontobacco          70,243      87,349      76,596
                                ------      ------      ------
            Total             $473,152    $417,509    $361,418
                              ========    ========    ========

3.COMPREHENSIVE INCOME
Effective  June 1998,  the Company  adopted  Statement of  Financial  Accounting
 Standards No.130,  Reporting  comprehensive income ("SFAS 130"). This statement
 requires that an enterprise (a) classify items of other comprehensive income by
 their nature in a financial  statement and (b) display the accumulated  balance
 of other comprehensive  income separately from retained earnings and additional
 paid-in  capital in the equity section of the balance sheet .  Reclassification
 of financial  statements for earlier periods provided for comparative  purposes
 is required.

The components of comprehensive income were as follows:
                              Quarter ended                 Nine months ended
                              December 31                   December 31
                              -----------                   -----------
                               1998        1997              1998        1997
                               ----        ----              ----        ----

(In thousands)
 Net income                    $760      $8,608            $6,793     $15,740
 Other comprehensive income:
 Translation adjustment         387      (3,432)            2,971      (7,125)
                                ---      -------            -----      -------


 Total comprehensive income  $1,147      $5,176            $9,764      $8,615
                             ------      ------            ------      ------


4.EARNINGS PER SHARE
Earnings per share has been presented in conformity  with Statement of Financial
 Accounting Standards No.128. In computing the diluted per-share amounts for the
 third quarter and nine months ended December 31, 1998, the  incremental  shares
 from assumed conversion of 7 1/4% Convertible  Subordinated  Debentures are not
 included because the calculations  include  adjustments which are antidilutive.
 Options to purchase  shares of common  stock were  outstanding  during the nine
 months  ended  December 31, 1998 but were not  included in the  computation  of
 diluted  earnings  per share  because the  exercise  price was greater than the
 average market price of common shares.

5.SENIOR NOTES
On August  1, 1997 the  Company  completed  a $115  million  Rule  144A  private
 placement of 8 7/8% Senior Notes Due 2005.  The Senior Notes were  subsequently
 registered  with the Securities  and Exchange  Commission and an exchange offer
 was  completed  on  December  31,  1997.   The  proceeds  were  used  to  repay
 indebtedness  under existing bank credit facilities and certain long-term debt.
 Consequently  $115 million  short-term  borrowings were classified as long-term
 debt at June 30, 1997.

The notes were issued by Standard Commercial Tobacco Co., Inc. (the "Issuer"), a
 wholly owned subsidiary of the Company.  The Company and Standard Wool, Inc., a
 wholly-owned  subsidiary  of  the  Company  (the  "Guarantors"),   jointly  and
 severally, guarantee, on a senior basis, the full and prompt performance of the
 Issuer's  obligations  under  the  terms  of  the  indenture.   Management  has
 determined  that  full  financial  statements  of the  Guarantors  would not be
 material to investors  and such  financial  statements  are not  provided.  The
 following  supplemental  combining  financial  statements  present  information
 regarding the Issuer and the Guarantors.

<PAGE>


STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING BALANCE SHEET
December 31, 1998
(In thousands; Unaudited)

<TABLE>
<CAPTION>

                                              Standard
                                             Commercial     Standard                  Other
                                             Tobacco Co.   Commercial   Standard   Subsidiaries
                                                Inc.       Corporation  Wool Inc.     (Non-
                                              (Issuer)     (Guarantor) (Guarantor)  Guarantors)   Eliminations     Total
                                            -----------   -----------  ----------  -----------    ------------     -----
<S>                                         <C>          <C>           <C>            <C>       <C>             <C>
Assets

Cash                                          $   8,368    $     124    $     216    $  29,637    $      --    $  38,345
Receivables                                      14,373        2,136          246      168,483           --      185,238
Intercompany receivables                        107,375       16,826           64       23,329     (147,594)          --
Inventories                                     139,987           --          929      332,236           --      473,152
Prepaids and other                                  947           --           17        4,086           --        5,050
Marketable securities                                --            1           --          761           --          762
                                             ---------------------------------------------------------------------------
    Current assets                              271,050       19,087        1,472      558,532     (147,594)     702,547
Property, plant and equipment                    23,508           --           73       87,670           --      111,251
Investment in subsidiaries                       77,189      230,214       37,391      169,548     (514,342)          --
Investment in affiliates                             --           --           --       17,413           --       17,413
Other noncurrent assets                           6,152        9,382           --       42,124           --       57,658
                                             ---------------------------------------------------------------------------
    Total assets                              $ 377,899    $ 258,683    $  38,936    $ 875,287    ($661,936)   $ 888,869
                                             ===========================================================================

