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                         UNITED STATES
               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

                            FORM 10-K

      [X]  ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                 THE SECURITIES EXCHANGE ACT OF 1934

           For the fiscal year ended December 31, 1999

                               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 0-9722

                     INTERGRAPH CORPORATION
                     ----------------------
     (Exact name of registrant as specified in its charter)

                Delaware                63-0573222
          --------------------     --------------------
     (State or other jurisdiction    (I.R.S. Employer
          of incorporation or       Identification No.)
             organization)

        Intergraph Corporation
          Huntsville, Alabama           35894-0001
         ---------------------     --------------------
         (Address of principal          (Zip Code)
           executive offices)

  Registrant's telephone number, including area code:  (256) 730-2000
                                                       --------------

  Securities registered pursuant to Section 12(b) of the Act:  None

  Securities registered pursuant to Section 12(g) of the Act:

             Common Stock, par value $0.10 per share
             ---------------------------------------
                        (Title of Class)

  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  filing
requirements for the past 90 days. Yes  X   No


   Indicate  by  check  mark if disclosure of  delinquent  filers
pursuant  to Item 405 of Regulation S-K is not contained  herein,
and will not be contained, to the best of registrant's knowledge,
in  definitive  proxy or information statements  incorporated  by
reference in Part III of this Form 10-K or any amendment to  this
Form 10-K.  (   )

   As  of  January  31,  2000, there were  49,252,406  shares  of
Intergraph  Corporation Common Stock $0.10 par value outstanding.
The   aggregate  market  value  of  the  voting  stock  held   by
nonaffiliates  of  the registrant was approximately  $252,402,000
based on the closing sale price of such stock as reported by  The
Nasdaq Stock Market on January 31, 2000, assuming that all shares
beneficially  held  by  executive officers  and  members  of  the
registrant's Board of Directors are shares owned by "affiliates,"
a  status  which  each  of the executive officers  and  directors
individually disclaims.

               DOCUMENTS INCORPORATED BY REFERENCE

    Documents                                      Form 10-K Reference
    ---------                                      -------------------

    Portions of the Annual Report to Shareholders
      for the year ended December 31, 1999         Part I, Part II, Part IV

    Portions of the Proxy Statement for the
      May 18, 2000 Annual Meeting of Shareholders  Part III

                             PART I


ITEM 1.  BUSINESS

Overview

   Intergraph Corporation (the "Company"), founded in 1969, is  a
technical  solutions and systems integration  company,  providing
customizable  core computer software, consulting,  services,  and
computer hardware to governments and industries worldwide.  Known
for    its    leadership,   technology,   and   global    service
infrastructure,  the  Company  supports  technical  and  creative
professionals in a range of sectors, including local and  federal
government,    transportation,   mapping/geographic   information
systems  ("GIS"), utilities, communications, public  safety,  and
process and building.

   The  Company  offers  software solutions  based  on  Microsoft
Corporation's  Windows  operating systems  and  hardware  systems
based  on  Intel Corporation's Pentium-class microprocessors,  as
well  as  related  professional services to satisfy  engineering,
design, modeling, analysis, mapping, information technology,  and
creative computing needs. The Company's products and services are
sold   through  industry-focused  direct  and  indirect  channels
worldwide,  with United States and European revenues representing
approximately 79% of total revenues for 1999.

Background

   Until  the mid 1990s, the unique demands of high end technical
computing    required   tremendous   processing   and    graphics
capabilities   that  could  only  be  performed   using   reduced
instruction  set  computing ("RISC") based workstations  for  the
UNIX  operating system. These systems cost considerably more than
the Intel microprocessor-powered/Microsoft Windows-based personal
computers  ("PCs") widely used at the time for  word  processing,
spreadsheets, and other less demanding applications.

   In 1992, the Company began evaluation of a transition from its
own  Clipper RISC microprocessor to the Intel microprocessor  and
from  the UNIX operating system to Microsoft's Windows NT, a  32-
bit  operating  system powerful enough to run both technical  and
business applications on a less expensive hardware platform.   In
late 1992, based on commitments from Intel, the Company concluded
that  systems  with  Intel microprocessors and Windows  operating
systems would become capable of supporting high-end computing and
other  enterprisewide computing environments, while at  the  same
time   maintaining  interoperability  with  existing   UNIX-based
systems.   The  Company therefore chose to migrate products  from
its  own Clipper microprocessor to Intel microprocessors and from
the UNIX operating system to Microsoft Windows NT. This decision,
in   effect,   expanded  the  availability   of   the   Company's
workstations and software applications to Windows-based computing
environments  not previously addressed by the Company.   It  also
allowed  the  Company's software applications  to  operate  on  a
variety of other hardware architectures provided by vendors using
the  Windows  NT operating system.  Prior to this  decision,  the
Company's  software  applications  operated  principally  on  its
proprietary hardware platforms.

    The   Company   ceased  development  of  the   Clipper   RISC
microprocessor  at  the  end  of  1993  and  made  a  substantial
investment   in  the  redesign  of  its  hardware  platform   for
utilization of Intel's microprocessor.  The Company chose to  use
only  Intel  microprocessors and to focus its efforts  and  image
creation  toward  its core capabilities, specifically  very  high
performance  computational  and 3D graphics  capabilities.   This
high-end  market  place  in  the  Windows  NT  operating   system
environment is supported only by Intel products.  The  transition
from  its proprietary hardware architecture to that of Intel  was
substantially   completed   during   1994,   and   since    1995,
substantially  all  of  the Company's hardware  sales  have  been
comprised of Intel-based systems.

   At the end of 1994, the Company also completed the development
effort to port its technical software applications to the Windows
NT  operating system, and to make Windows NT available on all  of
its  workstations.  Sales of Windows-based  software  have  grown
sequentially each year and currently represent over  90%  of  the
Company's total software revenues.

   In  1996,  a  dispute with Intel over the  use  of  Intergraph
patents  key  to  the  development of  Intel  Pentium  processors
disrupted  relations  between  the  Company  and  Intel,  causing
significant  delays  in  the Company's hardware  development  and
manufacturing  cycles.   Unable to acquire Intel  microprocessors
and technical information crucial to its product development, the
Company  could  not introduce new hardware lines on  a  timetable
competitive  with other hardware vendors.  As a consequence,  the
Company  was  unable to compete favorably in the high-performance
Intel processor-powered workstation markets it pioneered.

   In  November 1997, in response to Intel's actions, the Company
filed a lawsuit against Intel, alleging that Intel was using  its
dominant market position in an attempt to coerce Intergraph  into
giving  up  certain  key patent rights.  These  coercive  tactics
included   the  withholding  of  essential  design   and   defect
information  for  released  Intel products  and  the  intentional
interference  with  Intergraph  customers  and  suppliers.    See
"Manufacturing  and  Sources  of  Supply"  and  Item   3,   Legal
Proceedings, following, and Management's Discussion and  Analysis
of Financial Condition and Results of Operations contained in the
Company's  1999 annual report, portions of which are incorporated
by  reference  in  this  Form  10-K annual  report,  for  further
discussion of the Company's dispute with Intel and its effects on
the Company's business and consolidated operating results.

   In  efforts to reduce losses and return to profitability,  the
Company  took significant measures, including the outsourcing  of
its  manufacturing  function to SCI Technology  Inc.  ("SCI"),  a
wholly owned subsidiary of SCI Systems Inc., in 1998 (for further
information   about   the  SCI  transaction,   see   Management's
Discussion  and  Analysis of Financial Condition and  Results  of
Operations  contained  in  the  Company's  1999  annual   report,
portions of which are incorporated by reference in this Form 10-K
annual report), extensive reductions to its workforce in 1998 and
1999, and sales of several non-core product lines.  In third quarter
1999,  the  Company exited the PC and generic server  businesses,
which  had  been irreparably damaged as a result of  the  dispute
with  Intel.  Currently,  the  Company,  through  its  Intergraph
Computer  Systems business unit, markets and sells Intel/Windows-
based  high-end workstations and specialty servers,  and  digital
video  products.   In  order  to maximize  profitability  in  its
remaining  hardware businesses, the Company is  actively  seeking
partnerships with companies that offer complementary technologies
and sales channels.

   In  terms  of broad market segments, the Company's mapping/GIS
and  process  and building applications continue to dominate  the
Company's  product  mix at approximately 50%  and  19%  of  total
systems  sales in 1999, respectively, compared to  47%  and  19%,
respectively,  in 1998.  Due to the sale of the  Company's  Solid
Edge and Engineering Modeling System product lines in March 1998,
mechanical design, engineering, and manufacturing applications no
longer  represent a significant portion of the Company's  product
mix.   These applications represented 14% of total systems  sales
in 1997.

   The  Company  believes  that  its operating  system,  hardware
architecture,  and  software  applications  strategies  are   the
correct  choices.  However, competing operating systems, hardware
products, and software applications are available in the  market,
and  the  Company competes with companies with greater  financial
resources in each of the markets it serves.  Improvement  in  the
Company's  operating  results will  continue  to  depend  on  its
ability  to  accurately  anticipate  customer  requirements   and
technological trends and to rapidly and continuously develop  and
deliver  new  products  that  are  competitively  priced,   offer
enhanced  performance,  and  meet  customers'  requirements   for
standardization and interoperability, and will further depend  on
its  ability  to successfully implement its strategic  direction.
In  addition,  the  Company  faces  significant  operational  and
financial uncertainty of unknown duration due to its dispute with
Intel.

