8-K

               SECURITIES AND EXCHANGE COMMISSION

                    Washington, D.C.  20549


                            FORM 8-K

                         CURRENT REPORT

             Pursuant to Section 13 or 15(d) of the
                Securities Exchange Act of 1934

Date of Report (Earliest Event Reported):  February 28, 1996

Exact name of Registrant
 as specified in its charter:  The Diana Corporation

State or Other Jurisdiction of Incorporation:  Delaware

Commission File Number:  1-5486

I.R.S. Employer Identification Number:  36-2448698

Address of Principal Executive Office:  8200 West Brown Deer Road
                                        Suite 200
                                        Milwaukee, WI  53223

Registrant's Telephone Number, Including Area Code:  (414) 355-0037

ITEM 5.  OTHER EVENTS                          

     On February 28, 1996 the Registrant announced that its
indirect subsidiary, Atlanta Provision Company, Inc., executed an
agreement to sell for cash substantially all its assets and
business.  The agreement with the buyer, which was to close prior
to March 15, 1996, has been extended for approximately two weeks. 
Please see Exhibit 99.1.

ITEM 7.  FINANCIAL STATEMENTS AND EXHIBITS

         (c)  Exhibits

              99.1  Press releases dated February 28, 1996 and
                    March 14, 1996.

                           SIGNATURES

     Pursuant to the requirements 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.

                                 THE DIANA CORPORATION
                                      (Registrant)


Date:  March 19, 1996            /s/ R. Scott Miswald
                                     Vice President and Treasurer
 

EX-99.1

THE DIANA CORPORATION
8200 West Brown Deer Road, Suite 200
Milwaukee, WI 53223



                                        For Further Information
                                        Contact:
                                        Richard Y. Fisher
                                        (414) 355-0037, Ext. 202




Milwaukee, WI, February 28, 1996; The Diana Corporation (NYSE-DNA)
announced that its indirect subsidiary, Atlanta Provision Company,
executed an agreement to sell for cash substantially all its assets
and business.  Atlanta Provision Company is engaged in the meat and
seafood distribution business.  The agreement with the buyer
terminates unless a closing occurs prior to March 15, 1996. 
Because the buyer is dependent upon financing, no assurance can be
given that the transaction will occur.

The Company has a policy that it does not comment on unusual
activity in its stock.

The Diana Corporation, through its subsidiaries, is a manufacturer
of technologically advanced central office telecommunications
equipment for use in public switched telephone networks and for
private data networks; a leading provider of telecommunications
equipment to IXC's, LEC's, systems integrators, and interconnect
companies; and a value-added distributor of customer premise
equipment used in digital networks for the integrated voice and
data communications.



THE DIANA CORPORATION
8200 West Brown Deer Road, Suite 200
Milwaukee, WI 53223



                                        For Further Information
                                        Contact:
                                        Richard Y. Fisher
                                        (414) 355-0037, Ext. 202


       THE DIANA CORPORATION (NYSE-DNA) ANNOUNCES AGREEMENT EXTENSION

Milwaukee, WI, March 14, 1996; On February 28, 1996 The Diana
Corporation (NYSE-DNA) announced that its indirect subsidiary,
Atlanta Provision Company, executed an agreement to sell for cash
substantially all its assets and business.  Atlanta Provision
Company is engaged in the meat and seafood distribution business.
The agreement with the buyer, which was to close prior to March 15,
1996, has been extended for approximately two weeks. 

The Diana Corporation, through its subsidiaries, is a manufacturer
of technologically advanced central office telecommunications
equipment for use in public switched telephone networks and for
private data networks; a leading provider of telecommunications
equipment to IXC's, LEC's, systems integrators, and interconnect
companies; and a value-added distributor of customer premise
equipment used in digital networks for the integrated voice and
data communications.