FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person * HATCH GILBERT   2. Issuer Name and Ticker or Trading Symbol XEROX CORP [XRX] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner __X__ Officer (give title below) _____ Other (specify below) Senior Vice President (Last) (First) (Middle) 800 LONG RIDGE ROAD, P. O. BOX 1600 3. Date of Earliest Transaction (Month/Day/Year) 10/13/2004 (Street) STAMFORD, CT 06904 4. If Amendment, Date Original Filed(Month/Day/Year) 6. Individual or Joint/Group Filing(Check Applicable Line) _X_ Form filed by One Reporting Person ___ Form filed by More than One Reporting Person (City) (State) (Zip) Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned

1.Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 10/13/2004   J(2)   238 A $ 0 49,551 D   Common Stock 10/13/2004   F(2)   4 D $ 0 49,547 D   Incentive Stock Rights 10/13/2004   J(2)   238 A $ 0 238 D   Incentive Stock Rights 10/13/2004   J(2)   238 D $ 0 0 D   Common Stock               4,171.66 I Xerox Employee Stock Ownership Plan Xerox Stock Fund               18,037.294 (1) D

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security (Instr. 3)

2. Conversion or Exercise Price of Derivative Security

3. Transaction Date (Month/Day/Year)

3A. Deemed Execution Date, if any (Month/Day/Year)

4. Transaction Code (Instr. 8)

5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5)

6. Date Exercisable and Expiration Date (Month/Day/Year)

7. Title and Amount of Underlying Securities (Instr. 3 and 4)

8. Price of Derivative Security (Instr. 5)

9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)

10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4)

11. Nature of Indirect Beneficial Ownership (Instr. 4)

Code

V

(A)

(D)

Date Exercisable

Expiration Date

Title

Amount or Number of Shares

Stock Option

$ 4.75

08/26/2004(3)

08/26/2005(3)

Common Stock

81,000

81,000

D

Stock Option

$ 5.14

08/26/2004(3)

08/26/2005(3)

Common Stock

50,000

50,000

D

Stock Option

$ 7.885

08/26/2004(3)

08/26/2005(3)

Common Stock

121,500

121,500

D

Stock Option

$ 10.365

08/26/2004(3)

08/26/2005(3)

Common Stock

121,500

121,500

D

Stock Option

$ 21.7812

08/26/2004(3)

08/26/2005(3)

Common Stock

40,000

40,000

D

Stock Option

$ 25.8125

08/26/2004(3)

08/26/2005(3)

Common Stock

7,735

7,735

D

Stock Option

$ 31.9375

08/26/2004(3)

08/26/2005(3)

Common Stock

49,950

49,950

D

Stock Option

$ 36.7032

08/26/2004(3)

08/26/2005(3)

Common Stock

31,150

31,150

D

Stock Option

$ 46.875

08/26/2004(3)

08/26/2005(3)

Common Stock

16,350

16,350

D

Stock Option

$ 59.4375

08/26/2004(3)

08/26/2005(3)

Common Stock

992

992

D

Stock Option

$ 13.685

08/26/2004(3)

08/26/2005(3)

Common Stock

61,000

61,000

D

Reporting Owners

Reporting Owner Name / Address	Relationships
	Director	10% Owner	Officer	Other
HATCH GILBERT 800 LONG RIDGE ROAD P. O. BOX 1600 STAMFORD, CT 06904			Senior Vice President

Signatures

K. W. Fizer, Attorney-In-Fact		10/15/2004
**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 4(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	Units purchased in Xerox Stock Fund under Xerox Savings Plan. Amount does not represent shares of stock, but dollars invested divided by unit value.
(2)	Vesting of Incentive Stock Rights previously reported as cancelled on date of death
(3)	Exercise date accelerated to date of death and expiration date accelerated to one year following date of death

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