Liabilities
Short-term borrowings                            12,025           --           --      340,988           --      353,013
Current portion of long-term debt                    --           --           --        4,050           --        4,050
Accounts payable                                 17,404        1,860           42       91,637           --      110,943
Intercompany payables                            19,817       32,056        1,765       93,956     (147,594)          --
Taxes accrued                                     6,734       (2,912)        (140)      11,986           --       15,668
                                             ---------------------------------------------------------------------------
    Current liabilities                          55,980       31,004        1,667      542,617     (147,594)     483,674
Long-term debt                                  117,940           --           --        7,322           --      125,262
Convertible subordinated debentures                  --       69,000           --           --           --       69,000
Retirement and other benefits                     8,397          705           --       11,142           --       20,244
Deferred taxes                                      221       (2,316)          --        4,569           --        2,474
                                             ---------------------------------------------------------------------------
    Total liabilities                           182,538       98,393        1,667      565,650     (147,594)     700,654
                                             ---------------------------------------------------------------------------
Minority interests                                   --           --           --       29,621           --       29,621
                                             ---------------------------------------------------------------------------
Shareholders' equity
Common stock                                        993        3,089       25,404      139,530     (165,927)       3,089
Additional paid-in capital                      130,860      101,989           --       64,839     (195,699)     101,989
Unearned restricted stock plan compensation        (595)         (23)          (8)      (1,093)          --       (1,719)
Treasury stock at cost                               --       (4,250)          --           --           --       (4,250)
Retained earnings                                78,619       88,454        7,854      105,709     (192,182)      88,454
Cumulative translation adjustments              (14,516)     (28,969)       4,019      (28,969)      39,466      (28,969)
                                             ---------------------------------------------------------------------------
    Total shareholders' equity                  195,361      160,290       37,269      280,016     (514,342)     158,594
                                             ---------------------------------------------------------------------------

    Total liabilities and equity              $ 377,899    $ 258,683    $  38,936    $ 875,287    ($661,936)   $ 888,869
                                             ===========================================================================
</TABLE>


<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF INCOME AND
RETAINED EARNINGS
Quarter ended December 31, 1998.
(In thousands; unaudited)

<TABLE>
<CAPTION>

                                              Standard
                                             Commercial     Standard                Other Wool
                                             Tobacco Co.   Commercial   Standard   Subsidiaries
                                                Inc.       Corporation  Wool Inc.     (Non-
                                              (Issuer)     (Guarantor) (Guarantor)  Guarantors)  Eliminations   Total
                                            -----------   -----------  ----------  -----------   ------------   -----
<S>                                         <C>          <C>           <C>            <C>       <C>          <C>

Sales                                        $ 104,824   $      --    $     494    $ 210,695    $ (47,320)   $ 268,693
Cost of sales:
  Materials services and supplies               98,011          --          458      191,187      (47,320)     242,336
  Interest                                          --          --           --        5,839                     5,839
                                            --------------------------------------------------------------------------
  Gross profit                                   6,813          --           36       13,669                    20,518
Selling, general & administrative expenses       3,241         569          135       14,222                    18,167
Other interest expense                           2,738       1,306           --          318                     4,362
Other income (expense)- net                      2,385       1,367          (54)      (1,127)                    2,571
                                            --------------------------------------------------------------------------
  Income (loss) before taxes                     3,219        (508)        (153)      (1,998)                      560
Income taxes                                     1,231        (736)         (52)         194                       637
                                            --------------------------------------------------------------------------
  Income (loss) after taxes                      1,988         228         (101)      (2,192)                      (77)
Minority interests                                  --          --           --          792                       792
  Equity in earnings of affiliates                  --          --           --           45                        45
  Equity in earnings of subsidiaries               248         532       (1,603)          --          823           --
                                            --------------------------------------------------------------------------
  Net income                                     2,236         760       (1,704)      (1,355)         823          760
Retained earnings at beginning
  of period                                     76,383      88,335        9,558      107,064     (193,005)      88,335
Common stock dividends                              --        (641)          --           --                      (641)
                                            --------------------------------------------------------------------------
  Retained earnings at end of period            78,619      88,454        7,854      105,709     (192,182)      88,454
                                            ==========================================================================
</TABLE>




<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF INCOME AND
RETAINED EARNINGS
Nine months ended December 31, 1998
(In thousands; Unaudited)

<TABLE>
<CAPTION>

                                              Standard
                                             Commercial     Standard                  Other
                                             Tobacco Co.   Commercial   Standard   Subsidiaries
                                                Inc.       Corporation  Wool Inc.     (Non-
                                              (Issuer)     (Guarantor) (Guarantor)  Guarantors)   Eliminations   Total
                                            -----------   -----------  ----------  -----------    ------------   -----
<S>                                         <C>          <C>           <C>            <C>       <C>             <C>

