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


                                                  Commission File
For the Quarterly Period Ended  June 27, 1998     Number  0-22468
                               ---------------            -------

                          WICKES INC.
               --------------------------------
     (Exact name of registrant as specified in its charter)


               Delaware                           36-3554758
---------------------------------------       -------------------
(State or other jurisdiction of                (I.R.S. Employer
incorporation or organization)                Identification No.)


706 North Deerpath Drive, Vernon Hills, Illinois          60061
------------------------------------------------        --------
(Address of principal executive offices)               (Zip Code)



                          847-367-3400
                          ------------
       (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, and (2) has  been  subject  to  such  filing
requirements for the past 90 days.

                                   Yes   X        No
                                       -----
As  of  July 31, 1998, the Registrant had 8,202,264 shares of Common Stock,  par
value  $.01  per  share, and no shares of Class B Non-Voting Common  Stock,  par
value $.01 per share, outstanding.
                                        

<PAGE> 2
<TABLE>
<CAPTION>
                    WICKES INC. AND SUBSIDIARIES
                  
                                INDEX
                                -----
                                    
                                                            Page
                                                           Number
                                                          --------
<S>                                                     <C>
PART I.  FINANCIAL INFORMATION

   Item 1.  Financial Statements

      Condensed Consolidated Balance Sheets
       June 27, 1998 and December 27, 1997 (unaudited)        3

      Condensed Consolidated Statements of Operations
       For the three months and six months ended
       June 27, 1998 and June 28, 1997 (Unaudited)            4

      Condensed Consolidated Statements of Cash Flows
       For the six months ended June 27, 1998 and
       June 28, 1997 (Unaudited)                              5

      Notes to Condensed Consolidated
       Financial Statements (Unaudited)                       6

   Item 2.  Management's Discussion and Analysis of Financial
            Condition and Results of Operations              12


PART II.  OTHER INFORMATION

   Item 5.  Other Information                                23

   Item 6.  Exhibits and Reports on Form 8-K                 23
</TABLE>
                                      
                                      2
                                        
<PAGE> 3
                          WICKES INC. AND SUBSIDIARIES
                      CONDENSED CONSOLIDATED BALANCE SHEETS
                                   (UNAUDITED)
                        (in thousands except share data)
<TABLE>                                        
<CAPTION>                                        
                                                  June 27,   December 27,
                                                    1998         1997
                                                 ---------    ---------
               ASSETS
<S>                                             <C>          <C>
Current assets:
 Cash                                           $      68    $      79
 Accounts receivable, less allowance 
   for doubtful accounts of $3,936 in 
   1998 and $3,765 in 1997                         98,917       81,788
 Notes Receivable                                     969        3,200
 Inventory                                        117,023      102,706
 Deferred tax asset                                11,156        8,955
 Prepaid expenses                                   1,857        1,246
                                                  -------      -------
  Total current assets                            229,990      197,974
                                                  -------      -------
 Property, plant and equipment, net                44,575       46,763
 Trademark (net of accumulated amortization 
   of $10,385 in 1998 and $10,274 in 1997)          6,635        6,745
 Deferred tax asset                                17,054       17,054
 Rental Equipment (net of accumulated 
   depreciation of $371 in 1998 and 
   $176 in 1997)                                    2,015        2,030
 Other assets (net of accumulated 
   amortization of $8,765 in 1998 and 
   $8,053 in 1997)                                 12,038       12,786
                                                  -------      -------
                                                $ 312,307    $ 283,352
                                                  =======      =======

   LIABILITIES & STOCKHOLDERS' EQUITY

Current liabilities:
 Current maturities of long-term debt           $      28    $      46
 Accounts payable                                  58,818       41,190
 Accrued liabilities                               18,043       22,279            
                                                  -------      -------
  Total current liabilities                        76,889       63,515

Long-term debt, less current maturities           212,510      193,061
Other long-term liabilities                         2,857        2,775
Commitments and contingencies (Note 4)

Common stockholders' equity:
 Common stock (8,195,658 shares issued and
  outstanding in 1998 and 8,176,205 shares    
  issued and outstanding in 1997)                      82           82
 Additional paid-in capital                        86,738       86,675
                                                  -------      -------
 Accumulated deficit                              (66,769)     (62,756)
   Total common stockholders' equity               20,051       24,001
                                                  -------      -------        
                                                $ 312,307    $ 283,352
                                                  =======      =======
</TABLE>                                        
    The accompanying notes are an integral part of the condensed consolidated
                              financial statements.
                                      3

<PAGE> 4

                          WICKES INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)
                 (in thousands except share and per share data)
<TABLE>                                        
<CAPTION>                                        
                                 Three Months Ended          Six Months Ended
                                 ------------------          ----------------
                               June 27,     June 28,       June 27,     June 28,
                                 1998         1997           1998         1997
                                -------      -------        -------      -------
<S>                           <C>          <C>            <C>          <C> 
Net sales                     $ 237,141    $ 237,335      $ 405,887    $ 396,654
Cost of sales                   181,052      183,028        308,815      305,400
                                -------      -------        -------      -------
  Gross profit                   56,089       54,307         97,072       91,254
                                -------      -------        -------      -------
Selling, general and 
 administrative expenses         45,824       46,907         86,419       84,689
Depreciation, goodwill and 
 trademark amortization           1,284        1,229          2,550        2,417
Provision for doubtful accounts    (124)        (463)         1,209          583
Restructuring and unusual items       -            -          5,431            -
Other operating income           (1,419)      (1,634)        (3,805)      (2,478)
                                -------      -------        -------      -------
                                 45,565       46,039         91,804       85,211
                                -------      -------        -------      -------
  Income from operations         10,524        8,268          5,268        6,043

Interest expense                  5,489        5,259         10,911       10,411
Equity in loss of affiliated 
 company                              -          213              -          766
                                -------      -------        -------      -------
  Income (loss) before income 
   taxes                          5,035        2,796         (5,643)      (5,134)

