UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549



                                    FORM 10-Q



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

For  the  quarterly  period  ended  October  5,  1998


                                       OR



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

For  the  transition  period  from              to

Commission  file  number  0-20022


                        POMEROY COMPUTER RESOURCES, INC.
                        --------------------------------
             (Exact name of registrant as specified in its charter)


             DELAWARE                                            31-1227808
--------------------------------------------------------------------------------
(State or jurisdiction  of incorporation                      (I.R.S. Employer
          or organization)                                   Identification No.)


                     1020 Petersburg Road,  Hebron, KY 41048
                     ---------------------------------------
                    (Address of principal executive offices)

                                 (606) 586-0600
                                 --------------
              (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
requirements  for  the  past  90  days.

YES    X     NO
      ---         ---

The  number  of  shares  of  common stock outstanding as of October 30, 1998 was
11,533,619.

                                    1 of 14
<PAGE>
<TABLE>
<CAPTION>

                               POMEROY COMPUTER RESOURCES

                                   TABLE OF CONTENTS



Part I.    Financial Information
           Item 1.                Financial Statements:                            Page
                                                                                   ----
<S>        <C>                    <C>                                              <C>
                                  Consolidated Balance Sheets as of January 5,        3
                                  1998 and October 5, 1998

                                  Consolidated Statements of Income for the           4
                                  Quarters Ended October 5, 1998 and 1997

                                  Consolidated Statements of  Income for the Nine     5
                                  Months Ended October 5, 1998 and 1997

                                  Consolidated Statements of Cash Flows for the       6
                                  Nine Months Ended October 5, 1998 and 1997

                                  Notes to Consolidated Financial Statements          7

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

Part II    Other Information                                                         13

SIGNATURE                                                                            14

</TABLE>

                                    2 of 14
<PAGE>
<TABLE>
<CAPTION>
                                  POMEROY COMPUTER RESOURCES

                                  CONSOLIDATED BALANCE SHEETS
                                        (In thousands)


                                                                      JANUARY 5,   OCTOBER 5,
ASSETS                                                                   1998         1998
                                                                      -----------  -----------
<S>                                                                   <C>          <C>
CURRENT ASSETS:
   CASH. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $       380  $     1,519
   ACCOUNTS AND NOTE RECEIVABLE, LESS ALLOWANCE OF $578 AND $739 AT
   JANUARY 5, AND OCTOBER 5, 1998, RESPECTIVELY. . . . . . . . . . .       99,707      138,816
   INVENTORIES . . . . . . . . . . . . . . . . . . . . . . . . . . .       39,160       40,218
   OTHER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          816        1,333
                                                                      -----------  -----------
               TOTAL CURRENT ASSETS. . . . . . . . . . . . . . . . .      140,063      181,886
                                                                      -----------  -----------

EQUIPMENT AND LEASEHOLD IMPROVEMENTS . . . . . . . . . . . . . . . .       17,316       22,208
LESS ACCUMULATED DEPRECIATION. . . . . . . . . . . . . . . . . . . .        6,770        9,477
                                                                      -----------  -----------
   NET EQUIPMENT AND LEASEHOLD IMPROVEMENTS. . . . . . . . . . . . .       10,546       12,731
                                                                      -----------  -----------

OTHER ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . .       16,655       26,633
                                                                      -----------  -----------
               TOTAL ASSETS. . . . . . . . . . . . . . . . . . . . .  $   167,264  $   221,250
                                                                      ===========  ===========

LIABILITIES & EQUITY
CURRENT LIABILITIES:
   NOTES PAYABLE . . . . . . . . . . . . . . . . . . . . . . . . . .  $     2,077  $     2,456
   ACCOUNTS PAYABLE. . . . . . . . . . . . . . . . . . . . . . . . .       40,038       56,767
   BANK NOTES PAYABLE. . . . . . . . . . . . . . . . . . . . . . . .       22,611       39,408
   OTHER CURRENT LIABILITIES . . . . . . . . . . . . . . . . . . . .       12,309       12,043
                                                                      -----------  -----------
               TOTAL CURRENT LIABILITIES . . . . . . . . . . . . . .       77,035      110,674
                                                                      -----------  -----------

NOTES PAYABLE. . . . . . . . . . . . . . . . . . . . . . . . . . . .        1,434        5,090
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . . . . . . . .           18          434