Discontinued Operation

   On  October  31,  1999,  the Company sold  its  VeriBest  Inc.
operating  segment  to  Mentor  Graphics  Corporation,  a  global
provider of electronic hardware and software design solutions and
consulting  services.  As a result, electronic design  automation
software  and  services  no longer represent  a  portion  of  the
Company's revenues.  For further discussion regarding the sale of
VeriBest,  see Management's Discussion and Analysis of  Financial
Condition  and  Results of Operations contained in the  Company's
1999  annual  report,  portions  of  which  are  incorporated  by
reference in this Form 10-K annual report.

Business Entities

   The  Company's  continuing operations are divided  into  three
separate  business units for operational and management purposes:
the   Software   and   Federal   Systems   ("Federal")   business
(collectively, the Software and Federal businesses form  what  is
termed  "Intergraph"), Intergraph Computer Systems  ("ICS"),  and
Intergraph  Public Safety, Inc. ("IPS").  For further  information
regarding  the Company's operating segments, including  financial
information  for 1999 and 1998, see Management's  Discussion  and
Analysis  of  Financial Condition and Results of  Operations  and
Note  12  of Notes to Consolidated Financial Statements contained
in  the  Company's  1999  annual report, which  are  incorporated
herein by reference.

Intergraph
----------

   Intergraph develops, markets, and supports technical solutions
for  many  industries  as  well  as  federal,  state,  and  local
governments.  Products  include open, interdisciplinary  software
applications, specialized industry specific hardware, consulting,
and  support services. Intergraph provides business solutions  to
three   primary   industries:  process  and   building,   federal
government, and mapping/GIS (including transportation  and  state
and local governments).

   Intergraph's  principal  software applications  are  based  on
Microsoft  Windows,  including  operating  systems,  architecture
components,  and development environments.  This open  technology
foundation  enables  Intergraph's software to  interoperate  with
thousands  of  third-party Windows-based technical  and  business
applications  as  well  as  with  UNIX-based  applications.    An
additional  graphics foundation used by the Company  for  certain
Intergraph software applications is MicroStation, software  owned
by  Bentley  Systems  Inc.  ("BSI"), an  approximately  33%-owned
affiliate  of  the  Company.  MicroStation  provides  fundamental
graphics element creation, maintenance, and display functions for
the  Company's  UNIX-  and Intel-based  workstations.   In  1999,
MicroStation sales represented approximately 5% of the  Company's
total software revenue.  See Management's Discussion and Analysis
of  Financial Condition and Results of Operations and Note 13  of
Notes  to  Consolidated  Financial Statements  contained  in  the
Company's  1999 annual report, portions of which are incorporated
by  reference in this Form 10-K annual report, for discussion  of
the   Company's   business  relationship  and  past   arbitration
proceedings with BSI.

   Process and Building.  Process & Building Solutions ("PBS") is
a global  organization that supplies software and services to the
process, power, and marine industries.  PBS focuses on integrated
life  cycle  engineering solutions for the design,  construction,
and  operation of plants and ships, with emphasis on  engineering
information  management  and on linking the  engineering  systems
with business systems.

    For   more   than   20   years,   engineering/procurement/and
construction  ("EPC") contractors, and process  and  power  plant
owner/operators  have  used  Intergraph  solutions   to   design,
construct,  operate  and maintain facilities  for  petrochemical,
chemical,  pharmaceutical, food and beverage, oil and gas,  power
generation,  and  mining  industries.   Intergraph   life   cycle
engineering  solutions  increase  the  value  of  plant  data  by
facilitating  capture  and re-use of information  throughout  the
life  cycle  of  a  plant, resulting in significant  productivity
gains, operational efficiencies, and higher profits.

  According to industry analyst Daratech of Cambridge,
Massachusetts, in 1999 Intergraph held a 59% revenue share of the
3D plant design and visualization market.  In the 2D plant design
market segment, Intergraph held a 24.5% revenue share.

   The  Company's Plant Design System ("PDS") is a comprehensive,
intelligent engineering application that creates and maintains an
accurate  database of plant information.  That information  is  a
valuable    asset   for   regulatory   compliance,   streamlining
operations,   maintenance,  and  downstream  retrofit   projects.
Integration  features  enable  concurrent  engineering,  multiple
disciplines working on a project simultaneously, improving design
coordination, reducing errors, and increasing productivity.   PDS
consists  of  integrated 2D and 3D modules  which  correspond  to
basic tasks in the plant design workflow, including process  flow
diagrams,  piping  and instrumentation diagrams,  instrumentation
data   management,   piping,  equipment,  heating/ventilation/air
conditioning,  electrical,  structural,  and  other   engineering
aspects of a plant.

   In  addition to PDS, Process & Building Solutions delivers its
SmartPlant   family  of  products,  including  SmartPlant   P&ID,
SmartSketch,  SmartPlant  Explorer, and  SmartPlant  Review,   to
support  life  cycle engineering needs of the process  and  power
industries.  Because  plant data is populated  in  an  open  data
model,  this data can be easily accessed and used by engineering,
procurement, construction, maintenance, management, and any other
relevant users who need it.

   PBS's  shipbuilding  solutions provide  software  systems  and
services  for  commercial and military ship design, construction,
and  management.   In  cooperation  with  international  industry
partners,  PBS  is developing the next generation  solution  that
will  streamline  shipbuilding  processes,  lower  manpower   and
material  costs,  and  reduce the time to  construct  world-class
marine   vessels.   GSCAD  is  the  next-generation   naval   and
shipbuilding  solution for design, construction, and  management.
GSCAD  design, planning, and engineering analysis tools are built
on  an  enterprisewide, integrated infrastructure  that  accesses
real-time  information.  This software solution will provide  the
capability   to   create  a  ship  design  that  speeds   product
development from conception to market delivery. It also  provides
capabilities  for performing risk analysis, design integrity  and
functional  engineering  review  of  new  and  modified   product
designs.

  Federal Systems.  The Federal Systems business unit markets and
sells   specially  developed  hardware  and  software  solutions,
commercial  off-the-shelf products, and  professional  consulting
services  to  governments  around the  world.   Products  include
specialized hardware, mapping and information systems,  logistics
and   financial  systems,  environmental  management   solutions,
modeling  and  simulation  systems  and  security  systems.   The
Federal  business  unit  also  supports  U.S.  state  and   local
governments  with  GIS solutions, and sells  and  supports  civil
engineering  and  GIS-based transportation solutions.   Effective
March  2000, the Federal Systems business was renamed  Intergraph
Government Solutions.

   For more than 20 years, Intergraph has been a top provider  of
computer  hardware, software, and professional services solutions
to  federal,  state, and local governments, enabling  governments
worldwide to achieve maximum performance in military and civilian
computing environments.  To better serve its government  markets,
Intergraph's Federal business unit is divided into three  primary
groups: the hardware solutions division, the government solutions
division, and the mapping and information systems division.

    The   hardware   solutions   division   develops   ruggedized
workstations    for    military   and   government    engineering
applications.  Its  flagship  product,  the  TD-R   2000   series
workstation,  is an integral part of the U.S. Navy's  Smart  Ship
technology program, enabling the Navy to sustain high operational
workloads  with reduced crews. Hardware solutions  also  develops
specialized  turnkey  systems for the military  and  surveillance
communities,  including  mission  planning  and  video   analysis
systems.

  The government solutions division ("GSD") develops, implements,
and   supports  specialized  software  solutions  and  consulting
services  to  meet  logistics  systems,  information  management,
financial  systems  integration, and  transportation  engineering
needs  of  the  Army, Navy, and Air Force branches  of  the  U.S.
military.   GSD  also develops and implements  civil  engineering
solutions,   and  sells  and  supports  U.S.  state   and   local
governments  with  mapping/GIS solutions  for  land  records  and
mapping,   asset   management,  public  works,   public   safety,
transportation  engineering, infrastructure  modeling,  planning,
and other functions.

   Intergraph's suite of civil engineering solutions offers local
governments a full complement of solutions, from data  collection
to  site  design  to  water resources.  Intergraph  civil  design
products  integrate  with Intergraph GIS solutions  to  meet  the
needs of state and city governments around the world.  Both civil
and  GIS  product lines remove proprietary barriers by  providing
automated  mapping,  spatial  analysis,  network  modeling,   and
integration  with  multimedia, satellite  imagery,  spreadsheets,
documents,  and  more.   The  software  also  provides   seamless
integration with major vendor data formats.

   To  help  government  agencies strategically  and  efficiently
manage   transportation   networks,   Intergraph   transportation
software  integrates maps, photos, property records,  survey  and
engineering   data,  inspection  reports,  traffic  safety,   and
congestion   statistics.    Intergraph   photogrammetry,    civil
engineering,   and   mapping  products   provide   transportation
solutions  that include imaging, design, modeling, reprographics,
plotting, training, integration, and professional services.

   The mapping and information systems division ("IMIS") develops
and  supports  mapping systems, products,  and  services  to  the
world's  major  mapping  and charting organizations.   IMIS  also
provides  specialized systems, products, and services to military
agencies  and national and local governments.  Solutions  include
map and chart production, security, identification, intelligence,
environmental,   command  and  control,   and   geospatial   data
exploitation systems.