Sales                                        $ 164,735   $      --    $   1,449    $ 723,421     $(121,460)   $ 768,145
Cost of sales:
  Materials services and supplies              151,232          --        1,362      652,390      (121,460)     683,524
  Interest                                          58          --           --       14,834            --       14,892
                                            ---------------------------------------------------------------------------
  Gross profit                                  13,445          --           87       56,197            --       69,729
Selling, general & administrative expenses       9,932       1,949          341       41,791            --       54,013
Other interest expense                           8,305       3,920           --        1,028            --       13,253
Other income (expense)- net                      6,680       5,328         (157)      (2,974)           --        8,877
                                            ---------------------------------------------------------------------------
  Income (loss) before taxes                     1,888        (541)        (411)      10,404            --       11,340
Income taxes                                       642        (747)        (140)       4,263            --        4,018
                                            ---------------------------------------------------------------------------
  Income (loss) after taxes                      1,246         206         (271)       6,141            --        7,322
Minority interests                                  --          --           --       (1,103)           --       (1,103)
  Equity in earnings of affiliates                  --          --           --          574            --          574
  Equity in earnings of subsidiaries             8,805       6,587       (3,193)          --       (12,199)          --
                                            ---------------------------------------------------------------------------
  Net income                                    10,051       6,793       (3,464)       5,612       (12,199)       6,793
Retained earnings at beginning
  of period                                     68,568      82,943       11,318      100,097      (179,983)      82,943
Common stock dividends                              --      (1,282)          --           --            --       (1,282)
                                            ---------------------------------------------------------------------------
  Retained earnings at end of period         $  78,619   $  88,454    $   7,854    $ 105,709     $(192,182)   $  88,454
                                            ===========================================================================
</TABLE>


<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF CASH FLOWS
Nine months ended December 31, 1998
(In thousands.Unaudited)

<TABLE>
<CAPTION>

                                              Standard
                                             Commercial     Standard                  Other
                                             Tobacco Co.   Commercial   Standard   Subsidiaries
                                                Inc.       Corporation  Wool Inc.     (Non-
                                              (Issuer)     (Guarantor) (Guarantor)  Guarantors)   Eliminations   Total
                                            -----------   -----------  ----------  -----------    ------------   -----
<S>                                         <C>          <C>           <C>            <C>       <C>             <C>
Cash provided by (used in)
  operating activities                        $(10,238)   $  1,143    $      5    $(57,018)         $   --    $(66,108)
                                              ---------   --------    ---------   ---------         -------   --------
Cash flows from investing activities
Property, plant and equipment
  - additions                                   (4,497)         --         (31)     (7,464)             --     (11,992)
  - disposals                                    4,415          --          --       5,567              --       9,982
Business (acquisitions) dispositions                --          --          --      (7,387)             --      (7,387)
                                              ---------   --------    ---------   ---------         -------   --------
Cash provided by (used in)
  investing activities                             (82)         --         (31)     (9,284)             --      (9,397)
                                              ---------   --------    ---------   ---------         -------   --------
Cash flows from financing activities:
Net change in short-term borrowings             12,025          --          --      73,189              --      85,214
Proceeds from long-term  borrowings                 --          --          --         535              --         535
Repayment of long-term borrowings                 (168)         --          --      (4,770)             --      (4,938)
Dividends paid                                      --      (1,282)         --          --              --      (1,282)
Other                                               --         205          --          --              --         205
                                              ---------   --------    ---------   ---------         -------   --------
Cash provided by (used in)
  financing activities                          11,857      (1,077)         --      68,954              --      79,734
                                              ---------   --------    ---------   ---------         -------   --------
Increase (decrease) in cash for year             1,537          66         (26)      2,652              --       4,229
Cash at beginning of year                        6,831          58         242      26,985              --      34,116
                                              ---------   --------    ---------   ---------         -------   --------
Cash at end of year                           $  8,368    $    124    $    216    $ 29,637          $   --    $ 38,345
                                              =========   ========    =========   =========         =======   ========
Cash payments for - Interest                  $  5,564    $  2,506    $     --    $ 16,789          $   --    $ 24,859
                  - Income taxes                   336       2,053          --       8,274              --      10,663
</TABLE>



<PAGE>



STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING BALANCE
SHEET
December 31, 1997
(In thousands.Unaudited)

<TABLE>
<CAPTION>


                          Standard
                          Commercial     Standard                 Other
                          Tobacco Co.   Commercial  Standard   Subsidiaries
                             Inc.      Corporation  Wool Inc.    (Non-
                          (Issuer)     (Guarantor) (Guarantor) Guarantors)   Eliminations  Total
                          --------     ----------- ----------- -----------   ------------ -------
<S>                      <C>           <C>         <C>         <C>           <C>          <C>
Assets
Cash                     $   40,097   $      21    $    98      $ 36,430    $      -     $ 76,646
Receivables                  19,929       3,864        610       224,258           -      248,661
Intercompany receivables    133,142      19,727          6        97,158    (250,033)           -
Inventories                  86,592           -      1,596       329,321           -      417,509
Prepaids and other              346          96          8         5,875           -        6,325
Marketable securities             -           1          -           721           -          722
                          -----------------------------------------------------------------------