EQUITY:
   PREFERRED STOCK (NO SHARES ISSUED OR OUTSTANDING) . . . . . . . .            -            -
   COMMON STOCK (11,402 AND 11,534 SHARES ISSUED AND OUTSTANDING AT
   JANUARY 5 AND OCTOBER 5, 1998, RESPECTIVELY). . . . . . . . . . .          114          115
   PAID-IN CAPITAL . . . . . . . . . . . . . . . . . . . . . . . . .       60,226       61,940
   RETAINED EARNINGS . . . . . . . . . . . . . . . . . . . . . . . .       28,641       43,319
                                                                      -----------  -----------
                                                                           88,981      105,374
LESS TREASURY STOCK, AT COST (21 AND 31 SHARES AT JANUARY 5
AND OCTOBER 5, 1998, RESPECTIVELY) . . . . . . . . . . . . . . . . .          204          322
                                                                      -----------  -----------

                  TOTAL EQUITY . . . . . . . . . . . . . . . . . . .       88,777      105,052
                                                                      -----------  -----------
                  TOTAL LIABILITIES AND EQUITY . . . . . . . . . . .  $   167,264  $   221,250
                                                                      ===========  ===========
</TABLE>

                 See notes to consolidated financial statements.
                                    3 of 14
<PAGE>
<TABLE>
<CAPTION>
                           POMEROY COMPUTER RESOURCES

                        CONSOLIDATED STATEMENTS OF INCOME
                    (In thousands, except per share amounts)


                                               Quarter Ended
                                         --------------------------
                                          OCTOBER 5,    OCTOBER 5,
                                             1997          1998
                                         ------------  ------------
<S>                                      <C>           <C>
NET SALES AND REVENUES. . . . . . . . .  $   130,729   $   163,790 
COST OF SALES AND SERVICE . . . . . . .      109,196       134,275 
                                         ------------  ------------
      GROSS PROFIT. . . . . . . . . . .       21,533        29,515 

OPERATING EXPENSES:
   SELLING, GENERAL AND ADMINISTRATIVE.       12,841        18,292 
   RENT EXPENSE . . . . . . . . . . . .          486           622 
   DEPRECIATION . . . . . . . . . . . .          702           973 
   AMORTIZATION . . . . . . . . . . . .          271           433 
                                         ------------  ------------
      TOTAL OPERATING EXPENSES. . . . .       14,300        20,320 
                                         ------------  ------------

INCOME FROM OPERATIONS. . . . . . . . .        7,233         9,195 

INTEREST EXPENSE. . . . . . . . . . . .          182           711 
OTHER EXPENSE (INCOME). . . . . . . . .          (42)          (77)
                                         ------------  ------------
INCOME BEFORE INCOME TAX. . . . . . . .        7,093         8,561 

INCOME TAX EXPENSE. . . . . . . . . . .        2,553         3,168 
                                         ------------  ------------
NET INCOME. . . . . . . . . . . . . . .  $     4,540   $     5,393 
                                         ============  ============

WEIGHTED AVERAGE SHARES OUTSTANDING:
   BASIC. . . . . . . . . . . . . . . .       11,269        11,505 
   DILUTED. . . . . . . . . . . . . . .       11,617        11,745 

EARNINGS PER COMMON SHARE:
   BASIC. . . . . . . . . . . . . . . .  $      0.40   $      0.47 
   DILUTED. . . . . . . . . . . . . . .  $      0.39   $      0.46 
</TABLE>

                 See notes to consolidated financial statements.

                                    4 of 14
<PAGE>
<TABLE>
<CAPTION>
                           POMEROY COMPUTER RESOURCES

                        CONSOLIDATED STATEMENTS OF INCOME
                    (In thousands, except per share amounts)


                                             Nine Months Ended
                                         -------------------------
                                         OCTOBER 5,   OCTOBER 5,
                                            1997         1998 
                                         -----------  ------------
<S>                                      <C>          <C>
NET SALES AND REVENUES. . . . . . . . .  $   349,313  $   457,831 
COST OF SALES AND SERVICE . . . . . . .      291,741      377,814 
                                         -----------  ------------
      GROSS PROFIT. . . . . . . . . . .       57,572       80,017 

OPERATING EXPENSES:
   SELLING, GENERAL AND ADMINISTRATIVE.       34,613       49,057 
   RENT EXPENSE . . . . . . . . . . . .        1,405        1,810 
   DEPRECIATION . . . . . . . . . . . .        2,205        2,779 
   AMORTIZATION . . . . . . . . . . . .          706        1,195 
                                         -----------  ------------
      TOTAL OPERATING EXPENSES. . . . .       38,929       54,841 
                                         -----------  ------------

