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AARON RENTS ANNOUNCES AGREEMENT WITH ITT COMMERCIAL FINANCE ON FRANCHISES

 AARON RENTS ANNOUNCES AGREEMENT
 WITH ITT COMMERCIAL FINANCE ON FRANCHISES
 ATLANTA, Oct. 13 /PRNewswire/ -- Aaron Rents, Inc. (NASDAQ: ARON), the nation's largest furniture rental and sales company, today announced it has reached an agreement with ITT Commercial Finance Corporation for financing franchises of the fast-growing Aaron's Rent-To-Own(R) division.
 "This is a significant step in the growth of our franchise program," said R. Charles Loudermilk Sr., chairman and chief executive officer of Aaron Rents. "ITT Commercial Finance has extensive experience in successful rent-to-own franchise financing. With ITT financing now available, we expect to see our rent-to-own franchises grow much more rapidly."
 Since launching the new franchise program early this year, Aaron's Rent-To-Own(R) has awarded three franchises and plans to increase the total to 20 franchised stores within the next 18 months.
 In addition to franchises, the division has accelerated the opening of company-owned rent-to-own stores with the opening of eight more locations, increasing the total to 39. At least six more stores are planned to be opened by the close of this fiscal year on March 31, 1993. The company-owned rent-to-own stores are located in major metropolitan areas, while franchise stores serve smaller markets offering the greatest growth potential.
 The ITT agreement not only provides financing for existing and future franchises, but also frees Aaron Rents capital for other aspects of its expansion program, including company-owned rent-to-own stores, Loudermilk noted.
 ITT Commercial Finance Corporation, a multi-billion-dollar commercial finance company, is one of the nation's largest independent companies in the specialized field of inventory and accounts receivable financing.
 Industry studies show the rent-to-own market offers the opportunity for substantial growth, Loudermilk said. Approximately 30 percent of the U.S. population are prospective rent-to-own customers and only about one-fourth of this market has been penetrated, according to the Association of Progressive Rental Organizations (APRO).
 Aaron's Rent-To-Own(R) produces its own line of furniture and offers a unique 12-month rent-to-own program, which provides a competitive advantage over the industry standard of 18 to 24 months payout.
 Aaron Rents, Inc., based in Atlanta, operates over 150 stores in 21 states for the sale and rental of residential and office furniture and equipment. The company produces furniture at five plants in Georgia and Florida and recently opened its first business equipment rental store in Atlanta.
 -0- 10/13/92
 /CONTACT: Gilbert L. Danielson, vice president, Finance and chief financial officer of Aaron Rents, 404-231-0011/
 (ARON) CO: Aaron Rents, Inc.; ITT Commercial Finance Corporation ST: Georgia IN: REA SU: FNC


BN-EA -- AT006 -- 9159 10/13/92 09:20 EDT
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Publication:PR Newswire
Date:Oct 13, 1992
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