Arden Group Inc. Announces Sales and Income Figures for the Third Quarters Ended Sept. 30, 2000 and Oct. 2, 1999, Respectively.

Business Editors

LOS ANGELES--(BUSINESS WIRE)--Nov. 13, 2000

Arden Group Inc. today released its sales and income figures for the third quarters ended Sept. 30, 2000 and Oct. 2, 1999, respectively.

Arden Group is the parent company of Gelson's Markets, which operates 16 Gelson's and Mayfair supermarkets in Southern California.

             ARDEN GROUP INC. AND CONSOLIDATED SUBSIDIARY


                                               Unaudited
                                          Third Quarter Ended
                                 Sept. 30, 2000          Oct. 2, 1999

Sales                           $ 88,009,000(a)        $ 79,172,000

Operating income                $  4,339,000(b)        $  3,740,000
Interest, dividend and other
 income (expense), net               414,000                206,000

Income from continuing
 operations before income taxes    4,753,000              3,946,000
Income tax provision               1,936,000              1,608,000

Net income                      $  2,817,000           $  2,338,000

Net income per common share:
 Basic                          $       0.81           $       0.65
 Diluted                        $       0.81           $       0.65

Weighted average common
 shares outstanding:
  Basic                            3,457,496              3,585,472
  Diluted                          3,459,655              3,585,472


                                       Thirty-Nine Weeks Ended
                                 Sept. 30, 2000          Oct. 2, 1999

Sales                           $263,124,000(a)        $234,986,000

Operating income                $ 14,760,000(b)        $ 12,948,000
Interest, dividend and other
 income (expense), net               629,000                521,000

Income from continuing
 operations before income taxes   15,389,000             13,469,000
Income tax provision               6,270,000              4,341,000(c)

Net income                      $  9,119,000           $  9,128,000

Net income per common share:
 Basic                          $       2.58           $       2.55
 Diluted                        $       2.58           $       2.55

Weighted average common
 shares outstanding:
  Basic                            3,531,539              3,585,472
  Diluted                          3,533,018              3,585,472

(a) Sales increased primarily due to the opening of two new stores in
the latter half of 1999. Same store sales increased 3.3 percent and
2.5 percent for the 13 and 39 weeks ended Sept. 30, 2000, over the
same periods of the prior year, respectively. The sales growth also
reflects the positive impact of store remodel activity. The company's
new store in Irvine, Calif., opened the last week of September 2000,
and therefore, did not contribute significantly to the increase in
sales.

(b) The increase in operating income in 2000 compared with 1999
reflects higher sales and gross profit percentage partially offset by
higher operating expenses as a percent of sales.

(c) In June 1999, the California Franchise Tax Board withdrew
assessments against the company related to its 1986 through 1989 tax
returns. As a result, the income tax provision for the first nine
months of 1999 reflects a $1,286,000 reduction of tax reserves.