INCOME FROM OPERATIONS. . . . . . . . .       18,643       25,176 

INTEREST EXPENSE. . . . . . . . . . . .          648        2,011 
OTHER EXPENSE (INCOME). . . . . . . . .           79         (133)
                                         -----------  ------------
INCOME BEFORE INCOME TAX. . . . . . . .       17,916       23,298 

INCOME TAX EXPENSE. . . . . . . . . . .        6,449        8,620 
                                         -----------  ------------
NET INCOME. . . . . . . . . . . . . . .  $    11,467  $    14,678 
                                         ===========  ============

WEIGHTED AVERAGE SHARES OUTSTANDING:
   BASIC. . . . . . . . . . . . . . . .       10,949       11,450 
   DILUTED. . . . . . . . . . . . . . .       11,263       11,754 

EARNINGS PER COMMON SHARE:
   BASIC. . . . . . . . . . . . . . . .  $      1.05  $      1.28 
   DILUTED. . . . . . . . . . . . . . .  $      1.02  $      1.25 
</TABLE>

See  notes  to  consolidated  financial  statements.

                                    5 of 14
<PAGE>
<TABLE>
<CAPTION>
                            POMEROY COMPUTER RESOURCES

                       CONSOLIDATED STATEMENTS OF CASH FLOWS
                                  (In thousands)


                                                            Nine Months Ended
                                                        --------------------------
                                                         October 5,    October 5,
                                                            1997          1998 
                                                        ------------  ------------
<S>                                                     <C>           <C>
Net cash flows used in operating activities. . . . . .  $   (21,995)  $    (2,312)
                                                        ------------  ------------

Cash flows used in investing activities:
   Capital expenditures. . . . . . . . . . . . . . . .       (1,790)       (2,684)
   Acquisition of resellers. . . . . . . . . . . . . .       (2,990)      (11,229)
                                                        ------------  ------------
Net investing activities . . . . . . . . . . . . . . .       (4,780)      (13,913)
                                                        ------------  ------------

Cash flows provided by (used in) financing activities:
   Net borrowings (payments) on bank note. . . . . . .       (3,070)       16,797 
   Payment of notes payable. . . . . . . . . . . . . .         (492)       (1,030)
   Net proceeds of stock offering. . . . . . . . . . .       23,262             - 
   Purchase of treasury stock. . . . . . . . . . . . .            -          (118)
   Proceeds from exercise of stock options . . . . . .          320         1,715 
                                                        ------------  ------------
Net financing activities . . . . . . . . . . . . . . .       20,020        17,364 
                                                        ------------  ------------

Increase (decrease) in cash. . . . . . . . . . . . . .       (6,755)        1,139 

Cash:
   Beginning of period . . . . . . . . . . . . . . . .        6,809           380 
                                                        ------------  ------------
   End of period . . . . . . . . . . . . . . . . . . .  $        54   $     1,519 
                                                        ============  ============
</TABLE>

                 See notes to consolidated financial statements.

                                    6 of 14
<PAGE>
                        POMEROY COMPUTER RESOURCES, INC.

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.     Basis  of  Presentation

The  consolidated  financial  statements  have  been prepared in accordance with
generally  accepted  accounting principles for interim financial information and
with  the  instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Except as
disclosed herein, there has been no material change in the information disclosed
in  the  notes  to  consolidated  financial statements included in the Company's
Annual Report on Form 10-K for the year ended January 5, 1998. In the opinion of
management,  all adjustments (consisting of normal recurring accruals) necessary
for  a  fair  presentation  of the interim period have been made. The results of
operations  for  the nine-month period ended October 5, 1998 are not necessarily
indicative of the results that may be expected for future interim periods or for
the  year  ending  January  5,  1999.

2.   Borrowing  Arrangements

          At  January  5  and  October 5, 1998, bank notes payable include  $6.5
million  and  $2.1  million,  respectively,  of  overdrafts in accounts with the
Company's  secondary  lender. These amounts were subsequently funded through the
normal  course  of  business.