    Current assets          280,106      23,709      2,318       693,763    (250,033)     749,863

Property, plant and
 equipment                   22,309          -          55        90,715           -      113,079
Investment in
 subsidiaries                81,460    217,551      38,777        98,896    (436,684)           -
Investment in affiliates          -          -           -        15,502           -       15,502
Other noncurrent assets       7,225     13,811           -        25,466           -       46,502
                          -----------------------------------------------------------------------
    Total assets           $391,100  $ 255,071     $41,150      $924,342   ($686,717)    $924,946
                          =======================================================================

Liabilities
Short-term borrowings      $ 35,000  $       -     $     -      $340,961    $      -     $375,961
Current portion of
 long-term debt                 336          -           -         4,026           -        4,362
Accounts payable             19,093      1,694         154       101,950           -      122,891
Intercompany payables        21,816     34,946       4,680       188,591    (250,033)           -
Taxes accrued                 5,430          -           -        18,255           -       23,685
                          -----------------------------------------------------------------------

    Current liabilities      81,675     36,640       4,834       653,783    (250,033)     526,899

Long-term debt              120,655          -           -         6,097           -      126,752
Convertible subordinated
 debentures                       -     69,000           -             -           -       69,000
Retirement and other
 benefits                     8,082        585           -        10,885           -       19,552
Deferred taxes                   83          -           -         4,801           -        4,884
                          -----------------------------------------------------------------------

    Total liabilities       210,495    106,225       4,834       675,566    (250,033)     747,087
                          -----------------------------------------------------------------------

Minority interests                -          -           -        30,858           -       30,858
                          -----------------------------------------------------------------------

Shareholders' equity
Common stock                    993      3,084      22,604        66,749     (90,346)       3,084
Additional paid-in
 capital                    132,513    102,166           -        69,010    (201,523)     102,166
Unearned restricted stock
 plan compensation             (724)       (31)          -        (1,121)          -       (1,876)
Treasury stock at cost            -     (4,250)          -             -           -       (4,250)
Retained earnings            47,823     71,758       8,362        96,284    (152,469)      71,758
Cumulative translation
 adjustments                      -    (23,881)      5,350       (13,004)      7,654      (23,881)
                          -----------------------------------------------------------------------
    Total shareholders'
     equity                 180,605    148,846      36,316       217,918    (436,684)     147,001
                          -----------------------------------------------------------------------
    Total liabilities
     and equity            $391,100   $255,071     $41,150      $924,342   ($686,717)    $924,946
                          =======================================================================

</TABLE>


<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF INCOME AND RETAINED EARNINGS
Quarter ended December 31, 1997.
(In thousands; unaudited)

<TABLE>
<CAPTION>


                          Standard
                          Commercial     Standard                 Other
                          Tobacco Co.   Commercial  Standard   Subsidiaries
                             Inc.      Corporation  Wool Inc.    (Non-
                          (Issuer)     (Guarantor) (Guarantor) Guarantors)   Eliminations  Total
                          --------     ----------- ----------- -----------   ------------ -------
<S>                      <C>           <C>         <C>         <C>           <C>          <C>



Sales                      $110,428     $     -      $   789    $  298,608    $ (42,825)  $367,000
Cost of sales:
  Materials services and
   supplies                 101,717           -          722       268,031      (42,825)   327,645
  Interest                      (84)          -            -         4,833                   4,749
                          ------------------------------------------------------------------------

  Gross profit                8,795           -           67        25,744                  34,606
Selling, general &
 administrative expenses      3,829         507           69        14,371                  18,776
Other interest expense        2,939       1,358            -           375                   4,672
Other income (expense)-
 net                          2,641          49         (122)       (1,822)                    746
                          ------------------------------------------------------------------------

  Income (loss) before
   taxes                      4,668      (1,816)        (124)        9,176                  11,904
Income taxes                  1,706        (618)           -         2,272                   3,360
                          ------------------------------------------------------------------------

  Income (loss) after
   taxes                      2,962      (1,198)        (124)        6,904                   8,544
Minority interests                -           -            -          (112)                   (112)
  Equity in earnings of
   affiliates                     -           -            -           176                     176
  Equity in earnings of
   subsidiaries                   -       9,806          446             -      (10,252)         -
                          ------------------------------------------------------------------------

  Net income                  2,962       8,608          322         6,968      (10,252)     8,608
Retained earnings at
 beginning of period         44,861      63,150        8,040        89,316     (142,217)    63,150
Common stock dividends            -           -            -             -                       -
                          ------------------------------------------------------------------------
  Retained earnings at
   end of period           $ 47,823    $ 71,758     $  8,362    $   96,284    $(152,469)  $ 71,758
                          ========================================================================