Provision (benefit) for income 
 taxes                            2,249        1,454         (1,630)      (1,286)
                                -------      -------        -------      -------
  Net income (loss)           $   2,786    $   1,342      $  (4,013)   $  (3,848)
                                =======      =======        =======      =======

Basic income (loss) per 
 common share                 $    0.34    $    0.16      $   (0.49)   $   (0.47)
                                =======      =======        =======      =======
Diluted income (loss) per 
 common share                 $    0.33    $    0.16      $   (0.49)   $   (0.47)
                                =======      =======        =======      =======
Weighted average common 
 shares - for basic           8,192,806    8,166,500      8,187,328    8,164,665
                              =========    =========      =========    =========
Weighted average common 
 shares - for diluted         8,383,984    8,202,096      8,259,929    8,188,140
                              =========    =========      =========    =========
</TABLE>                           
    The accompanying notes are an integral part of the condensed consolidated
                              financial statements.
                                      4

<PAGE> 5
                          WICKES INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
                                   (UNAUDITED)
                                 (in thousands)
<TABLE>
<CAPTION>
                                                    Six Months Ended
                                                    ----------------
                                                  June 27,     June 28,
                                                    1998         1997
                                                   ------       ------
<S>                                             <C>          <C>
Cash flows from operating activities:
   Net loss                                     $  (4,013)   $  (3,848)
 Adjustments to reconcile net loss to
        net cash used in operating activities:
 Equity in loss of affiliated company                   -          766
 Depreciation expense                               2,316        2,183
 Amortization of trademark                            111          111
 Amortization of goodwill                             123          123
 Amortization of deferred financing costs             833          729
 Provision for doubtful accounts                    1,209          583
 Gain on sale of assets                            (1,501)        (569)
 Deferred tax benefit                              (2,201)      (2,007)
 Changes in assets and liabilities:
  Increase in accounts receivable                 (18,338)     (25,027)
  Decrease in notes receivable                      2,231            -
  Increase in inventory                           (14,317)     (28,899)
  Increase in accounts payable and accrued 
   liabilities                                     13,474       24,155
  Increase in other assets                         (1,000)      (1,541)
                                                   ------       ------
NET CASH USED IN OPERATING ACTIVITIES             (21,073)     (33,241)

Cash flows from investing activities:
 Purchases of property, plant and equipment        (1,984)      (2,679)
 Proceeds from sales of property, plant and 
  equipment                                         3,549        6,439
                                                   ------       ------
NET CASH PROVIDED BY INVESTING ACTIVITIES           1,565        3,760

Cash flows from financing activities:
 Net borrowing under revolving line of credit      19,463       27,668
 Reductions of notes payable                          (29)         (73)
 Net proceeds from issuance of common stock            63           31
                                                   ------       ------
NET CASH PROVIDED BY FINANCING ACTIVITIES          19,497       27,626
                                                   ------       ------
NET DECREASE IN CASH                                  (11)      (1,855)
Cash at beginning of period                            79        1,933
                                                   ------       ------
CASH AT END OF PERIOD                           $      68    $      78
                                                   ======       ======        
Supplemental schedule of cash flow information:
 Interest paid                                  $  10,444    $   9,869
 Income taxes paid                              $     422    $     832

</TABLE>                                        
                                        
                                        
    The accompanying notes are an integral part of the condensed consolidated
                              financial statements.
                                      5

<PAGE> 6

1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
    ------------------------------------------

    Basis of Financial Statement Presentation
    -----------------------------------------

   The  condensed  consolidated financial statements  present  the  results  of
operations,  financial  position,  and  cash  flows  of  Wickes  Inc.  and   its
consolidated subsidiaries (the "Company").

   The  condensed consolidated balance sheet as of June 27, 1998, the condensed
consolidated statements of operations for the three-month and six-month  periods
ended June 27, 1998 and June 28, 1997  and the condensed consolidated statements
of  cash  flows for the six-month periods ended June 27, 1998 and June 28,  1997
have  been prepared by the Company without audit.  In the opinion of management,
all  adjustments (which include only normal recurring adjustments) necessary  to
present  fairly the financial position, results of operations and cash flows  at
June 27, 1998 and for all periods presented have been made. The results for  the
three-month  and  six-month  periods ended June 27,  1998  are  not  necessarily
indicative  of the results to be expected for the full year or for  any  interim
period.

   The  year-end  condensed consolidated balance sheet data  was  derived  from
audited  financial statements, but does not include all disclosures required  by
generally  accepted  accounting principles.  Certain  information  and  footnote
disclosures  normally  included in financial statements prepared  in  accordance
with  generally accepted accounting principles have been condensed  or  omitted.
It  is suggested that these condensed consolidated financial statements be  read
in  conjunction with the financial statements and notes thereto included in  the
Company's Annual Report on Form 10-K for the year ended December 27, 1997, filed
with the Securities and Exchange Commission.

    Reclassifications
    -----------------
   Reclassifications  have been made to the 1997 condensed consolidated balance
sheet  and  condensed  consolidated statement of cash  flows  to  reflect,  more
appropriately,  purchase rebates receivable as a reduction of  accounts  payable
rather  than as accounts receivable.  The amount previously recorded as accounts
receivable in the second quarter of 1997 was $2.1 million.

                                      6

<PAGE> 7

    Share Data
    ----------
   During  the  six-month period ended June 27, 1998 the Company  issued  8,604
shares of Common Stock to members of its board of directors as compensation  and
10,849  shares of Common stock upon exercise of employee warrants  and  options.
As of  May  1998 unexercised warrants for 3,068 shares of the Company's  common
stock have expired.

   On  April  13,  1998, all 499,768 outstanding shares of Class  B  Non-Voting
Common  Stock,  par  value $.01 per share, were converted to 499,768  shares  of
Common Stock, par value $.01 per share.