On  July  14,  1998  the  Company  finalized a $120 million credit facility with
Deutsche Financial Services Corp ("DFS"). This credit facility provides a credit
line  of  $60.0  million  for inventory financing and $60.0 million for accounts
receivable  financing.  The  inventory  financing portion of the credit facility
utilizes  thirty day notes and provides interest free financing due to subsidies
by  manufacturers. The credit facility can be amended, with proper notification,
if the thirty day interest free subsidies provided by manufacturers are revised.
The  accounts  receivable  portion  of  the  credit  facility carries a variable
interest rate based on the prime rate less 125 basis points. The credit facility
is  collateralized  by  substantially  all  of the assets of the Company, except
those  assets that collateralize certain other financing arrangements. Under the
terms  of  the  credit  facility,  the  Company  is subject to various financial
covenants.

3.     Earnings  per  Common  Share

The  following is a reconciliation of the number of shares used in the basic EPS
and  diluted  EPS  computations:

(In  thousands,  except  per  share  data)

<TABLE>
<CAPTION>
                                                  Quarter ended October 5,
                                           ----------------------------------------
                                                  1997                1998
                                           -------------------  -------------------
                                                   Per Share             Per Share
                                           Shares    Amount     Shares     Amount
                                           ------  -----------  ------  -----------
<S>                                        <C>     <C>          <C>     <C>
         Basic EPS. . . . . . . . . . . .  11,269  $     0.40   11,505  $     0.47 
         Effect of dilutive stock options     348       (0.01)     240       (0.01)
                                           ------  -----------  ------  -----------
         Diluted EPS. . . . . . . . . . .  11,617  $     0.39   11,745  $     0.46 
                                           ======  ===========  ======  ===========
</TABLE>

                                    7 of 14
<PAGE>
3.     Earnings  per  Common  Share  (continued)

<TABLE>
<CAPTION>
                                       Nine months ended October 5,
                                  ----------------------------------------
                                         1997                1998
                                  -------------------  -------------------
                                           Per Share           Per Share
                                  Shares    Amount     Shares     Amount
                                  ------  -----------  ------  -----------
<S>                               <C>     <C>          <C>     <C>
Basic EPS. . . . . . . . . . . .  10,949  $     1.05   11,450  $     1.28 
Effect of dilutive stock options     314       (0.03)     304       (0.03)
                                  ------  -----------  ------  -----------
Diluted EPS. . . . . . . . . . .  11,263  $     1.02   11,754  $     1.25 
                                  ======  ===========  ======  ===========
</TABLE>

4.     Supplemental  Cash  Flow  Disclosures

Supplemental  disclosures  with  respect  to  cash flow information and non-cash
investing  and  financing  activities  are  as  follows:

<TABLE>
<CAPTION>
                                        Nine Months Ended
                                     ------------------------
                                     October 5,   October 5,
                                        1997         1998
                                     -----------  -----------
<S>                                  <C>          <C>
Interest paid . . . . . . . . . . .  $       721  $     1,834
                                     ===========  ===========

Income taxes paid . . . . . . . . .  $     5,023  $    12,056
                                     ===========  ===========

Business combinations accounted for
as purchases:

   Assets acquired                                $    31,734
   Liabilities assumed                                 18,505
   Notes payable                                        2,000
                                                  -----------
   Net cash paid                                  $    11,229
                                                  ===========
</TABLE>

5.     Litigation

There  are  various  legal actions arising in the normal course of business that
have  been  brought  against the Company. Management believes these matters will
not  have  a  material  adverse  effect  on  the Company's financial position or
results  of  operations.

                                    8 of 14
<PAGE>
     SPECIAL  CAUTIONARY  NOTICE  REGARDING  FORWARD-LOOKING  STATEMENTS
     -------------------------------------------------------------------

Certain  of the matters discussed under the caption "Management's Discussion and
Analysis  of  Financial  Condition  and  Results  of  Operations" may constitute
forward-looking  statements  for  purposes of the Securities Act of 1933 and the
Securities  Exchange  Act of 1934, as amended, and as such may involve known and
unknown  risks,  uncertainties  and  other  factors  which  may cause the actual
results,  performance  or achievements of the Company to be materially different
from  future  results,  performance or achievements expressed or implied by such
forward-looking  statements.  Important  factors  that  could  cause  the actual
results,  performance  or  achievements of the Company to differ materially from
the  Company's  expectations  are  disclosed in this document including, without
limitation,  those  statements  made  in  conjunction  with  the forward-looking
statements  under  "Management's  Discussion and Analysis of Financial Condition
and  Results  of  Operations".  All  written  or oral forward-looking statements
attributable  to  the  Company are expressly qualified in their entirety by such
factors.