</TABLE>


<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF INCOME AND RETAINED EARNINGS
Nine months ended December 31, 1997
(In thousands.Unaudited)

<TABLE>
<CAPTION>


                          Standard
                          Commercial     Standard                 Other
                          Tobacco Co.   Commercial  Standard   Subsidiaries
                             Inc.      Corporation  Wool Inc.    (Non-
                          (Issuer)     (Guarantor) (Guarantor) Guarantors)   Eliminations  Total
                          --------     ----------- ----------- -----------   ------------ -------
<S>                      <C>           <C>         <C>         <C>           <C>          <C>

Sales                     $ 239,258     $    -      $  2,977     $831,875    $(119,542)  $954,568
Cost of sales:
  Materials services and
   supplies                 221,189          -         2,769      750,546     (119,542)   854,962
  Interest                    2,040          -             -       15,389            -     17,429
                          -----------------------------------------------------------------------

  Gross profit               16,029          -           208       65,940            -     82,177
Selling, general &
 administrative expenses      9,131      1,790           205       42,829            -     53,955
Other interest expense        5,442      4,103             -        1,298            -     10,843
Other income (expense)-
 net                          3,717      1,494          (275)         282            -      5,218
                          -----------------------------------------------------------------------
  Income (loss) before
   taxes                      5,173     (4,399)         (272)      22,095            -     22,597
Income taxes                  1,877     (1,496)            -        5,581            -      5,962
                          -----------------------------------------------------------------------
  Income (loss) after
   taxes                      3,296     (2,903)         (272)      16,514            -     16,635
Minority interests                -          -             -       (1,621)           -     (1,621)
  Equity in earnings of
   affiliates                     -          -             -          726            -        726
  Equity in earnings of
   subsidiaries                   -     18,643         1,831            -      (20,474)         -
                          -----------------------------------------------------------------------
  Net income                  3,296     15,740         1,559       15,619      (20,474)    15,740
Retained earnings at
 beginning of period         44,527     58,089         6,803       80,665     (131,995)    58,089
Common stock dividends            -     (2,071)            -            -            -     (2,071)
                          -----------------------------------------------------------------------

  Retained earnings at
   end of period           $ 47,823    $71,758      $  8,362     $ 96,284    $(152,469)  $ 71,758
                          =======================================================================

</TABLE>



<PAGE>




STANDARD COMMERCIAL CORPORATION
SUPPLEMENTAL COMBINING STATEMENT OF CASH FLOWS
Nine months ended December 31, 1997
(In thousands.Unaudited)

<TABLE>
<CAPTION>


                          Standard
                          Commercial     Standard                 Other
                          Tobacco Co.   Commercial  Standard   Subsidiaries
                             Inc.      Corporation  Wool Inc.    (Non-
                          (Issuer)     (Guarantor) (Guarantor) Guarantors)   Eliminations  Total
                          --------     ----------- ----------- -----------   ------------ -------
<S>                      <C>           <C>         <C>         <C>           <C>          <C>



Cash provided by
 (used in)
  operating activities    $(57,193)    $ (46,665)   $   12      $ (42,421)    $    -    $(146,267)
                          -----------------------------------------------------------------------

Cash flows from
 investing activities
Property, plant and
 equipment
  - additions               (2,680)            -       (33)        (9,565)         -      (12,278)
  - disposals                   15             -         -          5,969          -        5,984
Business (acquisitions)
 dispositions                    -             -         -         (6,328)         -       (6,328)
                          -----------------------------------------------------------------------
Cash provided by
 (used in)
  investing activities      (2,665)            -       (33)        (9,924)         -      (12,622)
                          -----------------------------------------------------------------------

Cash flows from
 financing activities:
Net change in short-term
 borrowings                 (1,277)            -         -         57,870          -       56,593
Proceeds from long-term
 borrowings                109,028             -         -          1,359          -      110,387
Repayment of long-term
 borrowings                 (8,898)            -         -         (7,818)         -      (16,716)
Net proceeds of equity
 offering                        -        47,043         -              -          -       47,043
Dividends paid                   -             -         -              -          -            -
Other                            -          (684)        -         (2,205)         -       (2,889)
                          -----------------------------------------------------------------------
Cash provided by
 (used in)
  financing activities      98,853        46,359         -         49,206          -      194,418
                          -----------------------------------------------------------------------

Increase (decrease) in
 cash for year              38,995          (306)      (21)        (3,139)         -       35,529
Cash at beginning of year    1,102           327       119         39,569          -       41,117
                          -----------------------------------------------------------------------

Cash at end of year       $ 40,097     $      21    $   98      $  36,430     $    -    $  76,646
                          =======================================================================

Cash payments
  for - Interest          $  1,651     $   2,585    $    -      $  14,562     $    -    $  18,798
      - Income taxes             -         1,006         -          6,757          -        7,763