2.  LONG-TERM DEBT
    --------------
   Long-term debt is comprised of the following at June 27, 1998 (in thousands):
   <TABLE>
         <S>                                   <C> 
         Revolving line of credit              $  112,505
         Senior subordinated notes                100,000
         Other                                         33
         Less current maturities                      (28)
                                                  -------
         Total long-term debt                  $  212,510
                                                  =======
   </TABLE>

   Under  the revolving line of credit, the Company may borrow against  certain
levels  of  accounts receivable and inventory.  The unused amount available  for
borrowing at June 27, 1998 was $17.1 million.

   On March 20, 1998, the Company and its lenders entered into a third amendment
to  the  Company's  revolving  credit  agreement.   This  amendment  includes  a
modification  to  the fixed charge ratio covenant to reflect  the  restructuring
announced  by the Company in February 1998 and includes the lenders' consent  to
the  Company's  sale  of  its  Iowa facilities and its  internet  and  utilities
marketing operations.


3.  INCOME TAXES
    ------------
   The  provision for income taxes for the six-month period ended June 27,  1998
was a benefit of $1.6 million compared to a benefit of $1.3 million for the six-
month period ended June 28, 1997.  An effective federal income tax rate of 39.0%

                                      7

<PAGE> 8

was  used  to calculate federal income taxes for the first six months  of  1998,
compared  with an effective rate of 39.1% for the first six months of  1997.  In
addition  to  the  effective federal tax rate, state income and franchise  taxes
were calculated separately and are included in the provision reported.

   
4.  COMMITMENTS AND CONTINGENCIES
    -----------------------------

   At  June  27,  1998, the Company had accrued $500,000 (included  in  accrued
liabilities  at  June  27,  1998) for remediation of certain  environmental  and
product  liability matters, principally underground storage tank removal.   Many
of  the sales and distribution facilities presently and formerly operated by the
Company contained underground petroleum storage tanks.  All such tanks known  to
the  Company  located on facilities owned or operated by the Company  have  been
filled,  removed, or are scheduled to be removed in accordance  with  applicable
environmental  laws  in  effect at the time.  As a result  of  reviews  made  in
connection with the sale or possible sale of certain facilities, the Company has
found petroleum contamination of soil and ground water on several of these sites
and  has taken, and expects to take, remedial actions with respect thereto.   In
addition,  it is possible that similar contamination may exist on properties  no
longer  owned  or operated by the Company the remediation of which  the  Company
could  under certain circumstances be held responsible.  Since 1988, the Company
has incurred approximately $1.9 million of net costs with respect to the filling
or  removing of underground storage tanks and related investigatory and remedial
actions.

   The  Company is one of many defendants in approximately 80 actions, each  of
which  seeks unspecified damages, brought since 1993, in various Michigan  state
courts against manufacturers and building material retailers by individuals  who
claim  to have suffered injuries from products containing asbestos.  All of  the
plaintiffs  in  these  actions are represented by one of  two  law  firms.   The
Company is aggressively defending these actions and does not believe that  these
actions will have a material adverse effect on the Company.

   On November 3, 1995, a complaint was filed against the Company, its directors
and Riverside Group, Inc. seeking to enjoin or to obtain damages with respect to
the Company's agreement to issue two million newly-issued shares of common stock
to Riverside Group, Inc. for $5 per share.

    The  Company  is  involved  in  various other legal  proceedings  which  are
incidental  to the conduct of its business.  The Company does not  believe  that
any of these proceedings will have a material adverse effect on the Company.

                                      8

<PAGE> 9

    The  Company's  assessment of the matters described in this note  and  other
forward-looking  statements in this Form 10-Q are  made  pursuant  to  the  safe
harbor  provisions  of  the Private Securities Litigation  Reform  Act  of  1995
("Forward-Looking Information") and are inherently subject to uncertainty.   The
outcome  of  the  matters described in this note may differ from  the  Company's
assessment of these matters as a result of a number of factors including but not
limited to:  matters unknown to the Company at the present time, development  of
losses materially different from the Company's experience, the Company's ability
to  prevail  against its insurers with respect to coverage issues to  date,  the
financial ability of those insurers and other persons from whom the Company  may
be entitled to indemnity,  and the unpredictability of matters in litigation.


5.  RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
    -----------------------------------------
   Reporting Comprehensive Income.  Statement of Financial Accounting Standards
No.  130, "Reporting Comprehensive Income,"  establishes standards for reporting
and display of comprehensive income and its components in a full set of general-
purpose financial statements.  The term comprehensive income is defined  as  the
change in the equity of a business.  Comprehensive income includes net income as
well  as  other  components (revenues, expenses, gains, and losses)  that  under
generally  accepted  accounting principles are  excluded  from  net  income  but
affect  equity.   The statement was effective for fiscal years  beginning  after
December  15,  1997, however, as the Company has no items of other comprehensive
income, this statement is not applicable to the Company.

   Disclosure about Segments.  Statement of Financial Accounting Standards  No.
131,  "Disclosure  about  Segments of an Enterprise  and  Related  Information,"
changes  Statement of Financial Accounting Standards No. 14 by requiring  a  new
framework  for  segment  reporting  and includes  the  disclosure  of  financial
information  related  to each segment.  The statement was effective  for  fiscal
years beginning after December 15, 1997, however, adoption of this statement  is
not  required  in  interim statements in the initial year of  application.   The
Company is currently evaluating the effects of this pronouncement.

