Consolidated Statements of Cash Flows

		Three Months Ended March 31
		1996	1995
Operating Activities:
Net Income		$ 0.1	$ 52.5
Adjustments for items not affecting cash from operating activities:
Depreciation		69.9	71.0
Deferred Income Taxes		0.0	10.5
Other - net		6.2	(4.2)
Working capital (excluding financing and investing activities):
Receivables - operating		(20.6)	15.2
Receivables - sold		60.0	0.0
Inventories		(37.1)	(29.3)
Accounts payable		8.2	30.1
Employment costs and other		(63.8)	(52.3)
Other - net		(0.9)	(12.7)
Cash Provided from Operating Activities		22.0	80.8

Investing Activities:
Capital expenditures		(59.9)	(60.5)
Cash proceeds from asset sales and other		2.5	5.1
Cash Used for Investing Activities		(57.4)	(55.4)

Financing Activities:
Pension expense		47.6	53.4
Pension funding		(10.0)	(70.9)
Long-term debt and capital lease borrowings		0.7	1.9
Long-term debt and capital lease payments		(34.8)	(30.4)
Cash dividends paid		(10.1)	(10.1)
Other payments		(7.5)	(3.8)
Cash Used for Financing Activities		(14.1)	(59.9)

Net Decrease in Cash and Cash Equivalents		(49.5)	(34.5)
Cash and Cash Equivalents	- Beginning of Period	180.0	159.5
	- End of Period	$ 130.5	$ 125.0

Supplemental Cash Payment Information:
Interest, net of amount capitalized		$ 23.0	$ 24.3
Income taxes		$ 3.2	$ 0.0

The accompanying Notes are an integral part of the Consolidated Financial Statements.

Bethlehem Steel Corporation