</TABLE>



<PAGE>



 ITEM 2
 MANAGEMENT'S DISCUSSION AND ANALYSIS OF
 RESULTS OF OPERATIONS AND FINANCIAL CONDITION

 Results of Operations
 Sales for the quarter ended December 31, 1998 were $268.7  million,  a decrease
 of 26.8% from a year  earlier.  Sales for the nine  months  period  were $768.1
 million,  a decrease  of 19.5%  from same  period a year  earlier.  Most of the
 change was due to continuing  difficulties in the wool segment and lower prices
 in the tobacco  segment.  Sales of $215.1  million  and $607.6  million for the
 quarter and nine months, respectively, for the tobacco division were down 24.8%
 and 14.0% from the  corresponding  period in 1997.  Overall,  for the  quarter,
 tobacco  volume was down  21.0% due to  decreases  in Europe,  the Far East and
 South  America,  and average prices  worldwide were lower.  For the nine months
 volume was 2.3% higher than the prior year despite softness during the quarter.
 Lower prices  offset the volume gain to result in the lower  sales.  Nontobacco
 sales of $53.6  million and $160.5  million  for the  quarter and nine  months,
 respectively,  were down 33.7% and 35.2%  primarily  as the result of depressed
 market  conditions  as the  industry  continues  to deal with the impact of the
 Asian economic problems and supply/price dynamics.

The tobacco sales and price trends combined with the depressed market conditions
 in the wool segment resulted in lower gross margins for the quarter against the
 prior year  period.  Gross  margin for the nine months  improved  from the 1997
 period due  primarily to a reduction  in interest  expense  resulting  from the
 application  of the  proceeds of the senior  notes  issue to reduce  short-term
 borrowings.  The  increase  in other  interest  expense  for the nine months is
 primarily  due to the senior  notes issue  mentioned  previously  and the other
 income was higher due to the gains on sales of fixed assets and gains  realized
 from the proceeds of life insurance policies.

 The effect of the sales declines in the wool segment and lower average  tobacco
 prices  combined to lower income  before taxes for the quarter and nine months.
 The variation in income tax charges or credits as a percentage of pretax income
 is due to  differences  in tax rates  worldwide  and relief  available in areas
 where profits are earned or losses are incurred. For the periods ended December
 31, 1998,  the Company  incurred  losses in the wool segment in areas where tax
 relief was not available.

Net income was $0.8 million,  or $0.06 per share on a diluted basis, versus $8.6
 million,  or $0.62 per share for the quarter.  For the nine months period,  net
 income was $6.8 million,  or $0.53 per share on a diluted  basis,  versus $15.7
 million,  or $1.25  per  share on a  diluted  basis.  The  increase  in  shares
 outstanding  was  primarily  attributable  to the  Company's  3.0 million share
 public offering during the June 1997 quarter.


Liquidity and Capital Resources

Working  capital at  December  31, 1998 was $218.9  million,  compared to $223.0
 million a year  earlier.  Most of the  decrease  was due to the use of  working
 capital  for  business  acquisitions  and  additions  to  property,  plant  and
 equipment.   Capital  expenditures  during  1998  of  $12.0  million  consisted
 primarily of routine  expenditures of $10.0 million in the tobacco division and
 $2.0 million in the wool division. During the same period the Company increased
 its holding in its Spanish  operations from 66.33% to 100% and also invested an
 additional  amount  in its  Indian  and  Tanzanian  operations.  Cash  used  in
 operating   activities   totaled  $66.1  million  mainly  due  to  increase  in
 inventories  and a decrease  in  payables.  The  Company  continues  to closely
 monitor its inventory levels which fluctuate  depending on seasonal factors and
 business conditions.

During the first quarter of fiscal 1998 the Company  completed a secondary issue
 of 3,022,500 shares, from which the Company received $47 million.  Certain debt
 agreements  to which the  Company  and its  subsidiaries  are  parties  contain
 financial  covenants which could restrict the payment of cash dividends.  Under
 its most restrictive  covenant,  the Company had approximately $14.7 million of
 retained earnings available for distribution as dividends at December 31, 1998.

On August  1, 1997 the  Company  completed  a $115  million  Rule  144A  private
 placement of 8 7/8% Senior Notes Due 2005.  The Senior Notes were  subsequently
 registered  with the Securities  and Exchange  Commission and an exchange offer
 was  completed  on  December  31,  1997.   The  proceeds  were  used  to  repay
 indebtedness under existing bank credit facilities and certain long-term debt.
 .

<PAGE>



STANDARD COMMERCIAL CORPORATION
 MANAGEMENT'S DISCUSSION AND ANALYSIS OF
 RESULTS OF OPERATIONS AND FINANCIAL CONDITION (continued)


 Liquidity and Capital Resources (continued)

 Based on the outlook for the tobacco and wool divisions, management anticipates
 that it will be able to service the interest and principal on its indebtedness,
 maintain  adequate working capital and provide for capital  expenditures out of
 operating cash flow.