   Mapping/GIS.   Mapping/GIS includes geospatial  solutions  and
imaging solutions.  It develops, markets, and supports geospatial
solutions  for  business  GIS,  land  records  management,   rail
transportation,   environmental   management,    utilities    and
communications   companies,   and  commercial   map   production.
Solutions  provide  geographic visualization and  analysis  tools
useful  in  many  businesses, including real  estate,  retailing,
service   networks,  transportation  networks,  site  assessment,
agriculture, insurance, and health care.

   Mapping/GIS also develops and sells geospatial solutions  that
help governments improve public service, respond more efficiently
to  legislated  and political mandates, implement successful  GIS
systems  quickly,  and reduce the total cost  of  GIS  ownership.
Mapping/GIS sells its geospatial solutions for government through
Federal Systems.

   Mapping/GIS solutions include Intergraph's GeoMedia family  of
products.   The  dominant mapping/GIS solution for  business  and
government,  including  transportation agencies,  GeoMedia  is  a
complete  Windows-based  desktop GIS solution  for  all  decision
support query and reporting activities.

   Intergraph's MGE is also used by transportation agencies as  a
high-end  software for basemap analysis.  MGE is  the  foundation
for  Intergraph's  Modular  GIS  Environment  ("MGE")  family  of
mapping   and   GIS  software  products.   MGE   offers   project
management, coordinate system operations, data query and  access,
multiple  configuration  options, and a  range  of  common  tools
valuable  to MGE modules.  MGE is interoperable with the GeoMedia
product suite.

  Mapping/GIS also provides solutions for end-to-end digital  map
and  cartographic production.  These solutions help cartographers
manage the map production environment.  From map scanning to  map
printing,  Intergraph's end-to-end cartographic production  tools
provide the means to collect, process, and output data.

   Z/I  Imaging Corporation, a 60%-owned joint venture with  Carl
Zeiss  formed  in  October  1999, develops,  markets,  and  sells
Windows    NT-based   imaging   solutions   for    photogrammetry
professionals.    Solutions  include   aerial   cameras,   stereo
softcopy, workstations, analytic stereo plotters, photogrammetric
scanners,  and  image  management, processing,  and  distribution
software.   Z/I  Imaging  systems  are  nonproprietary,  enabling
industry  and government professionals to use them as a front-end
to mapping, GIS, and civil engineering software from a variety of
leading vendors.

Intergraph Computer Systems
---------------------------

   Intergraph  Computer  Systems, a wholly  owned  subsidiary  of
Intergraph  Corporation formed in 1998, develops high-performance
core  hardware, including high-end workstations, add-in  graphics
subsystems,  specialty servers, and digital video  products,  for
use   in   numerous  professional-level  creative  and  technical
disciplines. Headquartered in Huntsville, Alabama, ICS employs  a
staff of approximately 800 people worldwide.

  ICS builds on the core hardware with the value add of extensive
market  knowledge  to create high-performance, leading-edge,  and
highly reliable visual computing solutions for the digital media,
visual   simulation,   mechanical  CAD  and   publishing/prepress
markets.  ICS high-performance workstations and specialty servers
are  embraced  by  an  ever-growing number of  customers  in  the
digital content creation markets.

   The  Information Technology ("IT") Services  division  of  ICS
offers  products and services including Intel/Windows-based  PCs,
workstations,  servers, fully integrated optical  disk  products,
backup  solutions,  firewalls, networking and  system  management
solutions,  as  well  as consulting, installation  packages,  and
rapid  application  deployment  solutions.   Depending  on   user
requirements, IT Services' products and services can be  provided
as  point  solutions or as integrated solutions that include  all
necessary  hardware,  software,  and  support  services  for   an
enterprise.

  The  Intense3D  division  of  ICS  develops  and  sells  add-in
graphics subsystems for the Windows NT/Intel platform.   Used  in
high-performance  workstations and PCs, the Intense3D  family  of
accelerators  delivers  performance  at  affordable   prices   in
graphics-intensive markets that include mechanical computer-aided
design  ("CAD"),  traditional CAD, animation,  content  creation,
visual  simulation, scientific visualization, graphics arts,  and
digital  media.   Intense3D's Wildcat graphics  accelerators  are
certified  with  the leading software vendors  from  across  many
disciplines,  and are used by researchers, engineers,  designers,
and  scientists  who need to interact in real time  with  complex
visual  data  sets.   Intense3D provides  3D  graphics  cards  to
leading computer vendors such as Dell, IBM, Compaq, Fujitsu,  and
Siemens.

Intergraph Public Safety, Inc.
------------------------------

  In January 1997, Intergraph Public Safety, Inc. was established
as  a  wholly-owned subsidiary of the Company.  IPS includes  the
Public Safety, Utilities and Communication groups.  IPS solutions
include  computer  hardware and   software   systems,   systems
implementation,   training, maintenance, customer support, and
outsourcing services  for  the public safety and utilities markets.
The subsidiary is headquartered in Huntsville, Alabama and has a
staff of approximately 780 people worldwide.

   Public  Safety develops, markets, and implements and  supports
computer-based solutions for emergency medical and rescue  units,
fire departments, law enforcement organizations, and other public
safety  agencies  around the world.  Other  industries  utilizing
Public  Safety  solutions include automobile clubs  for  roadside
assistance,  and  airports,  campuses,  and  military  bases  for
security systems.

  Public Safety products represent a complete solution for public
safety   agencies.   Public  Safety  products  are  designed   to
interoperate   in  a  comprehensive,  integrated  public   safety
information   system.   These  products  include   computer-aided
dispatch, police, fire, and emergency management systems, records
management  systems, jail management systems, civil  process  and
mug  shot systems, mobile computer systems, integrated radio  and
telephony  solutions,  interfaces to  alarm  systems,  management
information  reporting systems, personnel rostering systems,  and
training management systems.

   The foundation product for Public Safety is its computer-aided
dispatch  system.   This  product fully  integrates  interactive,
intelligent  mapping  with dispatching, records  management,  and
state   of   the   art  communications  capabilities.    Designed
specifically  to  support  command and  control  operations,  the
system is composed of high performance graphics workstations  and
software.   Records  management is enhanced by  a  database  that
includes  geographic map information as well as address, incident
history, and traffic pattern data.

   On  January  1, 1999, Intergraph's Utilities and Communications
business  was formally merged into IPS.  Public Safety's  popular
dispatch  technology  is  a complementary  application  to  their
mainstream geospatial products, such as ActiveFRAMME.  By linking
the two, the Company is responding to utilities' increased demand
for a total solution that integrates AM/FM/GIS, outage management
and  computer-aided  dispatch.  The Utilities and  Communications
business  continues  to  develop the  Company's  core  geospatial
offerings, while collaboration with Public Safety augments  those
offerings by adding computer-aided dispatch and outage management
components.

   This  business  focuses its expertise  and  resources  in  two
strategic industry sectors: Utilities and Communications.  Sales,
marketing  and  project services efforts are  vertically  focused
along these sectors.  Utilities and Communications solutions are
also sold through  the Intergraph  Corporation international
distribution  channels.   A leading supplier of Windows  NT-based
geospatial resource management solutions,  this business provides
software and services that help energy and communications companies
manage their geospatial data and respond to customer needs.

   The  Utilities solutions assist electric, gas,  pipeline,  and
water  companies in the management of customer-centric GIS  data,
which  contains  all the information necessary  for  distributing
electricity  or gas, tracking distribution, and managing  service
disruptions.    Its   geospatial  resource  management   solution
spatially  enables  this  data, integrating  operational  support
systems   such  as  outage  analysis,  and  provides  real   time
information  for customer service, thereby increasing operational
efficiency enterprisewide.  Solutions include engineering  design
and   facilities  management,  technical  document  workflow  and
archiving, mobile computing and field support, outage management,
spatial  data analysis and data warehouse, and real time  display
facility analysis.

  For Communications, geospatial network resource management
solutions are provided to help the international communications
industry automate its network facility mapping, planning, design,
and maintenance for outside and inside plant.

   IPS's solutions are Intel processor/Windows NT-based and  rely
on  Oracle  Corporation's relational databases.  By incorporating
industry standard hardware and software with its products, IPS is
able  to  provide  customers with the best price and  performance
features  available.   IPS  distributes  its  products  worldwide
through direct and indirect sales channels.

Product Development

   The  Company  believes a strong commitment to ongoing  product
development  is  critical to success in the interactive  computer
graphics industry.

   Product development expenditures include all costs related  to
designing new or improving existing hardware and software. During
the year ended December 31, 1999, the Company spent $62.6 million
(6.8% of revenues) for the product development activities of  its
continuing  operations  compared  to  $76.8  million   (7.6%   of
revenues) in 1998 and $90.3 million (8.2% of revenues)  in  1997.
See  Management's Discussion and Analysis of Financial  Condition
and  Results of Operations contained in the Company's 1999 annual
report,  portions of which are incorporated by reference in  this
Form  10-K  annual  report,  for further  discussion  of  product
development  expenses, including portions capitalized  and  their
recoverability.

