Rule 424(b)(3)
                                                File No. 33-54629
 
Pricing Supplement No. 1029                   Dated: May 31, 1996
(To Prospectus dated October 4, 1994 and 
Prospectus Supplement dated November 16, 1994) 

                        XEROX CORPORATION
                   Medium-Term Notes, Series C 
           Due Nine Months or More From Date of Issue
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                              GENERAL
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Principal Amount: $25,000,000
Issue Price: 100% of Principal Amount (see below under "If as 
  Principal" if Agent is acting as Principal)
Agent's Discount or Commission: $31,250 (0.125% of Principal Amount)
Net proceeds to Company: $24,968,750 (99.875% of Principal Amount)
Original Issue Date (Settlement Date): June 20, 1996
Maturity Date: July 1, 2002
Agent: Goldman, Sachs & Co.
Agent's capacity: / / As Agent   /X/ As Principal (see below)
  If as Principal: 
  /X/ The Note is being offered at varying prices related to 
      prevailing market prices at the time of resale. 
  / / The Note is being offered at a fixed initial public 
      offering price of   % of Principal Amount.
Form: /X/ Book Entry      / / Certificated 
Specified Currency: U.S. dollars
Authorized Denominations: $1,000
  Integral Multiples in excess thereof: $1,000
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                             INTEREST
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/X/ Fixed Rate Note (other than Amortizing or Zero-Coupon Note):
    Fixed Rate of: 7.00% per annum
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    EARLY REDEMPTION AND/OR REPAYMENT, AND OPTIONAL EXTENSION
          OF MATURITY DATE, RESETS AND PAYMENT CURRENCY
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Early redemption at Company's option: 
  / / No    /X/ Yes (see below)
  Redemption date(s): Each Interest Payment Date occurring in 
    July, October, January and April of each year, commencing 
    July 1, 1998
  Redemption price(s): 100% of the principal amount of the Note 
  Other provisions:  The Note may be redeemed only in whole and 
    not in part, and upon at least 30 days prior notice to the 
    Holder of the Note.

Early repayment at Holder's option:
  /X/ No    / / Yes 

Option to extend Maturity Date:
  /X/ No    / / Yes

Option to reset interest rate: 
  /X/ No    / / Yes
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                            ATTACHMENT
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Interest on the Note will be payable monthly on the 1st of each 
month, commencing August 1, 1996, through and including the 
Maturity Date (each, an "Interest Payment Date"), and the Regular 
Record Date in respect of each Interest Payment Date will be the 
15th day (whether or not a Business Day) of the month next 
preceding the month in which such Interest Payment Date occurs.