 Year 2000 Issues

Background
The approach of the year 2000 has  heightened  concern over  potential  problems
with data  systems and devices  that may not be able to process  dates  properly
after 1999. Affected systems and devices may fail or malfunction if not remedied
or replaced.  The Company actually began addressing internal year 2000 issues in
the  early  1990's.  From  1991 to 1994  the  Company  began to move  away  from
mainframe based systems and became an early adopter of PC, LAN and client-server
solutions  to meet  information  needs.  The Company  internally  developed  new
manufacturing and inventory  applications  using tools that accommodate dates as
proper date types rather than encoded string variables or limited serial numeric
dates. The internally  developed  applications and year 2000 compliant financial
systems were installed in many group  companies in the  mid-1990's.  The Company
formed a steering  committee in 1997 to assess the Company's year 2000 readiness
and to  develop  a plan to  ensure  readiness.  The  steering  committee,  which
includes representatives from all functional areas of the Company, meets monthly
to monitor  progress on the plan,  advise group companies on issues and allocate
resources for solutions. The plan adopted consists of two main areas of focus.

Year 2000 Plan
1. Internal year 2000 issues
Internal  year 2000 issues  include the effects of date changes on the Company's
technology, including hardware, software and equipment containing other embedded
systems such as programmable logic controllers ("PLC"). The steering committee's
plan  for  assessing  internal  year  2000  readiness  consists  of  identifying
technology at each location,  evaluating the exposure of such technology to year
2000  problems,  testing the  technology for problems and resolving any problems
noted. The critical technology identified includes manufacturing,  inventory and
financial  systems.  The Company has made  substantial  progress on the internal
plan. Most group companies have already developed  comprehensive  inventories of
technology and evaluated  their  exposure.  In locations  where the Company uses
externally  provided  software or PLC technology in equipment,  testing is being
done and vendor surveys have been conducted.  Members of the steering  committee
and a full-time  information  resources  technician  are  visiting  locations to
assess the completeness of the listings and assist in evaluating readiness.  The
Company expects the identification, evaluation and testing phases of the plan to
be fully  completed  by June  1999.  As noted  above,  the use of the  Company's
internally developed manufacturing and inventory applications has alleviated the
major issues associated with year 2000 at most locations.  Only one location,  a
European subsidiary  manufacturing facility, had pervasive year 2000 issues. The
Company is in the  process  of  replacing  the  systems  in that  location  with
internally developed software and expects to complete the project by March 1999.

Although there can be no absolute assurance that the year 2000 plan will be able
to identify all potential  problem  areas,  the Company is presently on schedule
and believes that the internal phase of the plan will be completed by July 1999.
Contingency  plans are  currently  being  developed  to sustain  operations  and
continue to provide a high level of customer service.

<PAGE>


2. External year 2000 issues
The Company's plan for addressing  external year 2000 issues consists  primarily
of communicating with its suppliers, financial institutions, customers and other
business  partners  to  determine  the  extent  of their  year  2000  readiness.
Responses  are being  catalogued  and  follow-up  communications  are ongoing as
necessary.  The  Company  expects  to  complete  the  process of  assessing  the
readiness of its significant third parties by June 30, 1999. Certain significant
customers and suppliers are located in foreign  countries where the awareness of
year 2000  problems  and  remediation  efforts  may be behind that of the United
States.  Additionally,  the Company is subject to operational  risks relating to
the  readiness  of  utilities,   transportation  facilities,  financial  service
providers and government  operated  services that could interrupt  business unit
operations.   The  Company  cannot  predict  the  outcome  of  other  companies'
remediation efforts.

Costs
The Company currently plans to complete its year 2000 plan by June 30, 1999. The
total remaining cost of completing the plan is estimated at $0.7 million,  which
includes the cost of installing internally developed  manufacturing  software in
the European  subsidiary,  any software  upgrades  from vendors  necessary to be
compliant and the cost of  consultants  and employees  assigned to implement the
plan.  These  amounts do not include  estimated  costs to implement  contingency
plans that are being  developed.  The costs associated with year 2000 issues are
expensed  as  incurred  and are  funded  with cash flow from  operations.  As of
December  31, 1998 the Company has  incurred  and  expensed  approximately  $0.5
related to the  identification,  evaluation  and testing phases of the plan. The
Company  does not  expect  the  total  costs of  addressing  these  issues to be
material to its consolidated financial position or results of operations.

