<TABLE> <S> <C>

<ARTICLE> UT
<LEGEND>
     This schedule  contains summary  financial  information  extracted from the
financial statements of NIPSCO Industries,  Inc. for three months ended June 30,
1998,  and  is  qualified  in  its  entirety  by  reference  to  such  financial
statements.
</LEGEND>
<MULTIPLIER> 1,000
       
<S>                             <C>
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                                               DEC-31-1997
<PERIOD-START>                                                  APR-01-1998
<PERIOD-END>                                                    JUN-30-1998
<BOOK-VALUE>                                                       PER-BOOK
<TOTAL-NET-UTILITY-PLANT>                                         3,653,579
<OTHER-PROPERTY-AND-INVEST>                                         256,628
<TOTAL-CURRENT-ASSETS>                                              475,234
<TOTAL-DEFERRED-CHARGES>                                            158,039
<OTHER-ASSETS>                                                      270,522
<TOTAL-ASSETS>                                                    4,814,002
<COMMON>                                                            414,912
<CAPITAL-SURPLUS-PAID-IN>                                            87,742
<RETAINED-EARNINGS>                                                 701,235
<TOTAL-COMMON-STOCKHOLDERS-EQ>                                    1,203,889
<PREFERRED-MANDATORY>                                                57,591
<PREFERRED>                                                          85,614
<LONG-TERM-DEBT-NET>                                                485,100
<SHORT-TERM-NOTES>                                                  143,728
<LONG-TERM-NOTES-PAYABLE>                                         1,185,661
<COMMERCIAL-PAPER-OBLIGATIONS>                                      109,100
<LONG-TERM-DEBT-CURRENT-PORT>                                        20,733
<PREFERRED-STOCK-CURRENT>                                             1,828
<CAPITAL-LEASE-OBLIGATIONS>                                               0
<LEASES-CURRENT>                                                          0
<OTHER-ITEMS-CAPITAL-AND-LIAB>                                    1,520,758
<TOT-CAPITALIZATION-AND-LIAB>                                     4,814,002
<GROSS-OPERATING-REVENUE>                                           652,408
<INCOME-TAX-EXPENSE>                                                 15,424
<OTHER-OPERATING-EXPENSES>                                          573,365
<TOTAL-OPERATING-EXPENSES>                                          573,365
<OPERATING-INCOME-LOSS>                                              79,043
<OTHER-INCOME-NET>                                                    (931)
<INCOME-BEFORE-INTEREST-EXPEN>                                       78,112
<TOTAL-INTEREST-EXPENSE>                                             33,243
<NET-INCOME>                                                         29,445
<PREFERRED-STOCK-DIVIDENDS>                                               0
<EARNINGS-AVAILABLE-FOR-COMM>                                        29,445
<COMMON-STOCK-DIVIDENDS>                                             29,962
<TOTAL-INTEREST-ON-BONDS>                                                 0
<CASH-FLOW-OPERATIONS>                                              101,777
<EPS-PRIMARY>                                                          1.46
 <EPS-DILUTED>                                                         1.46
        

</TABLE>