UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 5
ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
( ) Check box if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue. See Instructions 1(b).
( ) Form 3 Holdings Reported
( ) Form 4 Transactions Reported
1. Name and Address of Reporting Person
   Kohler, John C.
   
   C/O  TELLABS OPERATIONS, INC.
            4951 Indiana Avenue
   Lisle, IL  60532
   USA
2. Issuer Name and Ticker or Trading Symbol
   Tellabs, Inc.
   (TLAB)
3. IRS or Social Security Number of Reporting Person (Voluntary)
   
4. Statement for Month/Year
   12/27/96
5. If Amendment, Date of Original (Month/Year)
   
6. Relationship of Reporting Person(s) to Issuer (Check all applicable)
   ( ) Director  ( ) 10% Owner  (X) Officer (give title below) ( ) Other
   (specify below)
Vice President, Manufacturing, Tellabs Operations, Inc.  (Subsidiary of 
Issuer)
   
7. Individual or Joint/Group Reporting (Check Applicable Line)
   (X) Form filed by One Reporting Person
   ( ) Form filed by More than One Reporting Person


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 Table I -- Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned                                                 |
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1. Title of Security         |2.    |3.  |4.Securities Acquired (A)         |5.Amount of        |6.Dir |7.Nature of Indirect       |
                             |Transaction|  or Disposed of (D)              |  Securities       |ect   |  Beneficial Ownership     |
                             |Date  |Code|                                  |  Beneficially     |(D)or |                           |
                             |      |    |                  | A/|           |  Owned at         |Indir |                           |
                             |      |    |    Amount        | D |    Price  |  End of Year      |ect(I)|                           |
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Common Stock                 |(1)   |T   |23.09             |A  |(1)        |233.048  (2)       |I     |(1)                        |
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                             |      |    |                  |   |           |24,240  (2)        |D     |                           |
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 Table II -- Derivative Securitites Acquired, Disposed of, or Beneficially Owned                                                   |
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1.Title of Derivative   |2.Con   |3.   |4.  |5.Number of De |6.Date Exer|7.Title and Amount  |8.Price|9.Number    |10.|11.Nature of|
  Security              |version |Transaction rivative Secu |cisable and|  of Underlying     |of Deri|of Deriva   |Dir|Indirect    |
                        |or Exer |Date |Code| rities Acqui  |Expiration |  Securities        |vative |tive        |ect|Beneficial  |
                        |cise Pr |     |    | red(A) or Dis |Date(Month/|                    |Secu   |Securities  |(D)|Ownership   |
                        |ice  of |     |    | posed of(D)   |Day/Year)  |                    |rity   |Benefi      |or |            |
                        |Deriva  |     |    |               |Date |Expir|                    |       |ficially    |Ind|            |
                        |tive    |     |    |           | A/|Exer-|ation|   Title and Number |       |Owned at    |ire|            |
                        |Secu    |     |    |           | D |cisa-|Date |   of Shares        |       |End of      |ct |            |
                        |rity    |     |    |  Amount   |   |ble  |     |                    |       |Year        |(I)|            |
___________________________________________________________________________________________________________________________________|
                                                                               
Employee Stock Options  |$ 28.625|7/22/|J  (|20,000     |A  |(4)  |7/22/|Common Stock|20,000 |       |            |   |            |
(Rights to Buy)         |0       |96   |3)  |           |   |     |06   |            |       |       |            |   |            |
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Employee Stock Options  |$  1.531|     |    |           |   |     |     |Common Stock|105,000|       |            |   |            |
(Rights to Buy)  (5)    |3       |     |    |           |   |     |     |            |       |       |            |   |            |
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Employee Stock Options  |$  5.000|     |    |           |   |     |     |Common Stock|80,000 |       |            |   |            |
(Rights to Buy)  (5)    |0       |     |    |           |   |     |     |            |       |       |            |   |            |
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Employee Stock Options  |$ 16.687|     |    |           |   |     |     |Common Stock|20,000 |       |225,000  (2)|D  |            |
(Rights to Buy) (5)     |5       |     |    |           |   |     |     |            |       |       |            |   |            |
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Explanation of Responses:
(1)  These shares are held for the benefit of the reporting person in the 
Tellabs Advantage Plan.  23.09 shares 
were acquired during the fiscal year at prices ranging from $15.25 (post-split) 
to $45.25 (post-split).  The 
information reported herein is based on a plan statement as of December 27, 
1996.
(2)  These holdings have been modified to reflect the effect of the 2-for-1 
stock split effective November 15, 1996.
(3)  10,000 options at a per share exercise price of $57.250 were originally 
granted under a Tellabs, Inc. Employee 
Stock Option Plan in a transaction exempt under old Rule 16b-3.  The stock 
options have been adjusted to reflect the 
2-for-1 stock split effective November 15, 1996.  
(4)   All options become exercisable in cumulative annual installments of 25% 
on each of the 1st, 2nd, 3rd and 4th 
anniversaries of the grant 
date.
(5)  These stock options were previously reported as options for 52,500, 40,000 
and 10,000  shares respectively, 
at per share exercise prices of  $3.0625, $10.0000 and  $33.3750, respectively, 
each as adjusted for all prior stock 
splits and other transactions and have been further adjusted to reflect the 
2-for-1 stock split effective November 
15, 
1996.
SIGNATURE OF REPORTING PERSON
/s/  John C. Kohler