                        POMEROY COMPUTER RESOURCES, INC.
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

TOTAL  NET  SALES  AND  REVENUES.  Total  net sales and revenues increased $33.1
million,  or  25.3%,  to $163.8 million in the third quarter of 1998 from $130.7
million  in  the  third  quarter  of  1997.  This  increase  was attributable to
acquisitions completed in fiscal years 1998 and 1997 and an increase in sales to
existing  and  new  customers.  Excluding acquisitions completed in fiscal years
1998  and  1997, total net sales and revenues increased 0.9%. Sales of equipment
and  supplies  increased $24.5 million, or 21.0%, to $141.3 million in the third
quarter  of  1998  from  $116.8  million in the third quarter of 1997. Excluding
acquisitions  completed  in  fiscal  years 1998 and 1997, sales of equipment and
supplies  decreased  3.3%. Service revenues increased $8.5 million, or 60.7%, to
$22.5  million  in  the  third  quarter  of 1998 from $14.0 million in the third
quarter of 1997. Excluding acquisitions completed in fiscal years 1998 and 1997,
service  revenues  increased  48.7%.

Total  net  sales  and  revenues  increased  $108.5 million, or 31.1%, to $457.8
million  in  the first nine months of 1998 from $349.3 million in the first nine
months  of 1997. Excluding acquisitions completed in fiscal years 1998 and 1997,
total  net  sales  and revenues increased 12.3%. Sales of equipment and supplies
increased $86.4 million, or 27.6%, to $400.0 million in the first nine months of
1998  from  $313.6  million  in  the  first  nine  months  of  1997.  Excluding
acquisitions  completed  in  fiscal  years 1998 and 1997, sales of equipment and
supplies  increased 8.3%. Service revenues increased $22.1 million, or 61.9%, to
$57.8  million  in the first nine months of 1998 from $35.7 million in the first
nine  months  of 1997. Excluding acquisitions completed in fiscal years 1998 and
1997,  service  and  other  revenues  increased  48.2%.

GROSS  MARGIN.  Gross margin was 18.0 % in the third quarter of 1998 compared to
16.5%  in  the  third  quarter  of 1997. This improved gross margin in the third
quarter  of  1998  can  be  attributed  to  an  increase  in  the  percentage of
higher-margin  service  revenues.  Service revenues as a percentage of total net
sales  increased  to 13.7% in the third quarter of fiscal 1998 compared to 10.7%
in  the  third  quarter of fiscal 1997. Factors that may have an impact on gross
margin in the future include the percentage of equipment sales with lower-margin
customers  and  the  ratio  of service revenues to total net sales and revenues.

Gross margin was 17.5% in the first nine months of fiscal 1998 compared to 16.5%
in the first nine months of fiscal 1997. This improved gross margin in the first
nine  months  of  fiscal  1998 can be attributed to an increase in higher-margin
service  revenues  as  a  percentage  of  total net sales. Service revenues as a
percentage  of  total  net  sales increased to 12.6% in the first nine months of
fiscal  1998  compared  to  10.2%  in  the  first  nine  months  of fiscal 1997.

OPERATING EXPENSES. Selling, general and administrative expenses (including rent
expense)  expressed as a percentage of total net sales and revenues increased to
11.5%  and  11.1%  for  the  third quarter and first nine months of fiscal 1998,
respectively, from 10.2% and 10.3% in the third quarter and first nine months of
fiscal  1997,  respectively. The increase in selling, general and administrative
expenses  expressed as a percentage of total net sales and revenues in the third
quarter  and  first nine months of fiscal 1998 is attributable to the investment
made  in technical personnel to generate the increase in service revenues. Total
operating  expenses  expressed  as  a percentage of total net sales and revenues
increased to 12.4% and 12.0% in the third quarter and first nine months of 1998,
respectively, from 10.9% and 11.1% in the third quarter and first nine months of
1997,  respectively.  This  increase  in total operating expenses expressed as a
percentage  of  total net sales and revenues in the third quarter and first nine
months  of  fiscal  1998  is  attributable  to the same factors described above.

                                    9 of 14
<PAGE>
INCOME FROM OPERATIONS. Income from operations increased $2.0 million, or 27.8%,
to  $9.2  million  in  the third quarter of fiscal 1998 from $7.2 million in the
third  quarter  of fiscal 1997. The Company's operating margin increased to 5.6%
in  the  third  quarter of fiscal 1998 as compared to 5.5% in the same period in
fiscal  1997.