   Employers'  Disclosures  About Pensions and Other  Postretirement  Benefits.
Statement  of  Financial  Accounting Standards No. 132, "Employers'  Disclosures
About  Pensions and Other Postretirement Benefits,"  standardizes the disclosure
requirements for pensions and other postretirement benefits, requires additional
information on changes in the benefit obligation and fair values of plan  assets
and eliminates certain disclosures that are no longer useful.  This statement is
effective  for  fiscal  years beginning after December 15,  1997.   The  Company
believes that the adoption of this statement will not have a significant  impact
on its financial statements.
                                      9

<PAGE> 10

6.  EARNINGS PER SHARE
    ------------------
   The  Company  calculates earnings per share in accordance with Statement  of
Financial  Accounting  Standards No. 128.  As required  by  this  statement  the
Company  has  adopted  the  standard for computing and presenting  earnings  per
share,  and  for  all  prior  period earnings per  share  data  presented.   The
following is the reconciliation of the numerators and denominators of the  basic
and diluted earnings per share:
<TABLE>
<CAPTION>
                                               Six Months Ended
                                               ----------------
                                           June 27,        June 28,
                                              1998           1997
                                           --------        --------
<S>                                     <C>            <C>
Numerators:
  Net loss - for basic and
     diluted EPS                        $(4,013,000)    $(3,848,000)
                                          ---------       ---------
Denominators:
  Weighted average common
     shares - for basic EPS               8,187,328       8,164,665
     Common share from warrants                   -           9,982
     Common shares from options              72,601          13,493
                                          ---------       ---------
  Weighted average common
     shares - for diluted EPS             8,259,929       8,188,140
</TABLE>

   Options  to  purchase 413,637 additional weighted average shares  of  common
stock  during the first half of 1998 and 1997 were not included in  the  diluted
EPS  as the options' exercise prices were greater than the average market  price
and the effect would be antidilutive.


7.  OPERATIONAL RESTRUCTURING
    -------------------------
   In the first quarter of 1998, the Company announced and completed a plan for
additional  restructuring activities (the "1998 Plan").  The 1998 Plan  included
the  closing  or  consolidation  of eight building  centers  and  two  component
manufacturing  facilities,  the  sale of two additional  building  centers,  and
further   reductions   in  headquarters  staffing.  The   Company   recorded   a
restructuring  charge of $5.4 million with respect to the 1998 Plan,  consisting
of $3.7 million in anticipated losses on the disposition of closed center assets

                                      10

<PAGE> 11

and  liabilities, $2.0 million in severance and post employment benefits, and  a
benefit of $300,000 for adjustments to prior years' restructuring accruals.


8.  SUBSEQUENT EVENT
    ----------------
   On July 16, 1998, the Company announced an agreement in principle to acquire
Eagle Industries Inc., an Indianapolis, Indiana component manufacturer with 1997
sales  of  $10.5  million.  Eagle Industries manufactures and  distributes  roof
trusses, wall panels and other building materials to the home building industry.
The transaction is expected to be complete by the end of the third quarter.

                                      11

<PAGE> 12

        MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
        ---------------------------------------------------------------
                             RESULTS OF OPERATIONS
                             ---------------------
    The  following discussion should be read in conjunction with  the  Condensed
Consolidated  Financial Statements and Notes thereto contained elsewhere  herein
and  in conjunction with the Consolidated Financial Statements and Notes thereto
and  Management's Discussion and Analysis of Financial Condition and Results  of
Operations  contained in the Company's Annual Report on Form 10-K for  the  year
ended December 27, 1997.

                             RESULTS OF OPERATIONS
                             ---------------------
    The  following  table sets forth, for the periods indicated, the  percentage
relationship to net sales of certain expense and income items.  This information
includes the results from all sales and distribution and component manufacturing
facilities  operated by the Company, including those closed or sold  during  the
period.
<TABLE>
<CAPTION>
                                 Three Months Ended            Six Months Ended
                                ------------------            ----------------
                               June 27,     June 28,       June 27,      June 28,
                                 1998         1997           1998          1997
                                ------       ------         ------        ------
<S>                            <C>          <C>            <C>           <C>
Net sales                       100.0%       100.0%         100.0%        100.0%
Gross profit                     23.6%        22.9%          23.9%         23.0%
Selling, general and                                     
 administrative expense          19.3%        19.8%          21.3%         21.4%
Depreciation, goodwill                                   
 and trakemark amortization       0.5%        0.5%           0.6%          0.6%
Provision for doubtful accounts   0.0%       (0.2)%          0.3%          0.1%
Restructuring and unusual items     -           -            1.3%            -
Other operating income           (0.6)%      (0.7)%         (0.9)%        (0.6)%
Income from operations            4.4%        3.5%           1.3 %         1.5%
</TABLE>

Net Earnings
------------
    The  first  half  of  1998 presented favorable economic conditions  for  the
building materials supply industry.  Single family housing starts were  up  9.6%
over  the  first half of 1997.  During the first quarter of 1998,  the  positive
effects  of  the  mild  winter in the Company's Midwest  region,  the  Company's
primary  region,  were  partially  offset  by  increased  precipitation  in  the
Northeast  and South.  Weather conditions during the first quarter of 1997  were
closer to historical seasonal averages.

                                      12

<PAGE> 13

    Net  income for the three months ended June 27, 1998 was $2,786,000 compared
with  income  of  $1,342,000 for the three months  ended  June  28,  1997.   The
increase in the net income for the three month period is primarily the result of
increased   gross   profit   dollars,  reductions  in   selling,   general   and
administrative ("SG&A") expense, and the elimination of equity in losses  of  an
affiliated  company.   The  impact of these changes  were  partially  offset  by
increases  in provision for doubtful accounts, interest expense, and  reductions
in other operating income.

   Net loss for the first six months of 1998 was $4,013,000 compared with a loss
of  $3,848,000 for the first six months of 1997.  The decrease in net income  is
primarily  the  result  of a $5.4 million charge for restructuring  and  unusual
items  and  increases  in  SG&A expense, provision for  doubtful  accounts,  and
interest  expense.   The  impact  of  these changes  were  partially  offset  by
increases in sales, gross profit, and other operating income and the elimination
of equity in losses of an affiliated company.


Operational Restructuring
-------------------------
    In the first quarter of 1998, the Company announced and completed a plan for
additional  restructuring activities (the "1998 Plan").  The 1998 Plan  included
the  closing  or  consolidation  of eight building  centers  and  two  component
manufacturing  facilities,  the  sale of two additional  building  centers,  and
further  reductions  in headquarters staffing.  During the  first  quarter,  the
Company recorded a restructuring charge of $5.4 million with respect to the 1998
Plan,  consisting  of $3.7 million in anticipated losses on the  disposition  of
closed  center  assets  and  liabilities, $2.0 million  in  severance  and  post
employment  benefits, and a benefit of $300,000 for adjustments to prior  years'
restructuring accruals.

