February 26, 1998

Report on "Audit of the Department of Energy's Consolidated Financial Statements for Fiscal Year 1997

The Office of Inspector General audited the Department's Consolidated Statement of Financial Position as of September 30, 1997, and the related Consolidated Statement of Operations and Changes in Net Position for the year then ended.  In the opinion of the Office of Inspector General, these financial statements present fairly, in all material respects, the financial position of the Department as of September 30, 1997, and the results of operations and changes in net position for the year then ended, in conformance with the basis of accounting described in Note 1 of the financial statements.