Income from operations increased $6.6 million, or 35.5%, to $25.2 million in the
first  nine months of fiscal 1998 from $18.6 million in the first nine months of
fiscal  1997.  Operating margin was 5.5% in the first nine months of fiscal 1998
as  compared  to  5.3%  in  the  comparable  period  of  fiscal  1997.

INTEREST  EXPENSE.  Interest  expense  was  $0.7 million and $2.0 million in the
third  quarter  and  first nine months of fiscal 1998 compared with $0.2 million
and $0.6 million in the third quarter and first nine months of fiscal 1997. This
increase  in the third quarter and first nine months of 1998 from the comparable
periods  in fiscal 1997 is due to higher average debt outstanding primarily as a
result  of  increased  cash  needs  for  acquisitions.

INCOME  TAXES.  The  Company's effective tax rate was 37.0% in the third quarter
and  first nine months of fiscal 1998 compared to 36.0% in the third quarter and
first  nine  months  of  fiscal  1997.

NET  INCOME. Net income increased $0.9 million, or 20.0%, to $5.4 million in the
third  quarter  of  fiscal 1998 from $4.5 million in the third quarter of fiscal
1997. This increase was a result of the factors described previously. Net income
increased  $3.2  million, or 27.8%, to $14.7 million in the first nine months of
fiscal  1998  from  $11.5  million in the first nine months of fiscal 1997. This
increase  was  a  result  of  the  factors  described  previously.

                         LIQUIDITY AND CAPITAL RESOURCES

Cash  used  in operating activities was $2.3 million in the first nine months of
fiscal  1998.  Cash  used  in  investing  activities  included $11.2 million for
acquisitions  and  $2.7  million  for  capital  expenditures.  Cash  provided by
financing  activities  included  $16.8  million  of net borrowings on bank notes
payable and $1.7 million from the exercise of stock options less $1.0 million of
repayments  on  various  notes  payable  and  $0.1  million  for the purchase of
treasury  stock.

On  July  14,  1998,  the Company finalized a $120.0 million line of credit with
Deutsche Financial Services ("DFS"). This credit facility provides a credit line
of  $60.0  million  for  inventory  financing  and  $60.0  million  for accounts
receivable  financing.  The  inventory  financing portion of the credit facility
utilizes  thirty day notes and provides interest free financing due to subsidies
by  manufacturers. The credit facility can be amended, with proper notification,
if the thirty day interest free subsidies provided by manufacturers are revised.
Any  change  in  the  subsidies  provided  by  manufacturers  could increase the
financing  costs  of  the Company. The accounts receivable portion of the credit
facility carries a variable interest rate based on the prime rate less 125 basis
points. The credit facility is collateralized by substantially all of the assets
of  the  Company, except those assets that collateralize certain other financing
arrangements.  Under the terms of the credit facility, the Company is subject to
various  financial  covenants.  A  less  significant  part  of  the  Company's
inventories  is financed by a floor plan arrangement with IBM Credit Corporation
("ICC").  At  October  5,  1998,  this  line  of  credit  totaled $12.0 million.
Borrowings  under  the  ICC  floor plan arrangement are made on sixty day notes,
with  one-half  of  the  note amount due in thirty days. All such borrowings are
secured  by  the related inventory. Financing is substantially interest free due
to  subsidies  by  manufacturers.  The average interest rate on the plan is less
than  1.0% per annum. The Company classifies amounts outstanding under the floor
plan  arrangements  as  accounts  payable.

                                    10 of 14
<PAGE>
The  Company believes that the anticipated cash flow from operations and current
financing  arrangements  will  be  sufficient  to  satisfy the Company's capital
requirements  for  the  next  12  months.

                                      OTHER

Year  2000  Issues

The following is a discussion of the Year 2000 date issue ("Year 2000 issue") as
it  affects  the  Company.  The  Year  2000 issue arises from the fact that many
computer  programs  and embedded chips in other forms of technology use only the
last  two  digits  to  identify  a  year  in  a  date  field.

The  Company's  State  of  Readiness.

The  Company  currently believes its potential exposure to problems arising from
the  Year  2000  issue  lies  primarily  in  two  areas:

-     The  Company's  internal  operating systems which include both Information
technology  ("IT")  and  non-IT  components  (such as computer chips imbedded in
hardware).