    In March 1998, as contemplated by the 1998 Plan, the Company sold the assets
of  its  two  Iowa  building  centers  to  another  building  center  chain  for
approximately $3.9 million, resulting in a gain of approximately $700,000.


                                        
                    Three Months Ended June 27, 1998 Compared
                    -----------------------------------------
                    with the Three Months Ended June 28, 1997
                    -----------------------------------------
Net Sales
----------
    Although  net sales for the second quarter of 1998 were relatively unchanged
at  $237.1 million compared with $237.3 million for the second quarter of  1997,
same store sales increased 7.0% compared with the same period last year, despite
deflation  in  lumber  prices  which  the Company  estimates  reduced  sales  by
approximately $9.1 million, or approximately 3.8%, compared with 1997 comparable
period  pricing.  Same store sales to the Company's primary customers,  building
professionals,  also  increased 9.3% when compared with the  second  quarter  of
1997.   Consumer same store sales decreased 10.2% for the quarter.  As  of  June

                                      13

<PAGE> 14

27,  1998  the Company operated 101 sales and distribution facilities,  11  less
than it operated at the end of the second quarter of 1997.

   The Company believes that its investments in its target major markets and re-
merchandised conventional market sales and distribution facilities, as  well  as
favorable  economic conditions have offset the reduction in operating facilities
and commodity lumber deflation.  Same store sales increased 27% in the Company's
nine  target major markets, while same store sales increased 19% in the 11 sales
and  distribution  facilities which the Company had finished remerchandising  by
the  end  of  the  second quarter of 1998.   Single family housing  starts  were
approximately 10.4% higher, nationally, in the second quarter of  1998  than  in
the  comparable  period of 1997.  In the Company's primary geographical  market,
the Midwest, single family housing starts were up 4.2%.


Gross Profit
-------------
      1998  second  quarter gross profit increased to $56.1 million  from  $54.3
million  for  the second quarter of 1997, a 3.3% increase.  Gross  profit  as  a
percentage of sales increased to 23.6% for the second quarter of 1998 from 22.9%
in  1997.   The  increase in gross profit as a percentage of sales is  primarily
attributable to improved product costs and a reduction in costs associated  with
physical inventory count  adjustments. These improvements were partially  offset
by  the  effects  of  lumber deflation.  Sales to building professionals,  as  a
percentage  of  total sales, increased to 87.8% for the second quarter  of  1998
from 85.5% for the same period in 1997.  Lumber and building materials accounted
for  89.6%  of sales in the second quarter of 1998, compared with 89.4%  in  the
second quarter of 1997.


Selling, General and Administrative Expense
-------------------------------------------
    SG&A  expense decreased to 19.3% of net sales in the second quarter of  1998
compared  with 19.8% of net sales in the second quarter of 1997.   Much  of  the
reduction  can  be  attributed to expense reductions as part  of  the  Company's
operational   restructuring  and  the  completion  of  most  of  the   Company's
remerchandising  programs during or prior to the end of the  second  quarter  of
1998.

    Decreases  as  a  percentage of sales in general office, travel,  marketing,
professional  fees, and maintenance expenses were partially offset by  increases
in  salaries  and  wages,  employee relocation and  real  estate  rent  expense.
Salaries,  wages  and employee benefits increased as a percentage  of  sales  by
0.2%.   As  of  June  27, 1998, the Company had 3,865 full time  and  part  time
employees, a decrease of 5.3% from June 28, 1997.

                                      14

<PAGE> 15

Depreciation, Goodwill and Trademark Amortization
-------------------------------------------------
    Depreciation, goodwill and trademark amortization increased to $1.3  million
for the second quarter of 1998 compared with $1.2 million for the same period in
1997.  This increase is primarily due to depreciation on rental equipment.   The
Company's tool rental program was initiated during late 1997 and no depreciation
on rental equipment was recorded in the second quarter of 1997.


Provision for Doubtful Accounts
-------------------------------
    The  Company recorded a benefit from the provision for doubtful accounts  of
$0.1  million  in  the second quarter of 1998, compared with a benefit  of  $0.5
million in the second quarter of 1997.   Increased construction activity in  the
Northeast and Midwest, during the second quarter results in improved collections
on  previously  reserved  accounts  and lower delinquency  levels.   Collections
during the second quarter of 1997 were very high.


Other Operating Income
----------------------
    Other  operating  income for the second quarter of  1998  was  $1.4  million
compared  with $1.6 million for the second quarter of 1997.  During  the  second
quarter  of 1998, the Company recorded a gain of approximately $180,000  on  the
difference  between insured replacement cost and book value of inventory,  as  a
result of a fire at one of its sales and distribution facilities.  In the second
quarter  of  1997 the Company recorded a gain of approximately $500,000  on  the
sale of a previously closed sales and distribution facility.


Interest Expense
-----------------
   In the second quarter of 1998 interest expense increased to $5.5 million from
$5.3  million  for  the  second  quarter of 1997, resulting  primarily  from  an
increase  in  average  total  long  term debt of  approximately  $13.1  million,
partially  offset by a decrease in the effective borrowing rate  on  total  long
term  debt  of  approximately 20 basis points.  The decrease  in  the  effective
borrowing  rate  is  primarily due to a reduction in the interest  rate  on  the
Company's  revolving  line  of credit, effective April  11,  1997  and  a  small
reduction in the LIBOR rate.  Approximately 93% of the Company's second  quarter
average borrowings on its revolving credit facility were LIBOR-based.

                                      15

<PAGE> 16

Equity in Loss of Affiliated Company
------------------------------------
    In  the  second  quarter  of 1997 the Company recorded  equity  in  loss  of
affiliated company of $200,000.  The Company's net equity in this affiliate  was
reduced  to zero at December 31, 1997 thus no additional equity losses for  this
affiliate were recorded in 1998.