   The industry in which the Company competes is characterized
by  rapid technological change, which results in shorter  product
cycles,  higher  performance and lower priced product  offerings,
intense  price  and performance competition, and development  and
support  of  software  standards that  result  in  less  specific
hardware  and  software dependencies by customers.   The  Company
believes the life cycle for most of its products to be less than
two years, and it is therefore  engaged  in  continuous  product
development  activity.  The operating results of the Company  and
others in the industry will continue to depend on the ability  to
accurately  anticipate  customer requirements  and  technological
trends  and  to rapidly and continuously develop and deliver  new
hardware  and  software  products that are competitively  priced,
offer enhanced performance, and meet customers' requirements  for
standardization and interoperability.

Manufacturing and Sources of Supply

   Reflecting  the  trend  toward  outsourcing  in  the  hardware
industry,  in fourth quarter 1998, the Company sold substantially
all  of  its  U.S.  manufacturing inventory  and  assets  to  SCI
Technology,  Inc.  ("SCI"),  a  wholly-owned  subsidiary  of  SCI
Systems,  Inc., and SCI assumed responsibility for  manufacturing
of  substantially all of the Company's hardware products.   Prior
to the sale, this responsibility, which included the assembly and
testing  of  components  and subassemblies  manufactured  by  the
Company  and  others,  was  that of Intergraph  Computer  Systems
("ICS"),  a wholly-owned subsidiary of the Company.  ICS  retains
certain  risks, including its ability to accurately forecast  its
manufacturing  requirements  of SCI  and  risks  associated  with
inventory  excess and obsolescence as defined in  the  agreement.
For  a complete description of the SCI transaction and its impact
on  operating results and cash flows, see Management's Discussion
and  Analysis  of Financial Condition and Results  of  Operations
contained in the Company's 1999 annual report, portions of  which
are incorporated by reference in this Form 10-K annual report.

   Substantially  all of the Company's microprocessor  needs  are
currently  supplied  by  Intel Corporation.  See  Item  3,  Legal
Proceedings,  following and Management's Discussion and  Analysis
of Financial Condition and Results of Operations contained in the
Company's  1999 annual report, portions of which are incorporated
by reference in this Form 10-K annual report, for a discussion of
the  Company's  litigation proceedings  with  Intel  and  related
effects  on  the Company's microprocessor supply and  results  of
operations.

   The Company is not required to carry extraordinary amounts  of
inventory  to  meet  customer demands or to ensure  allotment  of
parts from its suppliers.


Sales and Support

  Sales. The Company's products are sold through a combination of
direct  and  indirect  channels  in  approximately  65  countries
worldwide.   Direct channel sales, which provide the majority  of
the  Company's  product revenues, are generated by the  Company's
direct  sales  force through sales offices in over  40  countries
worldwide.   The efforts of the direct sales force are  augmented
by  sales  through  indirect channels, including  dealers,  value
added  resellers,  distributors, and system  integrators.   Sales
through  indirect channels provided approximately  25%  of  total
Company  systems revenues in 1999, compared to 22%  in  1998  and
1997.

  Each of the Company's major business entities maintains its own
sales  force.   Intergraph's selling efforts are organized  along
key  industry  lines  (process and building, federal,  state  and
local  government, mapping/GIS, utilities and public safety)  for
its major product applications.  The Company believes an industry
focus  better  enables  it  to  meet  the  specialized  needs  of
customers.   In general, the direct sales forces are  compensated
through  a  combination  of base salary  and  commission.   Sales
quotas   are  established  along  with  certain  incentives   for
exceeding quota.  Additional specific incentive programs  may  be
established periodically.

   Customer  Support. The Company believes that a high  level  of
customer support is important to the sale of interactive graphics
systems.   Customer  support  includes preinstallation  guidance,
customer   training,  onsite  installation,  hardware  preventive
maintenance,  repair service, software help  desk  and  technical
support   services  in  addition  to  consultative   professional
services.    The   Company   employs  engineers   and   technical
specialists  to  provide  customer assistance,  maintenance,  and
training.   Maintenance  and repair of  systems  are  covered  by
standard  warranties and by maintenance agreements to which  most
users  subscribe.  The trend in the industry toward lower  priced
products  and  longer  warranty periods has resulted  in  reduced
levels  of  maintenance  revenue for the  Company.   The  Company
believes this trend will continue in the future, though it may be
partially offset by growth in the Company's professional services
business.   The  Company  is endeavoring  to  grow  its  services
business   and  has  redirected  the  efforts  of  its   hardware
maintenance  organization  to  focus  increasingly   on   systems
integration.  Revenues  from these services,  however,  typically
produce lower gross margins than maintenance revenues.

International Operations

   International markets, particularly Europe and Asia,  continue
in  importance  to  the  industry and to each  of  the  Company's
operating   segments.    Sales  outside  the   U.S.   represented
approximately 52% of total revenues from continuing operations in
1999,  compared  to  51%  in  1998.  European  and  Asia  Pacific
revenues represented 31% and 11%, respectively, of total revenues
from  continuing operations in both 1999 and 1998.  The Company's
operations  are  subject to and may be adversely  affected  by  a
variety of risks inherent in doing business internationally, such
as   government  policies  or  restrictions,  currency   exchange
fluctuations, and other factors.

  There are currently wholly-owned sales and support subsidiaries
of the Company located in every major European country.  European
subsidiaries  are  supported by service and technical  assistance
operations  located in The Netherlands.  Outside of  Europe,  the
Company's systems are sold and supported through a combination of
subsidiaries  and distributorships.  At December  31,  1999,  the
Company   had  approximately  1,100  employees  in  Europe,   740
employees in the Asia Pacific region, and 640 employees in  other
international locations.

   Fluctuations  in the value of the U.S. dollar in international
markets can have a significant impact on the Company's results of
operations.   The Company conducts business in all major  markets
outside  the  U.S., but the most significant of these  operations
with  respect  to currency risk are located in Europe  and  Asia.
Local  currencies are the functional currencies for the Company's
European   subsidiaries.   The  U.S.  dollar  is  the  functional
currency for all other international subsidiaries.  With  respect
to  the currency exposures in these regions, the objective of the
Company  is  to  protect against financial  statement  volatility
arising  from changes in exchange rates with respect  to  amounts
denominated for balance sheet purposes in a currency  other  than
the  functional currency of the local entity.  The  Company  will
therefore  enter  into  forward  exchange  contracts  related  to
certain  balance sheet items, primarily intercompany receivables,
payables, and formalized intercompany debt, when a specific  risk
has  been  identified.  Periodic changes in the  value  of  these
contracts  offset exchange rate related changes in the  financial
statement  value of these balance sheet items.  Forward  exchange
contracts,  generally  less than three months  in  duration,  are
purchased  with  maturities reflecting  the  expected  settlement
dates  of  the  balance sheet items being  hedged,  and  only  in
amounts  sufficient to offset possibly significant currency  rate
related  changes  in the recorded values of these  balance  sheet
items, which represent a calculable exposure for the Company from
period  to  period.   Since  this risk is  calculable  and  these
contracts  are purchased only in offsetting amounts, neither  the
contracts themselves nor the exposed foreign currency denominated
balance  sheet items are likely to have a significant  effect  on
the  Company's financial position or results of operations.   The
Company  does  not generally hedge exposures related  to  foreign
currency  denominated assets and liabilities that are not  of  an
intercompany   nature,  unless  a  significant  risk   has   been
identified.   It is possible the Company could incur  significant
exchange  gains  or  losses in the case of significant,  abnormal
fluctuations in a particular currency.  By policy, the Company is
prohibited from market speculation via forward exchange contracts
and  therefore  does  not take currency positions  exceeding  its
known financial statement exposures, and does not otherwise trade
in  currencies.   At  December 31, 1999 and 1998,  the  Company's
outstanding  forward contracts related to formalized intercompany
loans  between  the  Company's  European  subsidiaries  and  were
immaterial to the Company's financial position.

   The  Company  has  historically experienced slower  collection
periods  for  its  international  accounts  receivable  than  for
similar  sales to customers in the United States. The Company  is
experiencing slow collections throughout the Middle East  region,
particularly  in  Saudi Arabia.  Total accounts  receivable  from
Middle  Eastern  customers  was  approximately  $20  million   at
December 31, 1999 and $23 million at December 31, 1998.

  See Management's Discussion and Analysis of Financial Condition
and  Results  of Operations and Notes 1, 5, and 12  of  Notes  to
Consolidated Financial Statements contained in the Company's 1999
annual report, portions of which are incorporated by reference in
this  Form  10-K  annual report, for further  discussion  of  the
Company's international operations.

U.S. Government Business

    Total   revenue   from  the  United  States  government   was
approximately  $149 million in 1999, $166 million  in  1998,  and
$177  million  in 1997, representing approximately 16%  of  total
revenues in all three years.  The majority of these revenues  are
attributed  to  the  Federal  unit of  the  Intergraph  operating
segment.

   The  Company  sells  to  the U.S. government  under  long-term
contractual   arrangements,   primarily   indefinite    delivery,
indefinite  quantity  and  cost plus  award  fee  contracts,  and
through  commercial  sales of products not covered  by  long-term
contracts.   Approximately  52% of  the  Company's  1999  federal
government  revenues were earned under long-term contracts.   The
Company believes its relationship with the federal government  to
be good.  While it is fully anticipated that these contracts will
remain  in  effect  through their expiration, the  contracts  are
subject  to  termination at the election of the government.   Any
loss  of  a significant government contract would have an adverse
impact  on the results of operations of Federal Systems  and  the
Company as a whole.

