WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000091157
<NAME> SMITH BARNEY FUNDS, INC.
<SERIES>
   <NUMBER> 2
   <NAME> U.S. GOVERNMENT SECURITIES CLASS A
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          DEC-31-1996
<PERIOD-END>                               DEC-31-1996
<INVESTMENTS-AT-COST>                      381,791,711
<INVESTMENTS-AT-VALUE>                     381,951,704
<RECEIVABLES>                                2,850,964
<ASSETS-OTHER>                                     584
<OTHER-ITEMS-ASSETS>                                 0
<TOTAL-ASSETS>                             384,803,252
<PAYABLE-FOR-SECURITIES>                             0
<SENIOR-LONG-TERM-DEBT>                     17,865,000
<OTHER-ITEMS-LIABILITIES>                    1,502,363
<TOTAL-LIABILITIES>                         19,367,363
<SENIOR-EQUITY>                                      0
<PAID-IN-CAPITAL-COMMON>                   368,904,470
<SHARES-COMMON-STOCK>                       23,541,951
<SHARES-COMMON-PRIOR>                       28,289,208
<ACCUMULATED-NII-CURRENT>                            0
<OVERDISTRIBUTION-NII>                           1,628
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                     3,626,946
<ACCUM-APPREC-OR-DEPREC>                       159,993
<NET-ASSETS>                               365,435,889
<DIVIDEND-INCOME>                                    0
<INTEREST-INCOME>                           28,363,251
<OTHER-INCOME>                                       0
<EXPENSES-NET>                               3,220,189
<NET-INVESTMENT-INCOME>                     25,143,062
<REALIZED-GAINS-CURRENT>                       957,180
<APPREC-INCREASE-CURRENT>                 (12,000,502)
<NET-CHANGE-FROM-OPS>                       14,099,740
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                   21,949,037
<DISTRIBUTIONS-OF-GAINS>                             0
<DISTRIBUTIONS-OTHER>                                0
<NUMBER-OF-SHARES-SOLD>                        434,053
<NUMBER-OF-SHARES-REDEEMED>                  6,089,171
<SHARES-REINVESTED>                            413,861
<NET-CHANGE-IN-ASSETS>                    (79,688,376)
<ACCUMULATED-NII-PRIOR>                              0
<ACCUMULATED-GAINS-PRIOR>                            0
<OVERDISTRIB-NII-PRIOR>                        100,007
<OVERDIST-NET-GAINS-PRIOR>                   9,679,229
<GROSS-ADVISORY-FEES>                        1,770,235
<INTEREST-EXPENSE>                           1,190,638
<GROSS-EXPENSE>                              2,960,873
<AVERAGE-NET-ASSETS>                       340,248,584
<PER-SHARE-NAV-BEGIN>                            13.59
<PER-SHARE-NII>                                  00.84
<PER-SHARE-GAIN-APPREC>                        (00.33)
<PER-SHARE-DIVIDEND>                                 0
<PER-SHARE-DISTRIBUTIONS>                        00.86
<RETURNS-OF-CAPITAL>                                 0
<PER-SHARE-NAV-END>                              13.24
<EXPENSE-RATIO>                                  01.09
<AVG-DEBT-OUTSTANDING>                               0
<AVG-DEBT-PER-SHARE>                                 0
        


</TABLE>