Provision for Income Taxes
--------------------------
    The  Company  recorded  income tax expense of $2.2 million  for  the  second
quarter  of 1998 compared with an expense of $1.5 million in the second  quarter
of  1997.   An effective federal income tax rate of 39.0% was used to  calculate
federal  income taxes for the first quarter of 1998, compared with an  effective
rate  of  39.1%  for the first quarter of 1997.  In addition  to  the  effective
federal  tax  rate, state income and franchise taxes were calculated  separately
and are included in the provision reported for both years.

   The Company continues to review future earnings projections to determine that
there is sufficient support for its deferred tax assets and valuation allowance.
In  spite of the losses incurred during 1995 and 1997, management believes  that
it  is  more likely than not that the Company will receive full benefit  of  its
deferred  tax  asset and that the valuation allowance is properly stated.   This
assessment  constitutes Forward-Looking Information made pursuant  to  the  safe
harbor provisions of the Private Securities Litigation Reform Act of 1995 and is
inherently  subject  to  uncertainty and dependent  upon  the  Company's  future
profitability,  which  in turn depends upon a number of important  risk  factors
including  but  not limited to:  the effectiveness of the Company's  operational
efforts,  cyclicality and seasonality of the Company's business, the effects  of
the Company's substantial leverage and competition.



                     Six Months Ended June 27, 1998 Compared
                     ---------------------------------------
                     with the Six Months Ended June 28, 1997
                     ---------------------------------------

Net Sales
----------
    Although  net  sales  for the first half of 1998 increased  2.3%  to  $405.9
million  from  $396.7  million for the first half  of  1997,  same  store  sales
increased  7.9%  compared with the same period last year, despite  deflation  in
lumber  prices which the Company estimates reduced sales by approximately  $15.0
million,  or  approximately 3.8%, compared with 1997 comparable period  pricing.
Same  store  sales  to the Company's primary customers, building  professionals,
also  increased 9.2% when compared with the first half of 1997.   Consumer  same
store  sales decreased 5.4% for the first half.  As of June 27, 1998 the Company
operated 101 sales and distribution facilities, 11 less than it operated at  the
end of the second quarter of 1997.

                                      16

<PAGE> 17

   The Company believes that its investments in its target major markets and re-
merchandised conventional market sales and distribution facilities, as  well  as
favorable economic and weather conditions have offset the reduction in operating
facilities  and commodity lumber deflation.  Same store sales increased  28%  in
the Company's nine target major markets, while same store sales increased 23% in
the 11 sales and distribution facilities the Company finished remerchandising by
the  end of the second quarter of 1998.   Single family housing starts were 9.6%
higher,  nationally, in the first half of 1998 than in the comparable period  of
1997.   In the Company's primary geographical market, the Midwest, single family
housing  starts  were up 7.7%.  During the first quarter of 1998,  the  positive
effects  of  the  mild  winter in the Company's Midwest  region,  the  Company's
primary  region,  were  partially  offset  by  increased  precipitation  in  the
Northeast  and South.  Weather conditions during the first quarter of 1997  were
closer to historical seasonal averages.


Gross Profit
------------
    Gross  profit during the first half of 1998 increased to $97.1 million  from
$91.3  million for the first half of 1997, a 6.4% increase.  Gross profit  as  a
percentage of sales increased to 23.9% for the first half of 1998 from 23.0%  in
1997.   The  increase  in  gross profit as a percentage of  sales  is  primarily
attributable  to  improved  product  costs,  increased  margins  on   internally
manufactured  products  and  a  reduction  in  costs  associated  with  physical
inventory count  adjustments.  These improvements were partially offset  by  the
effects  of  lumber deflation.  Sales to building professionals, as a percentage
of total sales, increased to 88.5% for the first half of 1998 from 87.2% for the
same period in 1997.  Lumber and building materials accounted for 88.6% of sales
in the first half of 1998, relatively unchanged from the first half of 1997.


Selling, General and Administrative Expense
-------------------------------------------
    SG&A expense decreased slightly, to 21.3% of net sales in the first half  of
1998  compared  with  21.4% of net sales in the first half  of  1997.  Increased
expenses attributable to major market expansion programs and remerchandising  of
sales  and  distribution facilities were more than offset through reductions  in
other  areas, primarily the reduction of costs anticipated  under the  Company's
operational restructuring plan, implemented in the first quarter of 1998.

    Decreases  as a percentage of sales in professional fees, marketing,  travel
and  general  office expense were partially offset by increases in salaries  and
wages, employee relocation and real estate rental expenses.  Salaries, wages and
employee benefits for the first half of 1998, increased as a percentage of sales
by 0.4% when compared with the first half of 1997.

                                      17

<PAGE> 18

Depreciation, Goodwill and Trademark Amortization
-------------------------------------------------
    Depreciation, goodwill and trademark amortization increased to $2.6  million
for  the  first half of 1998 compared with $2.4 million for the same  period  in
1997.  This increase is primarily due to depreciation on rental equipment.   The
Company's  tool rental program was initiated during 1997 and no depreciation  on
rental equipment was recorded in the first half of 1997.


Provision for Doubtful Accounts
-------------------------------
    The  provision for doubtful accounts increased to $1.2 million for the first
half  of  1998 from $0.6 million in the first half of 1997.  The primary  reason
for  the  increase is the better than historical collection performance achieved
during the first half of 1997, expense of only 0.1% of total sales.


Restructuring and Unusual Items
-------------------------------
    In  February of 1998, the Company announced the 1998 Plan which included the
closing  or  consolidation of eight sales and distribution  facilities  and  two
component manufacturing facilities in February, the sale of two additional sales
and  distribution  facilities in March, and further reductions  in  headquarters
staffing.   The  Company recorded a restructuring charge of $5.4 million,  which
included $3.7 million in anticipated losses on the disposition of closed  center
assets  and liabilities, $2.0 million in severance and post employment  benefits
related  to  the 1998 Plan, and a benefit of $300,000 for adjustments  to  prior
years'  restructuring accruals.  By the end of the second quarter the 1998  Plan
was  virtually complete.  No restructuring or unusual items were recorded in the
first half of 1997.