   The  Company  has  historically experienced slower  collection
periods for its U.S. government accounts receivable than for  its
commercial  customers.  At December 31, 1999, accounts receivable
from  the  U.S.  government was approximately $33 million  versus
approximately $55 million at December 31, 1998.

Backlog

  An order is entered into backlog only when the Company receives
a  firm  purchase  commitment from  a  customer.   The  Company's
backlog of unfilled systems orders at December 31, 1999 and  1998
was  $209  million and $237 million, respectively.  Substantially
all  of  the  December 1999 backlog of orders is expected  to  be
shipped during 2000.

   The  Company  does not consider its business to  be  seasonal,
though typically fourth quarter orders and revenues exceed  those
of other quarters.

   The  Company does not ordinarily provide return of merchandise
or extended payment terms to its customers.

Competition

   The  industry in which the Company competes continues  to  be
characterized  by intense price and performance  competition.  To
compete successfully, the Company and others in the industry must
accurately  anticipate  customer requirements  and  technological
trends  and  rapidly  and  continuously  develop  products   with
enhanced  performance that can be offered at competitive  prices.
The  Company, along with other companies in the industry, engages
in the practice of price discounting to meet competitive industry
conditions.  Other important competitive factors include quality,
reliability,   customer  service  and  support,   and   training.
Management  of the Company believes that competition will  remain
intense, particularly in product pricing.

   The  Company's competition varies among its different  product
application   areas.    The  Company  considers   its   principal
competitors  in  the hardware market to be IBM,  Hewlett  Packard
Corporation,   Compaq   Computer   Corporation,   Dell   Computer
Corporation,  and  Silicon Graphics, Inc.   In  the  process  and
building industry, Intergraph competes with the software products
of  Bentley Systems, Inc. (an approximately 33%- owned  affiliate
of  the Company), Cadcentre, Rebis Industrial Workgroup Software,
and several smaller companies.  The Company's primary competitors
in the utilities and mapping/GIS markets are ESRI, Autodesk Inc.,
Smallworld, and MapInfo.   The primary competitors of  Intergraph
Public  Safety are TriTech Software Systems, Litton PRC, Tiburon,
Inc.,  and  Printrak International Inc.  Several  companies  with
greater  financial  resources than the  Company,  including  IBM,
Hewlett  Packard, Dell, and Compaq are active in  the  industries
served by the Company.

  The Company believes it has an advantage over other vendors who
provide only hardware or software, leaving system integration  to
the  customer.   In  addition,  the  Company  believes  that  its
experience  and extensive worldwide customer service and  support
infrastructure represent a competitive advantage.

Environmental Affairs

   The  Company's  facilities are subject to  numerous  laws  and
regulations designed to protect the environment.  In the  opinion
of  the  Company, compliance with these laws and regulations  has
not  had,  and should not have, a material effect on the  capital
expenditures, earnings, or competitive position of the Company.

Licenses, Copyrights, Trademarks, Patents, and Proprietary Information

   The  Company  develops its own graphics, data management,  and
applications   software  as  part  of  its   continuing   product
development   activities.   The  Company  has  standard   license
agreements with Microsoft Corporation for use and distribution of
the   Windows   NT  operating  system  and  with   UNIX   Systems
Laboratories  for  use  and distribution of  the  UNIX  operating
system.   The  license  agreements are perpetual  and  allow  the
Company to sublicense the operating systems software upon payment
of required sublicensing fees.  The Company also has an extensive
program  for the licensing of third party application and general
utility software for use on systems and workstations.

   The Company has a non-exclusive license agreement with Bentley
Systems,  Inc. ("BSI"), an approximately 33%-owned  affiliate  of
the  Company,  under  which  the Company  sells  MicroStation,  a
software product developed and maintained by BSI and utilized  in
many of the Company's software applications, via its direct sales
force,  and  via  its indirect sales channels if MicroStation  is
sold with other Intergraph products.  See Management's Discussion
and Analysis of Financial Condition and Results of Operations and
Note  13  of Notes to Consolidated Financial Statements contained
in  the  Company's  1999  annual report, portions  of  which  are
incorporated  by reference in this Form 10-K annual  report,  for
further   discussion  of  the  Company's  affiliation  and   past
arbitration proceedings with BSI.

   The  Company owns and maintains a number of registered patents
and  registered  and  unregistered  copyrights,  trademarks,  and
service  marks.  The patents and copyrights held by  the  Company
are  the  principal  means  by which the  Company  preserves  and
protects  the  intellectual  property  rights  embodied  in   the
Company's  hardware and software products.  Similarly,  trademark
rights  held by the Company are used to preserve and protect  the
goodwill represented by the Company's registered and unregistered
trademarks.

   As industry standards proliferate, there is a possibility that
the  patents  of others may become a significant  factor  in  the
Company's business.  Personal computer technology, which is  used
in  the  Company's  workstation and server  products,  is  widely
available,   and   many  companies,  including  Intergraph,   are
attempting  to  develop patent positions concerning technological
improvements  related  to  personal computers,  workstations  and
servers.   With the possible exception of its ongoing  litigation
with Intel (in which the Company expects to prevail), it does not
appear  that  the  Company  will  be  prevented  from  using  the
technology  necessary  to  compete successfully,  since  patented
technology  is typically available in the industry under  royalty
bearing licenses or patent cross licenses, or the technology  can
be  purchased  on  the  open market.   Any  increase  in  royalty
payments or purchase costs would increase the Company's costs  of
manufacture,   however,  and  it  is  possible  that   some   key
improvement  necessary to compete successfully in markets  served
by the Company may not be available.

  In addition, computer software technology is increasingly being
protected  by patents, and many companies, including  Intergraph,
are developing patent positions for software innovations.  It  is
unknown  at the present time whether patented software technology
will  be  made  generally  available  under  license  or  whether
specific innovations will be held by their inventors and not made
available to others.  In many cases, it may be possible to employ
software  techniques that avoid the patents of  others,  but  the
possibility   exists  that  some  features  needed   to   compete
successfully in a particular segment of the software  market  may
be  unavailable or may demand unacceptable costs due  to  royalty
requirements.  Patented software techniques that become de  facto
industry standards are among those that are likely to raise costs
or  prevent the Company from competing successfully in particular
markets.

   An inability to retain significant third party license rights,
in  particular  the Microsoft license, to protect  the  Company's
copyrights,  trademarks,  and  patents,  or  to  obtain   current
technical  information or any required patent  rights  of  others
through  licensing  or purchase, all of which  are  important  to
success  in  the  industry in which the Company  competes,  could
significantly reduce the Company's revenues and adversely  affect
its results of operations.

   Technology  significant  to  the  Company  is  sometimes  made
available in the form of proprietary information or trade secrets
of  others.   Prior  to the dispute with Intel,  Intel  had  made
freely  available technical information used by  the  Company  to
design,   market  and  support  its  products  that   use   Intel
components.   Such  information  is  claimed  by  Intel   to   be
proprietary   and   is  made  available  by  Intel   only   under
nondisclosure agreements.  Prior to the April 1998 ruling of  the
Alabama  Court (See Item 3, Legal Proceedings, following),  Intel
was  withholding such information, attempting to cancel  existing
agreements   and   refusing  to  enter  into  new   nondisclosure
agreements  with  the Company.  Intel's actions are  the  subject
matter  of  current litigation.  These actions have  damaged  the
Company  by slowing the introduction of new products using  Intel
components  and  preventing  proper maintenance  and  support  of
Company products using Intel components.

Risks and Uncertainties

  In  addition  to  those described above and in  Item  3,  Legal
Proceedings, the Company has risks and uncertainties  related  to
its   business   and  operating  environment.   See  Management's
Discussion  and  Analysis of Financial Condition and  Results  of
Operations  and  Note  2  of  Notes  to  Consolidated   Financial
Statements  contained  in  the  Company's  1999  annual   report,
portions of which are incorporated by reference in this Form 10-K
annual  report,  for  further  discussion  of  these  risks   and
uncertainties.

Employees

  At  December  31,  1999,  the Company had  approximately  5,700
employees.   Of these, approximately 2,480 were employed  outside
the  United  States.  The Company's employees are not subject  to
collective  bargaining agreements, and there have  been  no  work
stoppages  due to labor difficulties.  Management of the  Company
believes its relations with employees to be good.

ITEM 2.   PROPERTIES

  The Company's corporate offices and primary distribution center
are  located  in  Huntsville,  Alabama.   All  of  the  Company's
operating segments have corporate headquarters located within the
Huntsville  facilities.   The Company's operating  segments  also
maintain sales and support facilities throughout the world.

   The  Company  owns  over 1,900,000 square  feet  of  space  in
Huntsville    that   is   utilized   for   product   development,
distribution,   sales   and   administration.    The   Huntsville
facilities also include over 500 acres of unoccupied  land.   The
Company  maintains  sales  and support locations  in  major  U.S.
cities outside of Huntsville through operating leases.

