The nucleolus solution for cooperative games in characteristic function form is usually computed numerically by solving a sequence of linear programming (LP) problems, or by solving a single, but very large-scale, LP problem. This paper proposes an algebraic method to compute the nucleolus solution analytically (i.e., in closed-form) for a three-player cooperative game in characteristic function form. We …rst consider cooperative games with empty core and derive a formula to compute the nucleolus solution. Next, we examine cooperative games with non-empty core and calculate the nucleolus solution analytically for …ve possible cases arising from the relationship among the value functions of di¤erent coalitions.