-     Compliance with the Year 2000 issue by third parties with whom the Company
has  a  material  relationship.

Internal  operating  systems:

The  Company  is heavily dependent upon complex computer systems (IT technology)
for  all  phases  of  its  operations, which include sales and distribution. The
Company  began addressing the affect of the Year 2000 issue in 1996. The Company
has  completed an assessment of its principle IT technology systems and modules.
The  Company  has  determined  that  these  systems  and  modules  are Year 2000
compliant based on systematic testing conducted by Company personnel and outside
consultants.  There may be some non-critical applications that are not Year 2000
compliant.  The  Company  is  completing  a  four-phase  program to identify and
resolve  this  exposure:

1.     To  the  extent  practical,  systematically test and verify equipment and
facility  systems  that  contain  non-IT  components.
2.     Test  non-critical  applications  and  assess  whether  any non-compliant
applications  should be replaced, upgraded or discontinued. Continue to test and
verify  that  the  Company's  principle  IT  systems  and  modules are Year 2000
compliant.
3.     Use  internal  programmers  and outside consultants to upgrade or replace
any  non-compliant applications to be continued and to upgrade any other systems
and  modules  determined  to  be  non-compliant.
4.     Replace  non-IT  components  that  are  not  Year  2000  compliant.

The  Company estimates that it will complete its assessment of non-IT technology
and  non-critical  applications  for  its  IT technology by the end of the first
quarter  of  fiscal  1999.

Third  party  relationships:

The  Company  is  continuing  to  assess the Year 2000 issue with respect to its
third  party relationships. Although the Company is rarely dependent on a single
source  of  supply  for  IT  and  non-IT  components,  the failure of a selected
supplier  to  timely  deliver Year 2000 compliant IT and non-IT components could
jeopardize  the  Company's  ability to meet its required delivery schedules. The
Company  is  pursuing  a  two-phase  program  to  identify and resolve Year 2000
exposure  from  third  parties:

1.   Develop  a  supplier  compliance warranty for incorporation in all purchase
orders issued after June 30, 1999.  That warranty will require suppliers selling
IT and non-IT components to the Company to certify that items delivered are Year
2000  compliant and require them to correct or replace any such item found to be
non  compliant.  The  Company  estimates  that  it  will complete its assessment
relating  to  third  party  suppliers and development of its supplier compliance
warranty  by  the  end  of  the  first  quarter  of  fiscal  1999.

                                    11 of 14
<PAGE>
2.     Develop  alternative  sources  for IT and non-IT components that are Year
2000  compliant  in the event existing suppliers are not able to meet compliance
requirements.

3.     The  Company  is also dependent on third party service providers, such as
telephone companies, banks and insurance carriers; however, the Company does not
believe  it  has significant Year 2000 exposure from those providers and has not
implemented  any  programs  to  assure  Year  2000  compliance  by  them.


Costs  to  address  the  Company's  Year  2000  issues.

Other than time spent by the Company's internal information technology and other
personnel,  the  Company  has  not incurred any significant costs in identifying
year  2000 issues. The Company does not anticipate any significant costs to make
its  internal  systems year 2000 compliant because no remediation is expected to
be  required.  Because  no material year 2000 issues have yet been identified in
connection  with  external sources, the Company cannot reasonably estimate costs
which  may  be  required  for  remediation  or for implementation of contingency
plans.  As  the  Company  gathers  additional  information relating to Year 2000
issues  and  the  readiness  of  its  third  party  providers,  the Company will
reevaluate its ability to estimate costs associated with year 2000 issues. There
can  be  no  assurance  that  as  additional year 2000 issues are addressed, the
Company's  costs to remediate such issues will be consistent with its historical
costs.

Risks  of  the  Company's  Year  2000  issues.