  Outside the U.S., the Company owns approximately 280,000 square
feet of space, primarily its Nijmegen distribution center.  Sales
and  support  facilities are leased in most  major  international
locations.

   The  Company considers its facilities to be adequate  for  the
immediate future.


ITEM 3.   LEGAL PROCEEDINGS

   The Company filed a legal action on November 17, 1997, in U.S.
District  Court,  the Northern District of Alabama,  Northeastern
Division  (the "Alabama Court"), charging Intel Corporation,  the
supplier  of  all  of the Company's microprocessor  supply,  with
anticompetitive  business practices.  In the lawsuit,  Intergraph
alleges   that  Intel  attempted  to  coerce  the  Company   into
relinquishing to Intel certain computer hardware patents  through
a  series  of wrongful acts, including interference with business
and contractual relations, interference with technical assistance
from   third  party  vendors,  breach  of  contract,  negligence,
misappropriation of trade secrets, and fraud based  upon  Intel's
failure  to  promptly notify the Company of  defects  in  Intel's
products  and  timely  correction of such  defects,  and  further
alleging  that  Intel has infringed upon the  Company's  patents.
The Company's patents define the architecture of the cache memory
of  an Intergraph developed microprocessor.  The Company believes
this  architecture is at the core of Intel's entire Pentium  line
of microprocessors and systems.  On December 3, 1997, the Company
amended  its  complaint to include a count  charging  Intel  with
violations of federal antitrust laws.  Intergraph asserts  claims
for  compensatory  and  treble  damages  resulting  from  Intel's
wrongful conduct and infringing acts, and punitive damages in  an
amount  sufficient to punish and deter Intel's wrongful  conduct.
Additionally,  the Company requested that Intel be enjoined  from
continuing  the alleged wrongful conduct which is anticompetitive
and/or   violates  federal  antitrust  laws,  so  as  to   permit
Intergraph  uninterrupted development  and  sale  of  Intel-based
products.

  On  November  21,  1997,  the Company filed  a  motion  in  the
Alabama  Court  to enjoin Intel from disrupting or  delaying  its
supply of products and product information, pending resolution of
Intergraph's legal action.  On April 10, 1998, the Alabama  Court
ruled   in  favor  of  Intergraph  and  ordered  that  Intel   be
preliminarily enjoined from terminating Intergraph's rights as  a
strategic customer in current and future Intel programs, and from
otherwise taking any action adversely affecting Intel's  business
relationship with Intergraph or Intergraph's ability  to  design,
develop,   produce,   manufacture,  market   or   sell   products
incorporating, or based upon, Intel products or information.  The
Court's  ruling  required  that Intel  carry  out  business  with
Intergraph  under the same terms and conditions,  with  the  same
rights, privileges, and opportunities as Intel makes available to
Intergraph's  competitors  who are also  strategic  customers  of
Intel.  In response to the Alabama Court's decision, on April 16,
1998,  Intel  appealed to the United States Court of Appeals  for
the  Federal Circuit (the "Appeals Court").  On November 5, 1999,
the  Appeals  Court vacated the preliminary injunction  that  had
been  entered by the Alabama Court.  This ruling by  the  Appeals
Court  is  not expected to impact Company operations as Intel  is
bound  by  an Agreement and Consent Order with the Federal  Trade
Commission  entered March 17, 1999 not to restrict microprocessor
sales  to the Company and not to take coercive actions that  were
identified by the Company in its legal action against Intel.

   On  June 17, 1998, Intel filed its answer in the Alabama case,
which included counterclaims against Intergraph, including claims
that Intergraph has infringed seven patents of Intel.  On July 8,
1998,  the  Company filed its answer to the Intel  counterclaims,
among  other  things  denying  any  liability  under  the  patent
infringement asserted by Intel.  On June 17, 1998, Intel filed  a
motion  before  the  Alabama  Court seeking  a  summary  judgment
holding  that  Intel  is licensed to use  the  patents  that  the
Company   asserted  against  Intel  in  the  Company's   original
complaint.    This  "license  defense"  was  based   on   Intel's
interpretation  of the facts surrounding the acquisition  by  the
Company   of   the  Advanced  Processor  Division  of   Fairchild
Semiconductor  Corporation in 1987.  On September 15,  1998,  the
Company  filed  a cross motion with the Alabama Court  requesting
summary  adjudication in favor of the Company.  On  November  13,
1998, the Company amended its complaint to include two additional
counts   of  patent  infringement  against  Intel.   The  Company
requested  the  court  to issue a permanent injunction  enjoining
Intel  from further infringement and to order that the  financial
impact of the infringement be calculated and awarded in treble to
Intergraph.   On  June  4, 1999, the Alabama  Court  granted  the
Company's September 15, 1998 motion and ruled that Intel  has  no
license to use the Company's Clipper patents as Intel had claimed
in  its  motion for summary judgment.  On October 12,  1999,  the
Alabama  Court reversed its June 4, 1999 order and dismissed  the
Company's  patent claims against Intel.  The Company is confident
that Intel has no license to use the Clipper patents and believes
that the court's original decision on this issue was correct.  On
October  15,  1999,  the  Company appealed  the  Alabama  Court's
October 12, 1999 order.  No decision has been entered.

   The Company believes that Intel's counterclaims, including the
alleged  infringement of seven Intel patents, will not result  in
material adverse consequences for the Company.

   At  an oral hearing held February 25, 2000, the Alabama  Court
indicated that the trial date for this case, previously scheduled
for  June,  2000, will be continued.  A formal schedule  has  not
been  entered, but the Company believes it likely that trial will
be re-scheduled for the Summer of 2001.

  On March 10, 2000 the Alabama Court entered an order dismissing
the  antitrust claims of the Company against Intel, based in part
upon a February 17, 2000 decision by the Appeals Court in another
case (CSU v. Xerox).  The Company considers this dismissal to  be
in  error  and  intends to vigorously pursue its  antitrust  case
against  Intel.  At present, the Company is considering a  number
of  possible  options  which may include  bringing  an  immediate
appeal  of  the order of the Alabama Court or an appeal following
the end of trial and judgment on the merits of the Company's case
in  chief.   At  the  present  time, the  Company  is  unable  to
determine  the effect, if any, of this dismissal on the Company's
overall case against Intel.

   During  the  course of the Intel litigation, the  Company  has
employed a variety of experts to prepare estimates of the damages
suffered by the Company under various claims of injury brought by
the  Company.   The following damage estimates were  provided  to
Intel  in  the August/September 1999 time frame in due course  of
the  litigation  process: estimated damages  for  injury  covered
under  non-patent  claims  through June 1999  -  $100  million;
estimated  additional damages for injury covered under non-patent
claims through December 2003 - $400 million, subject to present-
value  reduction.   These  numbers are  estimates  only  and  any
recovery  of  damages in this litigation could  be  substantially
less  than  these estimates or substantially greater  than  these
estimates  depending  on  a variety of  factors  that  cannot  be
determined at this time.   Factors that could lead to recovery of
substantially  less  that these estimates include,  but  are  not
limited to, the failure of the Alabama Court or the Appeals Court
to  sustain  the  legal basis for one or more  of  the  Company's
claims, the failure of the jury to award amounts consistent  with
these estimates,  the failure of the Alabama Court or the Appeals
Court  to sustain any jury award in amounts consistent with these
estimates,  the settlement by the Company of the Intel litigation
in  an  amount inconsistent with these estimates, and the failure
of  the Company to successfully defend itself from Intel's patent
counterclaims in the Alabama Court and in the Appeals Court and a
consequential  recovery by Intel for damages and/or  a  permanent
injunction  against  the Company.  Factors  that  could  lead  to
recovery substantially greater than these estimates include,  but
are not limited to, success by the Company in recovering punitive
damages on one or more of its non-patent claims.

   The  Company  believes it was necessary to take  legal  action
against  Intel  in order to defend its workstation business,  its
intellectual  property, and the investments of its  shareholders.
The Company is vigorously prosecuting its positions and defending
against  Intel's  claims and believes it will  prevail  in  these
matters, but at present is unable to predict an outcome.


ITEM 4.   SUBMISSION OF MATTERS TO A VOTE OF SHAREHOLDERS

  None.


EXECUTIVE OFFICERS OF THE COMPANY

   Certain information with respect to the executive officers  of
the Company is set forth below.  Officers serve at the discretion
of the Board of Directors.

Name                   Age              Position                  Officer Since
----                   ---              --------                  -------------
James F. Taylor Jr.    55   Chief Executive Officer and Director       1977
Robert E. Thurber      59   Executive Vice President and Director      1977
Graeme J. Farrell      57   Executive Vice President                   1994
Penman R. Gilliam      62   Executive Vice President                   1994
Lewis N. Graham Jr.    45   Executive Vice President                   1997
Stephen J. Phillips    58   Executive Vice President                   1987
Preetha R. Pulusani    39   Executive Vice President                   1997
William E. Salter      58   Executive Vice President                   1984
K. David Stinson Jr.   46   Executive Vice President                   1996
John W. Wilhoite       48   Executive Vice President                   1988
                            and Chief Financial Officer
Edward A. Wilkinson    66   Executive Vice President                   1987
Manfred Wittler        59   Executive Vice President                   1989


   James  F. Taylor Jr. joined the Company in July 1969,  shortly
after  its formation, and is considered a founder.  He has served
as  a  Director since 1973.  Mr. Taylor was responsible  for  the
design and development of the Company's first commercial computer-
aided-design products and for many application specific products.
He  was  elected  Vice  President  in  1977  and  Executive  Vice
President in 1982.  He assumed management responsibility for  the
Company's  public  safety division in 1995.  Effective  March  2,
2000,  he  was  elected  Chief Executive  Officer  of  Intergraph
Corporation.   Mr.  Taylor  holds  degrees  in  mathematics   and
physics.

