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ANGELES CORP. CLOSES TRANSACTIONS WITH INSIGNIA FINANCIAL GROUP

 LOS ANGELES, Nov. 24 ~PRNewswire~ -- Angeles Corp. (AMEX: ANG) said that its previously announced agreement with Insignia Financial Group has been modified, primarily in form, and that the transaction closed today.
 The modified transaction, considerably simplifying the original agreement, conveys the general partner, property management and other services related to Angeles' traditional real estate partnership business to Insignia. In return, Angeles received $5.3 million in cash, a five-year note and Insignia securities. The exact amounts of the note and the Insignia securities will be determined by formula over the next three months but are expected to have an aggregate value of up to $7.0 million. Angeles expects to receive 50 percent of the residual or upside benefits of the various general partner interests and will retain all of the receivables owed to it by the partnerships.
 Also included in the transaction was the transfer to Insignia of all class B shares of Angeles Mortgage Investment Trust (AMEX: ANM) held by Angeles. An affiliate of Angeles will continue as advisor to the Trust for at least 18 months, and Insignia will support the election of Angeles Chairman William Elliott and a nominee of his as trustees for a period of at least two years.
 Angeles stated that the transaction substantially completes the redirection of its resources toward its factory outlet shopping mall and congregate-type seniors housing businesses. While the company still has other assets unrelated to those businesses, it expects to dispose of them at appropriate times.
 In additional agreements, Insignia has been engaged by Angeles as an investment banker to assist in various tasks including the financing and refinancing of properties in the traditional real estate portfolio, which is expected to expedite the repayment of Angeles' receivables from the partnerships. The two companies have also entered into reciprocal management agreements providing for each to manage the properties of the other in their respective areas of specialization.
 Angeles Chairman and Chief Executive Officer Elliott is expected to remain chairman of Angeles and its largest stockholder but will likely step down as chief executive officer to enable him to serve as a senior executive of Insignia on a part-time basis. Angeles President and Chief Operating Officer Joseph Cattivera is expected to also assume the chief executive officer title. Elliott stated that while he regrets the downsizing of Angeles' staff, he believes the transaction offers significant benefits to Angeles Corp. and, equally important, to the limited partners of the Angeles programs.
 -0- 11~24~92
 ~CONTACT: Steve Leach of Angeles Corp., 800-421-4374, ext. 598, or 213-284-3598~
 (ANG ANM)


CO: Angeles Corp.; Insignia Financial Group ST: California IN: FIN SU:

LS-JB -- LA034 -- 1240 11~24~92 16:25 EST
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Publication:PR Newswire
Date:Nov 24, 1992
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