Acacia Research Corp. announces financial results.

PASADENA, Calif.--(BUSINESS WIRE)--Nov. 14, 1996--Acacia Research Corp. (ACRI) Thursday reported results for the nine-month period ended Sept. 30, 1996.

Net income for the period was $1,476,277, or 55 cents per share, versus $797,046, or 32 cents per share, for the comparable 1995 period. Total revenues were $3,303,762 for the first nine months in 1996, representing a significant increase over total revenues of $1,632,728 reported for the first nine months in 1995.

For the third quarter of 1996, there was a net loss of $103,075 compared with a net income of $461,088 for the same period in 1995. Total revenues were $90,428 compared with $790,918 for the third quarter of 1995.

The company attributes these differences to its activities related to acquiring equity interests in three emerging companies as well as to its efforts to establish operations in each of the companies in its portfolio. During the first nine months of 1996, Acacia Research expanded its assets by securing significant positions in CombiMatrix Corp., Soundview Technologies Inc., and Greenwich Information Technologies LLC. These three companies are involved, respectively, in developing new technologies for drug discovery, commercializing patented technology in the telecommunications field, and operation as exclusive marketing and licensing agent for several patents worldwide related to video-on-demand and audio-on-demand systems. Acacia Research is currently concentrating on the development of these new companies as well as on its existing holdings, which include MerkWerks Corp, Whitewing Labs, and its investment advisory services.

"During 1996, Acacia Research acquired interests in a number of promising companies, which has significantly added to our asset base at relatively little cost to the shareholders," said R. Bruce Stewart, president. "We were fortunate to participate in a number of opportunities involving companies that have substantial, marketable proprietary technologies. During 1995, Acacia Research generated operating revenue by selling part of its stake in one of its holdings. Although we are reluctant to sell any part of our equity interests, it has provided the necessary capital to make investments in and to develop emerging companies, thereby increasing and diversifying our holdings and building shareholder value." -0-

                      Acacia Research Corp. (ACRI)
                            Earnings Recap
                             (unaudited)

                         Nine Months Ended       Three Months Ended
                              Sept. 30,               Sept. 30,
                         1996         1995        1996         1995

Total Revenues         $3,303,762   $1,632,728   $90,428    $790,918
Net Income (Loss)
 (after taxes)         $1,476,277   $  797,046 $(103,075)   $461,088
Earnings Per Share
 (fully diluted)        55 cents     32 cents   (4 cents)   18 cents
Weighted Average
 Number of Shares
 Outstanding
 (fully diluted)        2,670,234    2,503,319  2,700,948  2,594,349

Acacia Research is a diversified capital management company with interests in several enterprises - Whitewing Labs, MerkWerks, Soundview Technologies, CombiMatrix, Greenwich Information Technologies, and private investment advisory services.

CONTACT: Acacia Research Corp., Pasadena

Kathryn King-Van Wie, 818/449-6431