   Robert  E.  Thurber,  a founder of the  Company,  has  been  a
Director  since 1972.  Mr. Thurber was elected Vice President  in
June  1997  and is currently serving as Executive Vice  President
and  Chief  Engineer.   Mr. Thurber holds a  master's  degree  in
engineering.

   Graeme J. Farrell joined the Company in February 1986  as  the
Financial  Controller for Intergraph's subsidiaries in  Australia
and  New  Zealand.   In 1987, the Company appointed  him  Finance
Director  for  its  Asia-Pacific region.   He  was  elected  Vice
President of Business Operations for Asia-Pacific in 1994, and in
August  1999 he was elected Executive Vice President.   Prior  to
joining  the  Company,  Mr. Farrell was  involved  in  accounting
software  development for five years, and prior to  that  he  was
Finance  director  of Dennison Manufacturing's  (USA)  Australian
operations  for five years. Mr. Farrell is a Chartered  Secretary
and qualified accountant holding a public practice certificate.

  Penman R. Gilliam joined the Company in April 1994 as Executive
Vice President responsible for federal programs.  Mr. Gilliam  is
currently  responsible  for the federal mapping  and  information
systems organization.  Mr. Gilliam came to Intergraph from Hughes
Aircraft   Company  where  he  was  Vice  President   of   Hughes
Communications and Data Systems Division.  From late 1987 through
early  1993, Mr. Gilliam served as Deputy Director of the Defense
Mapping  Agency,  the  senior civilian  responsible  for  overall
production,  operations,  and  research.   Mr.  Gilliam  holds  a
bachelor's degree in mathematics and geology.

   Lewis  N. Graham Jr. joined the Company in 1985 and  has  been
involved  in  the  design  and delivery of  imaging  and  mapping
systems  during  most  of his career with the  Company.   He  was
elected  Vice  President in 1997 and Executive Vice President  in
1998,  with  responsibility  for the mapping  and  geoengineering
divisions  of  Intergraph.  He is currently the  Chief  Executive
Officer  of Z/I Imaging, Inc., a 60%-owned photogrammetry company
formed in October 1999.  Mr. Graham holds a bachelor's degree  in
physics and a master's degree in electrical engineering.

   Stephen  J. Phillips joined the Company as Vice President  and
General  Counsel in November 1987 when Intergraph  purchased  the
Advanced Processor Division of Fairchild Semiconductor, where Mr.
Phillips  was  General Patent Counsel.  He was elected  Executive
Vice  President  in August 1992.  Mr. Phillips holds  a  master's
degree in electrical engineering and a juris doctor in law.

   Preetha  R. Pulusani joined the Company in 1980 as a  software
engineer, and since that time has held several positions  in  the
areas of marketing and development of mapping technology for  the
Company.   She was elected Vice President in 1997 and has  served
as  Executive Vice President, with responsibility for the mapping
and  geographic information systems business of Intergraph, since
August  1998.  Ms. Pulusani holds a master's degree  in  computer
science.

  William E. Salter joined the Company in April 1973.  Since that
time,  he  has  served  in several managerial  positions  in  the
Company's  federal systems business and as Director of  Marketing
Communications.  Dr. Salter was elected Vice President in  August
1984  and is currently an Executive Vice President of the Company
and  President  of  Intergraph  Government Solutions.  He holds a
doctorate in electrical engineering.

   K.  David  Stinson Jr. joined the Company in 1996.   Prior  to
joining  the  Company,  Mr. Stinson acted as  Vice  President  of
Engineering  and  Nuclear  Projects  for  the  Tennessee   Valley
Authority ("TVA"), the nation's largest government owned electric
power  utility.   Before joining TVA, he was  founder  and  Chief
Executive Officer of Digital Engineering, with responsibility for
developing  software to assist with the operations,  maintenance,
and  environmental qualification of nuclear facilities and  other
process plants.  Mr. Stinson was elected Executive Vice President
in 1996 and is currently responsible for the process and building
business  of Intergraph.  He is a graduate of the U.S. Air  Force
Academy  and  holds a masters degree in management administration
science.

   John  W. Wilhoite joined the Company in July 1985 after eleven
years with Price Waterhouse & Co.  He has been Controller of  the
Company  since 1986 and was elected Vice President in  1988.   In
May  1998, he was elected Executive Vice President of Finance and
was named Chief Financial Officer in December 1998.  Mr. Wilhoite
holds  a  bachelor's degree in business administration and  is  a
certified public accountant.

   Edward A. Wilkinson joined the Company in 1985 as Director  of
Government  Relations.  He was elected Vice President of  Federal
Systems  in 1987 and Executive Vice President in 1994.  Prior  to
joining  the Company, Mr. Wilkinson served 34 years in  the  U.S.
Navy,  retiring  with  the  rank of Rear  Admiral.   He  holds  a
master's degree in mechanical engineering.

   Manfred  Wittler joined the Company in 1989 as Vice President.
In   1991,   he  was  elected  Executive  Vice  President,   with
responsibility for sales and support in Europe, Canada, and Latin
America.   He  has served as Chairman of the Board of  Intergraph
Computer  Systems ("ICS") since November 1999 and  was  appointed
Chief  Executive  Officer  of ICS in  January  2000.   From  1983
through  1989,  Mr.  Wittler  held several  positions  with  Data
General Corporation in Europe, including Division Vice President.
He holds a doctorate in engineering.


                             PART II


ITEM 5.   MARKET  FOR  THE COMPANY'S COMMON STOCK AND  RELATED
          SHAREHOLDER MATTERS

   The  information appearing under "Dividend Policy" and  "Price
Range  of  Common Stock" on page 58 of the Intergraph Corporation
1999  annual report to shareholders is incorporated by  reference
in this Form 10-K annual report.


ITEM 6.   SELECTED FINANCIAL DATA

   Selected financial data for the five years ended December  31,
1999  appearing under "Five Year Financial Summary" on the inside
front  page of the Intergraph Corporation 1999 annual  report  to
shareholders  is  incorporated by reference  in  this  Form  10-K
annual report.


ITEM 7.   MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL
          CONDITION AND RESULTS OF OPERATIONS

   Management's Discussion and Analysis of Financial Condition and
Results  of  Operations  appearing on  pages  16  to  32  of  the
Intergraph  Corporation  1999 annual report  to  shareholders  is
incorporated by reference in this Form 10-K annual report.


ITEM 7A.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET
          RISK

   Information relating to the Company's market risks appearing
under   "Impact  of  Currency  Fluctuations  and  Currency   Risk
Management" and "Liquidity and Capital Resources" in Management's
Discussion  and  Analysis of Financial Condition and  Results  of
Operations  appearing  on  pages  27  to  32  of  the  Intergraph
Corporation 1999 annual report to shareholders is incorporated by
reference in this Form 10-K annual report.


ITEM 8.   FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

   The consolidated financial statements and report of independent
auditors   appearing  on  pages  33  to  57  of  the   Intergraph
Corporation  1999 annual report to shareholders are  incorporated
by reference in this Form 10-K annual report.


ITEM 9.   CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
          ACCOUNTING AND FINANCIAL DISCLOSURE

   None.


                            PART III


ITEM 10.  DIRECTORS AND EXECUTIVE OFFICERS OF THE COMPANY

   The  information appearing under "Election of  Directors"  and
"Compliance with Section 16(a) of the Securities Exchange Act  of
1934"  on  pages   4  to  6 of the Intergraph  Corporation  proxy
statement  relative to the annual meeting of shareholders  to  be
held May 18, 2000, is incorporated by reference in this Form 10-K
annual  report.  Directors are elected for terms of one  year  at
the annual meeting of the Company's shareholders.

   Information relating to the executive officers of the  Company
appearing under "Executive Officers of the Company" on  pages  14
to  15 in this Form 10-K annual report is incorporated herein  by
reference.


ITEM 11.  EXECUTIVE COMPENSATION

   The  information  appearing under "Executive Compensation"  on
pages  6  to  13  of the Intergraph Corporation  proxy  statement
relative to the annual meeting of shareholders to be held May 18,
2000,  is  incorporated  by reference in this  Form  10-K  annual
report.


ITEM 12.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

   The information appearing under "Common Stock Outstanding  and
Principal  Shareholders"  on pages  1  to  4  of  the  Intergraph
Corporation  proxy  statement relative to the annual  meeting  of
shareholders  to  be  held  May  18,  2000,  is  incorporated  by
reference in this Form 10-K annual report.


ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

   None.