Other Operating Income
----------------------
    Other  operating income for the first half of 1998 was $3.8 million compared
with  $2.5 million for the first half of 1997.  During the first half  of  1998,
the  Company  recorded a gain of approximately $1.6 million on the sale  of  two
sales  and distribution facilities located in Iowa, two other closed facilities,
and  excess  equipment.  A  gain of $180,000 on the difference  between  insured
replacement cost and book value of inventory, as a result of a fire  at  one  of
its  sales  and distribution facilities was also recorded in the first  half  of
1998.    In the first half of 1997, the Company recorded a gain of approximately
$500,000 on the sale of a previously closed sales and distribution facility.

                                      18

<PAGE> 19
         
Interest Expense
------------------
    In  the first half of 1998, interest expense increased to $10.9 million from
$10.4  million  during  the  first half of 1997,  resulting  primarily  from  an
increase  in  average  total  long  term debt of  approximately  $14.2  million,
partially  offset by a decrease in the effective borrowing rate  on  total  long
term  debt  of  approximately 22 basis points.  The decrease  in  the  effective
borrowing  rate  is  primarily due to a reduction in the interest  rate  on  the
Company's revolving line of credit, effective April 11, 1997.  Approximately 93%
of  the Company's first half average borrowings on its revolving credit facility
were LIBOR-based.


Equity in Loss of Affiliated Company
------------------------------------
    In  the first half of 1997 the Company recorded equity in loss of affiliated
company of $766,000.  The Company's net equity in this affiliate was reduced  to
zero  at  December 31, 1997 thus no additional equity losses for this  affiliate
were recorded in 1998.


Provision for Income Taxes
--------------------------
   The Company recorded an income tax benefit of $1.6 million for the first half
of  1998 compared with a benefit of $1.3 million in the first half of 1997.   An
effective federal income tax rate of 39.0% was used to calculate federal  income
taxes  for the first half of 1998, compared with an effective rate of 39.1%  for
the  first  half of 1997.  In addition to the effective federal tax rate,  state
income  and franchise taxes were calculated separately and are included  in  the
provision reported for both years.

   The Company continues to review future earnings projections to determine that
there is sufficient support for its deferred tax assets and valuation allowance.
In  spite of the losses incurred during 1995 and 1997, management believes  that
it  is  more likely than not that the Company will receive full benefit  of  its
deferred  tax  asset and that the valuation allowance is properly stated.   This
assessment  constitutes Forward-Looking Information made pursuant  to  the  safe
harbor provisions of the Private Securities Litigation Reform Act of 1995 and is
inherently  subject  to  uncertainty and dependent  upon  the  Company's  future
profitability,  which  in turn depends upon a number of important  risk  factors
including  but  not limited to:  the effectiveness of the Company's  operational
efforts,  cyclicality and seasonality of the Company's business, the effects  of
the Company's substantial leverage and competition.

                                      19

<PAGE> 20

Recently Issued Accounting Pronouncements
-----------------------------------------
   Statement of Financial Accounting Standards No. 130, "Reporting Comprehensive
Income,"   establishes  standards for reporting  and  display  of  comprehensive
income and its components in a full set of general-purpose financial statements.
The  term  comprehensive income is defined as the change  in  the  equity  of  a
business.  Comprehensive income includes net income as well as other  components
(revenues, expenses, gains, and losses) that under generally accepted accounting
principles  are excluded from net income but affect equity.  The  statement  was
effective  for fiscal years beginning after December 15, 1997, however,  as  the
Company  has  no  items  of other comprehensive income  this  statement  is  not
applicable to the Company.

    Statement  of  Financial  Accounting Standards No.  131,  "Disclosure  about
Segments  of  an  Enterprise  and  Related Information,"  changes  Statement  of
Financial  Accounting Standards No. 14 by requiring a new framework for  segment
reporting and includes the disclosure of financial information related  to  each
segment.   The statement was effective for fiscal years beginning after December
15,  1997,  however,  adoption of this statement  is  not  required  in  interim
statements  in  the  initial  year of application.   The  Company  is  currently
evaluating the effects of this pronouncement.

    Statement of Financial Accounting Standards No. 132, "Employers' Disclosures
About  Pensions and Other Postretirement Benefits,"  standardizes the disclosure
requirements for pensions and other postretirement benefits, requires additional
information on changes in the benefit obligation and fair values of plan  assets
and eliminates certain disclosures that are no longer useful.  This statement is
effective  for  fiscal  years beginning after December 15,  1997.   The  Company
believes that the adoption of this statement will not have a significant  impact
on its financial statements.


Year 2000
---------
   In  response to the Year 2000 issue, the Company initiated a project in early
1997  to  identify, evaluate and implement changes to its existing  computerized
business  systems. The Company is addressing the issue through a combination  of
modifications  to  existing  programs and conversions  to  Year  2000  compliant
software.   In  addition,  the  Company is  communicating  with  its  customers,
suppliers,  and other service providers to determine whether they  are  actively
involved in projects to ensure that their products and business systems will  be
Year 2000 compliant.  If modifications and conversions by the Company, and those
it  conducts business with, are not made in a timely manner, the Year 2000 issue
may  have  a  material  adverse  effect on  the  Company's  business,  financial
condition,  and  results  of operations.  The total  cost  associated  with  the
required  modifications  is  not  expected  to  be  material  to  the  Company's
consolidated results of operations and financial position, and is being expensed
as incurred.

                                      20

<PAGE> 21

                         LIQUIDITY AND CAPITAL RESOURCES
                        --------------------------------

   The Company's principal sources of working capital and liquidity are earnings
and  borrowings under its revolving credit facility.  The Company's primary need
for capital resources is to finance inventory and accounts receivable.

