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                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                  SCHEDULE 13G

                    Under the Securities Exchange Act of 1934
                              (Amendment No. ___)*

                             REX Stores Corporation
- --------------------------------------------------------------------------------
                                (Name of Issuer)

                                  Common Stock
- --------------------------------------------------------------------------------
                         (Title of Class of Securities)

                                    761624105
                                ----------------
                                 (CUSIP Number)

*The  remainder of this cover page shall be filled out for a reporting  person's
initial filing on this form with respect to the subject class of securities, and
for  any  subsequent   amendment   containing   information  which  would  alter
disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the  Securities  Exchange  Act of
1934 ("Act") or otherwise  subject to the liabilities of that section of the Act
but  shall be  subject  to all other  provisions  of the Act  (however,  see the
Notes).

                                  SCHEDULE 13G

CUSIP No.  761624105                         Page      2      of     6     Pages
           ----------------                        ---------     ---------

- --------- ----------------------------------------------------------------------
1         NAMES OF REPORTING PERSONS
          S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS

          Investment Counselors of Maryland, Inc.

- --------- ----------------------------------------------------------------------
2         CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*      (a)[ ]
                                                                 (b)[ ]

- --------- ----------------------------------------------------------------------
3         SEC USE ONLY

- --------- ----------------------------------------------------------------------
4         CITIZENSHIP OR PLACE OF ORGANIZATION
          Maryland

- ---------------------------- ------ --------------------------------------------
                             5      SOLE VOTING POWER
                                    480,000
         NUMBER OF
                              ------ -------------------------------------------
          SHARES             6      SHARED VOTING POWER
       BENEFICIALLY                 --
         OWNED BY
                             ------ --------------------------------------------
           EACH              7      SOLE DISPOSITIVE POWER
         REPORTING                  520,000
          PERSON
                             ------ --------------------------------------------
           WITH              8      SHARED DISPOSITIVE POWER
                                    --

- --------- ----------------------------------------------------------------------
9         AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

          520,000

- --------- ----------------------------------------------------------------------
10        CHECK IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*

- --------- ----------------------------------------------------------------------
11        PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

          5.9%

- --------- ----------------------------------------------------------------------
12        TYPE OF REPORTING PERSON*

          IA

- --------- ----------------------------------------------------------------------
                      *SEE INSTRUCTIONS BEFORE FILLING OUT!

                                  SCHEDULE 13G

CUSIP No.  761624105                         Page      3      of     6     Pages
           ----------------                        ---------     ---------

Item 1(a)         Name of Issuer:
- ---------         --------------
                  REX Stores Corporation

           (b)    Address of Issuer's Principal Executive Offices:

                  2875 Needmore Road
                  Dayton, Ohio  45414

Item 2(a):        Name of Person Filing:
- ---------         ---------------------

                  Investment Counselors of Maryland, Inc.

            (b)   Address of Principal Business Office or, if none, Residence:

                  803 Cathedral Street
                  Baltimore, Maryland  21201-5297

            (c)   Citizenship:

                  Maryland

            (d)   Title of Class of Securities:

                  Common Stock

           (e)    CUSIP Number:

                  761624105

Item 3:           Capacity in Which Person is Filing:
- ------            ----------------------------------

         [x] Investment  Adviser  registered under Section 203 of the Investment
         Advisers Act of 1940.

                                  SCHEDULE 13G

CUSIP No.  761624105                         Page      4      of     6     Pages
           ----------------                        ---------     ---------

Item 4:  Ownership:
- ------   ---------

         As of December 31, 1996:

         (a)      Amount Beneficially Owned:

                  520,000

         (b)      Percent of class:

                  5.9%

         (c)      Number of shares to which such person has:

                  (i)      Sole power to vote or to direct the vote:

                           480,000

                  (ii)     Shared power to vote or to direct the vote:

                           None

                  (iii)    Sole power to  dispose  or to direct the  disposition
                            of:

                           520,000

                  (iv)     Shared power to dispose or to direct the  disposition
                            of:

                           None

Item 5:  Ownership of Five Percent or Less of Class:
- ------   ------------------------------------------

         Not applicable.

                                  SCHEDULE 13G

CUSIP No.  761624105                         Page      5      of     6     Pages
           ----------------                        ---------     ---------

Item 6:  Ownership of More than Five Percent on Behalf of Another Person:
- ------   ---------------------------------------------------------------

                  All of the  shares  of  Common  Stock  set forth in Item 4 are
                  owned by various  investment  advisory  clients of  Investment
                  Counselors  of  Maryland,  Inc.,  which  is  deemed  to  be  a
                  beneficial  owner of those shares pursuant to Rule 13d-3 under
                  the Securities  Exchange Act of 1934, due to its discretionary
                  power to make  investment  decisions  over such shares for its
                  clients  and its  ability to vote such  shares.  In all cases,
                  persons other than  Investment  Counselors  of Maryland,  Inc.
                  have the right to receive,  or the power to direct the receipt
                  of,  dividends  from,  or the  proceeds  from  the sale of the
                  shares.  No individual  client holds more than five percent of
                  the class.

Item 7:  Identification  and Classification of the Subsidiary Which Acquired the
- ------   -----------------------------------------------------------------------
         Security Being Reported on By the Parent Holding Company:
         --------------------------------------------------------

         Not applicable.

Item 8:  Identification and Classification of Members of the Group:
- ------   ---------------------------------------------------------

         Not applicable.

Item 9:  Notice of Dissolution of Group:
- ------   ------------------------------

         Not applicable.

                                  SCHEDULE 13G

CUSIP No.  761624105                         Page      6      of     6     Pages
           ----------------                        ---------     ---------

Item 10: Certification:

         By  signing  below I  certify  that,  to the best of my  knowledge  and
         belief, the securities  referred to above were acquired in the ordinary
         course of business  and were not acquired for the purpose of and do not
         have the effect of changing or influencing the control of the issuer of
         such  securities  and  were not  acquired  in  connection  with or as a
         participant in any transaction having such purposes or effect.

                                    SIGNATURE
                                ----------------

                  After  reasonable  inquiry and to the best of my knowledge and
belief,  I certify  that the  information  set forth in this  statement is true,
complete and correct.

                                       Date:  February 14, 1997

                                              INVESTMENT COUNSELORS OF
                                              MARYLAND, INC.

                                       By:     /s/ Robert D. McDorman, Jr.
                                               --------------------------------
                                                Robert D. McDorman, Jr.
                                                Principal

                             HOGAN & HARTSON L.L.P.
                                 Columbia Square
                           555 Thirteenth Street, N.W.
                           Washington, D.C. 20004-1109
                                 (202) 637-5600

                                February 14, 1997

BY ELECTRONIC DELIVERY
- ----------------------

Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C.  20549

             Re:    REX Stores Corportion
                    Schedule 13G

Gentlemen:

         On behalf of Investment  Counselors of Maryland,  Inc., I am forwarding
    for filing with the Commission in electronic  format  pursuant to Regulation
    S-T, one complete  copy of Schedule  13G relating to the  securities  of REX
    Stores Corporation.

                                                     Sincerely,

                                                     /s/ Joseph G. Connolly, Jr.
                                                     Joseph G. Connolly, Jr.

Enclosure