                             PART IV


ITEM 14.  EXHIBITS, FINANCIAL STATEMENT SCHEDULE, AND REPORTS ON
          FORM 8-K

                                                              Page in
                                                          Annual Report *
                                                          ---------------

(a)  1)  The following consolidated financial
            statements of Intergraph Corporation
            and subsidiaries and the report of
            independent auditors thereon are
            incorporated by reference from the
            Intergraph Corporation 1999 annual
            report to shareholders:

            Consolidated Balance Sheets at December
            31, 1999 and  1998                                   33

            Consolidated Statements of Operations for
            the three years ended December 31, 1999              34

            Consolidated Statements of Cash Flows for
            the three years ended December 31, 1999              35

            Consolidated Statements of Shareholders'
            Equity for the three years ended December 31, 1999   36

            Notes to Consolidated Financial Statements          37-56

            Report of Independent Auditors                       57

     *   Incorporated by reference from the indicated pages of the
         1999 annual report to shareholders.

                                                               Page in
                                                              Form 10-K
                                                              ---------

     2)  Financial Statement Schedule:

            Schedule II - Valuation and Qualifying Accounts
               and Reserves for the three years ended
               December 31, 1999                                  22

   All other schedules are omitted because they are not applicable
or  the required information is shown in the financial statements
or notes thereto.

   Financial statements of 50%-or-less-owned companies have  been
omitted  because the registrant's proportionate share  of  income
before  income  taxes  of  the companies  is  less  than  20%  of
consolidated loss before income taxes, and the investments in and
advances to the companies are less than 20% of consolidated total
assets.

      3)  Exhibits

                                                                Page in
          Number             Description                       Form 10-K
          ------             -----------                       ---------

           3(a)    Certificate of Incorporation, Bylaws, and
                   Certificate of Merger (1).

           3(b)    Amendment to Certificate of Incorporation (2).

           3(c)    Restatement of Bylaws (3).

           4       Shareholder Rights Plan, dated August 25,
                   1993 (4) and amendment dated March 16,
                   1999. (10)

           10(a) * Employment Contract of Manfred Wittler
                   dated November 1, 1989 (5) and amendments
                   dated February 18, 1998 (8) and June 7, 1999.

           10(b)   Amended and Restated Loan and Security
                   Agreement, by and between Intergraph
                   Corporation and Foothill Capital Corporation,
                   dated November 30, 1999

           10(c) * Intergraph Corporation 1997 Stock Option Plan
                   (6) and amendment dated January 11, 1999. (11)

           10(d)   Indemnification Agreement between Intergraph
                   Corporation and each member of the Board of
                   Directors of the Company dated June 3, 1997 (7).

           10(e) * Employment Contract of Wade Patterson dated
                   May 30, 1997 (7) and amendment dated November
                   2, 1998. (10)

           10(f) * Intergraph Corporation Nonemployee Director
                   Stock Option Plan (8).

           10(g) * Employment Contract of Klaas Borgers dated
                   September 1, 1997. (10)

           10(h)   Asset Purchase Agreement by and among SCI
                   Technology, Inc. as Buyer and Intergraph
                   Corporation as Seller dated November  13,
                   1998, with Exhibits and Schedule 1 (9).

           10(i) * Intergraph Computer Systems Holding, Inc.
                   1998 Stock Option Plan. (10)

           13      Portions of the Intergraph Corporation
                   1999 Annual Report to Shareholders
                   incorporated  by reference in this Form
                   10-K  Annual Report
           21      Subsidiaries of the Company                      23
           23      Consent of Independent Auditors                  24
           27      Financial Data Schedule

           99(a)   Consent of Lawrence R. Greenwood
           99(b)   Consent of Joseph C. Moquin

*    Denotes  management contract or compensatory plan, contract,
     or  arrangement required to be filed as an Exhibit  to  this
     Form 10-K

------------------

        (1)  Incorporated by reference to exhibits filed with the
             Company's Quarterly Report on Form 10-Q for the quarter
             ended June 30, 1984, under the Securities Exchange Act
             of 1934, File No. 0-9722.

        (2)  Incorporated by reference to exhibits filed with the
             Company's Quarterly Report on Form 10-Q for the quarter
             ended March 31, 1987, under the Securities Exchange Act
             of 1934, File No. 0-9722.

        (3)  Incorporated by reference to exhibits filed with the
             Company's Quarterly Report on Form 10-Q for the quarter
             ended June 30, 1993, under the Securities Exchange Act
             of 1934, File No. 0-9722.

        (4)  Incorporated by reference to exhibits filed with the
             Company's Current Report on Form 8-K dated August 25,
             1993, under the Securities Exchange Act of 1934, File
             No. 0-9722.

        (5)  Incorporated by reference to exhibits filed with the
             Company's Annual Report on Form 10-K for the year
             ended December 31, 1992, under the Securities Exchange
             Act of 1934, File No. 0-9722.

        (6)  Incorporated by reference to exhibits filed with the
             Company's Annual Report on Form 10-K for the year ended
             December 31, 1996, under the Securities Exchange Act of
             1934, File No. 0-9722.

        (7)  Incorporated by reference to exhibits filed with the
             Company's Quarterly Report on Form 10-Q for the quarter
             ended June 30, 1997, under the Securities Exchange Act
             of 1934, File No. 0-9722.

        (8)  Incorporated by reference to exhibits filed with the
             Company's Annual Report on Form 10-K for the year ended
             December 31, 1997, under the Securities Exchange Act of
             1934, File No. 0-9722.

        (9)  Incorporated by reference to exhibits filed with the
             Company's Current Report on Form 8-K dated November 13,
             1998, under the Securities Exchange Act of 1934, File
             No. 0-9722.

        (10) Incorporated by reference to exhibits filed with the
             Company's Annual Report on Form 10-K for the year ended
             December 31, 1998, under the Securities Exchange Act of
             1934, File No. 0-9722.

        (11) Incorporated by reference to exhibit filed with the
             Company's Registration Statement on Form S-8 dated May
             24, 1999, under the Securities Exchange Act of 1933,
             File No. 333-79137.

------------------
(b)  No reports on Form 8-K were filed during the fourth quarter
     of the fiscal year ended December 31, 1999.

(c)  Exhibits - the response to this portion of Item 14 is submitted
     as a separate section of this report.

(d)  Financial statement schedules - the response to this portion
     of Item 14 is submitted as a separate section of this report.


------------------
Information  contained in this Form 10-K annual  report  includes
statements that are forward looking as defined in Section 21E  of
the Securities Exchange Act of 1934.  Actual results could differ
materially   from   those  projected  in  the   forward   looking
statements.   Information  concerning factors  that  could  cause
actual  results  to differ materially from those in  the  forward
looking  statements is contained in the "Management's  Discussion
and  Analysis  of Financial Condition and Results of  Operations"
section  of the Company's 1999 annual report, portions  of  which
are incorporated by reference in this Form 10-K annual report.

                           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.


                     INTERGRAPH CORPORATION

                    By /s/ James F. Taylor Jr.     Date:  March 21, 2000
                       -----------------------
                        James F. Taylor Jr.
                      Chief Executive Officer
                   (Principal Executive Officer)


   Pursuant to the requirements of the Securities Exchange Act of
1934,  this report has been signed below by the following persons
on  behalf  of the registrant and in the capacities  and  on  the
dates indicated.


                                                               Date
                                                               ----

/s/  James W. Meadlock         Chairman of the Board      March 21, 2000
----------------------------
   James W. Meadlock


/s/ James F. Taylor Jr.        Chief Executive Officer
----------------------------   and Director               March 21, 2000
  James F. Taylor Jr.

/s/  Robert E. Thurber         Executive Vice President
----------------------------   and Director               March 21, 2000
   Robert E. Thurber

/s/ Larry J. Laster
----------------------------   Director                   March 21, 2000
    Larry J. Laster


----------------------------   Director                   March 21, 2000
     Thomas J. Lee


----------------------------   Director                   March 21, 2000
   Sidney L. McDonald


/s/  John W. Wilhoite          Executive Vice President
----------------------------   and Chief Financial Officer
    John W. Wilhoite           (Principal Financial and
                               Accounting Officer)        March 21, 2000


              INTERGRAPH CORPORATION AND SUBSIDIARIES

  SCHEDULE II ---- VALUATION AND QUALIFYING ACCOUNTS AND RESERVES



    Column A           Column B      Column C        Column D        Column E
-----------------    -----------   ----------      ------------   -------------
                                    Additions
                      Balance at   charged to
                      beginning    costs and                       Balance at
  Description         of period     expenses        Deductions    end of period
-----------------    -----------   ----------      ------------   -------------
Allowance for
doubtful
accounts deducted
from accounts
receivable in
the balance
sheet          1999  $13,814,000    6,900,000       4,648,000 (1)   $16,066,000
               1998  $14,488,000    3,168,000       3,842,000 (1)   $13,814,000
               1997  $16,703,000    2,844,000       5,059,000 (1)   $14,488,000




Allowance for
obsolete inventory
deducted from
inventories in
the balance
sheet          1999  $31,249,000   23,187,000 (3)  20,540,000 (2)   $33,896,000
               1998  $36,508,000   19,346,000      24,605,000 (2)   $31,249,000
               1997  $43,223,000   15,582,000      22,297,000 (2)   $36,508,000



(1)  Uncollectible accounts written off, net of recoveries.

(2)  Obsolete inventory reduced to net realizable value.

(3)  Includes a $7 million inventory write-down resulting from the
     Company's exit from the personal computer and generic server
     businesses in third quarter 1999.