Risk Assessment
At this  time,  the  Company  believes  its most  reasonably  likely  worst case
scenario is that  processing  and shipping at key locations may be disrupted due
to year 2000  issues  of  utilities,  transportation  providers  and  government
operated services in foreign  countries.  Such issues could impair the Company's
ability to process and deliver products. There can be no absolute assurance that
such a  scenario  would not have a  material  adverse  effect  on the  Company's
consolidated financial position or results of operations.

Contingency Plans
Contingency plans are being developed so that the Company's operational and data
systems  can be  expected  to  function  on  January  1,  2000 and  beyond.  The
contingency  plans will be structured  to address  primarily the risk that third
parties'  year 2000  issues will  disrupt  operations.  The  Company  expects to
complete its contingency plans by June 30, 1999.

Conversion to the Euro Currency

On January 1, 1999,  eleven of the European Union countries began the conversion
 from their  national  currencies  to the "Euro" by  agreeing  to fixed rates of
 exchange of their  currencies  against  the Euro.  In the  initial  phase,  the
 national  currencies will continue to exist until full conversion in July 2002.
 The Company's subsidiaries affected by the conversion are developing procedures
 and modifying financial reporting to accommodate the new currency.  The Company
 anticipates that the Euro conversion will not have a material adverse effect on
 its financial condition or results of operation.


Forward-Looking Statements

 Statements in this report that are not purely statements of historical fact may
 be  deemed  to  be  forward-looking.   Readers  are  cautioned  that  any  such
 forward-looking  statements are based upon  management's  current knowledge and
 assumptions,  and actual  results  could be affected in a material  way by many
 factors,  including ones over which the Company has little or no control,  e.g.
 unforeseen  changes in  shipping  schedules;  the  balance  between  supply and
 demand;  and  market,   economic,   political  and  weather  conditions.   More
 information  regarding  certain of these  factors is contained in the Company's
 other SEC filings, copies of which are available upon request from the Company.
 The  Company  assumes  no  obligation  to update  any of these  forward-looking
 statements.


<PAGE>



                         PART II - OTHER INFORMATION


Item 1.     Legal Proceedings  -  Not applicable

Item 2.     Changes in Securities  -  Not applicable

Item 3.     Defaults Upon Senior Securities  -  Not applicable

Item 4.     Submission  of  Matters  to a  Vote  of  Security  Holders  -  Not
            applicable

Item 5.     OTHER INFORMATION  -  Not applicable

Item 6.     EXHIBITS AND REPORTS ON FORM 8-K

            a. The following exhibits are filed as a part of this report:

               11 Computation of Earnings per Common Share.

               27 Financial Data Schedule

            b. The Company did not file any reports on Form 8-K during the
               quarter.


                                   SIGNATURES


      Pursuant to the  requirements of the Securities  Exchange Act of 1934, the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.


Dated: February 10, 1999            STANDARD COMMERCIAL CORPORATION
                                                  (Registrant)



                                   By /s/   Robert E Harrison
                                      ----------------------------------
                                      Robert E Harrison
                                      President, Chief Executive Officer



                                   By /s/   Robert A Sheets
                                      ------------------------------------
                                      Robert A Sheets
                                      Vice President and Chief Financial Officer
<PAGE>

STANDARD COMMERCIAL CORPORATIONCOMPUTATION OF EARNINGS PER COMMON SHARE
EXHIBIT  11
(In thousands, except share information; unaudited)

<TABLE>
<CAPTION>

                                                                   Third quarter ended          Nine months ended
                                                                       December 31                 December 31
                                                                    1998         1997           1998         1997
                                                                   -----        -----           ----        -----
<S>                                                             <C>           <C>            <C>           <C>
BASIC EARNINGS PER SHARE

Net income applicable to common stock .......................   $       760   $     8,608   $     6,793   $    15,740
                                                                ===========   ===========   ===========   ===========

Basic average shares outstanding ............................    12,824,281    12,802,375    12,816,663    12,234,431

 Basic earnings per common share - net ......................   $      0.06   $      0.67   $      0.53   $      1.29

DILUTED EARNINGS PER SHARE
 Net income applicable to common stock ......................   $       760   $     8,608   $     6,793   $    15,740
Add -- after-tax  interest  expense  on  7 1/4% convertible
        subordinated debentures at November 1                           825           825         2,475         2,475
                                                                -----------   -----------   -----------   -----------
Net income applicable to common stock .......................   $     1,585   $     9,433   $     9,268   $    18,215
                                                                ===========   ===========   ===========   -----------

Basic average shares outstanding ............................    12,824,281    12,802,375    12,816,663    12,234,431
Increase in shares outstanding assuming
        -- conversion of 7 1/4% convertible 
        subordinated debentures at November 13, 1991 ........     2,348,536     2,348,536     2,348,536     2,348,536

Diluted average shares outstanding ..........................    15,172,817    15,150,911    15,165,199    14,582,967

Diluted earnings per common share - net .....................   $      0.10   $      0.62   $      0.61   $      1.25
</TABLE>