The  Company  believes  the most reasonably likely worst case Year 2000 scenario
would  include  a  combination  of  some  or  all  of  the  following:

- -     Internal IT modules or systems may fail to operate or may give erroneous
information.  Such  failure  could  result  in  shipping  delays,  inability  to
generate  or delays in generation of financial reports and statements, inability
of  the  Company  to  communicate  with its branch offices, and computer network
downtime  resulting  in  numerous  inefficiencies  and  higher payroll expenses.
 -  -     Non-IT  components  in HVAC, lighting, telephone, security and similar
systems  might  fail  and  cause  the  entire  system  to  fail.
-  -     Communications with customers that depend upon IT or non-IT technology,
such  as  EDI (including automatic ordering by and for customers), and obtaining
current  pricing  from  vendors,  may  fail or give erroneous information. These
types  of problems could result in such difficulties as the inability to receive
or  process  customer  orders, shipping delays, or sale of products at erroneous
prices.
-  -     The  unavailability  of  product  as  a  result  of  Year 2000 problems
experienced by one or more key vendors of the Company, or as a result of changes
in inventory levels of aggregators, VARs and similar providers in response to an
anticipated  Year  2000  problem  and/or the inability of the Company to develop
alternative  sources  for  products.
-  -     Products  sold to some of the Company's customers could fail to perform
some  or  all  of  their  intended functions. In such a situation, the Company's
maximum  obligation  would be to repair or replace the defective products to the
extent  the  Company  is  required  to  do  so  under  manufacturer  warranty.

The  Company's  contingency  plans.

The  Company  believes  its plans for addressing the Year 2000 issue as outlined
above are adequate to handle the most reasonably likely worst case scenario. The
Company  does not believe it will incur a material financial impact for the risk
of  failure,  or  from the costs associated with assessing the risks of failure,
arising  from  the Year 2000 issue. Consequently, the Company does not intend to
create  a  contingency  plan  other than as set forth above. In addition, if the
Company's  assessment  of  its  vendors,  when completed, indicates that certain
product  shortages  can be anticipated, the Company has the capacity to maintain
additional  levels  of  inventory  and  may  adjust  its  plans  accordingly.

                                    12 of 14
<PAGE>
                           PART II - OTHER INFORMATION

Items  1  to  3  None

Item  4  Submission  of  Matters  to  a  Vote  of  Security  Holders
         -----------------------------------------------------------

On  July  22,  1998  the Company held its annual meeting of stockholders for the
following  purposes:

1.  To  elect  seven  directors;

2.  To  approve an increase in the number of shares of common stock reserved for
issuance  under the Company's 1992 Non-Qualified and Incentive Stock Option Plan
from  1,350,000  shares  to  1,850,000  shares.

The  voting  on  the  above  matters  by  the  stockholders  was  as  follows:

<TABLE>
<CAPTION>
                 Matter                       For     Withheld
-----------------------------------------  ---------  ---------
<S>                                        <C>        <C>
Election of Directors:
-----------------------------------------                      
David B. Pomeroy, II. . . . . . . . . . .  9,877,166    478,409
Richard C. Mills. . . . . . . . . . . . .  9,876,216    479,359
Stephen E. Pomeroy. . . . . . . . . . . .  9,872,619    482,956
Michael E. Rohrkemper . . . . . . . . . .  9,877,616    477,959
James H. Smith, III . . . . . . . . . . .  9,877,616    477,959
David W. Rosenthal. . . . . . . . . . . .  9,877,316    478,259
Kenneth R. Waters . . . . . . . . . . . .  9,877,116    478,459

                                              For      Against
                                           ---------  ---------
Approve an increase in the number of
shares of common stock reserved for
issuance under the Company's 1992 Non-
Qualified and Incentive Stock Option Plan
from 1,350,000 shares to 1,850,000 shares  8,271,680  2,061,726
</TABLE>


Item  5  None


Item  6  Exhibits  and  Reports  on  Form  8-K



(a) Exhibits
------------
10(i)(dd)(1)     Business  Credit  and Security Agreement among Pomeroy Computer
                 Resources, Inc. and Deutsche Financial Services Corporation,
                 dated July 14,1998.

11               Computation  of  Per  Share  Earnings

27.0             Financial  Data  Schedule for the Quarter Ended October 5, 1998

27.1             Restated Financial  Data Schedule for the Quarter Ended October
                 5, 1997

27.2             Restated Financial  Data Schedule for the Quarter Ended October
                 5, 1996

(b)     Reports  on  Form  8-K          None

                                    13 of 14
<PAGE>

                                    SIGNATURE

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.

                        POMEROY COMPUTER RESOURCES, INC.
                        --------------------------------
                                  (Registrant)



Date:  November  12,  1998               By:  /s/  Stephen  E.  Pomeroy
                                              ----------------------------------
                                              Stephen  E.  Pomeroy
                                              Chief  Financial Officer and Chief
Accounting  Officer

                                    14 of 14
<PAGE>