   During the first six months of 1998 net cash used in operating activities was
$21.1  million, $12.1 million less than the $33.2 million used in the first  six
months  of  1997.   The  first  six months of the  year  historically  generates
negative  cash  flows from operating activities.  With the peak building  season
historically  occurring in the second and third quarters, the  Company  normally
experiences increases in its inventory levels during the first quarter  to  meet
anticipated  sales  increases, and in the second quarter increases  in  accounts
receivable occur as a result of the increased sales activity.

   The Company's accounts receivable balance at the end of the second quarter of
1998  increased $3.3 million when compared to the end of the second  quarter  of
1997,  an  increase  of 3.4%.  Approximately $2.9 million of  this  increase  is
attributable  to  increased credit sales during June 1998,  compared  with  June
1997.

    Inventory  at  the end of the second quarter of 1998 was $12.5  million,  or
9.7%,  lower than at the end of the second quarter of 1997.  Approximately $13.0
million in inventory reduction is attributable to the closing, consolidation, or
sale  of  10  sales and distribution facilities and two manufacturing facilities
during the first quarter of 1998.  Increases in same store inventory in building
materials  and  hardlines  are nearly offset by deflation  in  commodity  lumber
inventory  of approximately $3.8 million.  Accounts payable at the  end  of  the
second  quarter of 1998 decreased approximately $8.9 million, or 13.1% from  the
second  quarter of 1997.  This change is primarily attributable to special  buys
on  commodity building materials, (roofing, drywall, insulation) which  included
extended  accounts  payable terms, which occurred during the second  quarter  of
1997,  increasing  accounts payable at the end of that quarter.   These  special
buys occurred during the first quarter of 1998.

    The Company's capital expenditures consist primarily of the construction  of
storage  facilities, the remodeling and reformatting of sales  and  distribution
facilities and component manufacturing facilities, and the purchase of vehicles,
equipment  and  management  information  systems  for  both  existing  and   new
operations.  In the first six months of 1998 the Company spent $2.0  million  on
capital expenditures compared to $2.7 million for the same period in 1997.   The
Company expects to spend approximately $4.0 million for all of 1998.  Under  the
Company's  bank  revolving  credit agreement, as amended,  capital  expenditures
during  1998  are  limited to $6.0 million plus the proceeds from  the  sale  of
certain excess real estate plus the portion of 1997's capital expenditures  that
were  not  spent.   The  Company  expects to fund capital  expenditures  through
borrowings and its internally generated cash flow.

                                      21

<PAGE> 22

    During the first three months of 1998, the Company closed, consolidated,  or
sold  ten  sales  and  distribution facilities and two  component  manufacturing
facilities.   At August 1, 1998 the Company operated 101 sales and  distribution
facilities and 10 component manufacturing facilities compared with 112 sales and
distribution facilities and 12 component manufacturing facilities at  August  1,
1997.   The  following  table reconciles the number of  sales  and  distribution
facilities  and  component  manufacturing facilities operated  by  the  Company,
through August 1, 1998:
<TABLE>
<CAPTION>
                                  Sales and       Component
                                 Distribution   Manufacturing
                                  Facilities      Facilities
                                  ---------       ---------
<S>                              <C>             <C>
As of December 27, 1997              111              11
                                 
   Expansion                           -               1
   Sold                               (2)              -
   Closings                           (7)             (2)
   Consolidation                      (1)              -
                                  ---------       ---------
As of August 1, 1998                 101              10
</TABLE>

    On July 16, 1998, the Company announced an agreement in principle to acquire
Eagle Industries Inc., an Indianapolis, Indiana component manufacturer with 1997
sales  of  $10.5  million.  Eagle Industries manufactures and  distributes  roof
trusses, wall panels and other building materials to the home building industry.
The transaction is expected to be complete by the end of the third quarter.

   The Company maintained excess availability under its revolving line of credit
throughout the first six months of 1998.  At the end of the second quarter total
borrowings under the revolving line of credit were $8.5 million higher  than  at
the end of the second quarter of 1997.  Under the current terms of the Company's
bank  revolving credit agreement the Company believes that it will  continue  to
have  sufficient  funds  available for its anticipated  operations  and  capital
expenditures.   At  June  27,  1998, $112.5 million was  outstanding  under  the
Company's   revolving   line  of  credit,  and  the  unused   availability   was
approximately  $17.2  million.  The Company's assessment  of  its  future  funds
availability  constitutes  Forward-Looking  Information  made  pursuant  to  the
Private  Securities Litigation Reform Act of 1995 and is inherently  subject  to
uncertainty  resulting  from, among other things, the  factors  discussed  under
"Results of Operations - Provision for Income Tax Benefit".

   On March 20, 1998, the Company and its lenders entered into a third amendment
to  the  Company's  revolving  credit  agreement.   This  amendment  includes  a
modification  to  the fixed charge ratio covenant to reflect  the  restructuring
announced  by the Company in February 1998 and includes the lenders' consent  to
the  Company's  sale  of  its  Iowa facilities and its  internet  and  utilities
marketing operations.

                                      22

<PAGE> 23

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


Item 5.   Other Information
---------------------------
    On  April  13,  1998, all 499,768 outstanding shares of Class  B  Non-Voting
Common  Stock,  par  value $.01 per share, were converted to 499,768  shares  of
Common Stock, par value $.01 per share.


Item 6.   Exhibits and Reports on Form 8-K
------------------------------------------

     (a)  Exhibits

          27.1 Financial data schedule (SEC use only).

     (b)  Reports on Form 8-K

          None.


                                      23

<PAGE> 24


                           SIGNATURES
                           ----------

    Pursuant  to  the  requirements of Section 13 or 15 (d)  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.

                              WICKES INC.




                         By:  /s/ J. Steven Wilson
                              -------------------------------
                              J. Steven Wilson
                              Chairman and Chief Executive
                              Officer


                         By:  /s/ Kenneth M. Kirschner
                              -------------------------------
                              Kenneth M. Kirschner
                              Vice Chairman and Principal Financial
                              Officer


                         By:  /s/ John M. Lawrence
                              -------------------------------
                              John M. Lawrence
                              Controller and Principal Accounting
                              Officer


Date:  August 10, 1998








                                      24