Arden Group announces financial results.

LOS ANGELES--(BUSINESS WIRE)--March 19, 1997--Arden Group Inc. (NASDAQ/NMS:ARDNA) Wednesday released its sales and income figures for the fourth quarters and years ended Dec. 28, 1996, and Dec. 30, 1995, respectively.

Arden Group operates 12 Gelson's and Mayfair supermarkets in Southern California. -0-

              ARDEN GROUP INC. AND CONSOLIDATED SUBSIDIARY

                              Fourth Quarter    Fourth Quarter
                                 1996 (a)          1995 (a)

Sales                          $65,648,000       $61,736,000
Operating income                $1,685,000 (b)    $1,978,000
Interest, dividend and
 other income (expense),
  net                              356,000 (c)       809,000
Unrealized gain (loss)
 on marketable securities          397,000           (54,000)
Income from continuing
 operations before income
  taxes                          2,438,000         2,733,000
Income tax provision               973,000         1,094,000
Income from continuing
 operations (net of income
  taxes)                       $ 1,465,000       $ 1,639,000
Loss from discontinued
 operations (net of income
  tax benefits of $209,000)       (145,000) (d)           --
Net income                     $ 1,320,000       $ 1,639,000
Net income per common share:
 Income from continuing
  operations                         $1.32             $1.31
 Loss from discontinued
  operations                     (13 cents)               --
Net income per common share          $1.19             $1.31
Weighted average common shares
 outstanding                     1,108,999         1,253,672


                              Fifty-Two Weeks   Fifty-Two Weeks
                                 1996 (a)          1995 (a)

Sales                         $252,019,000      $242,962,000
Operating income                $5,922,000 (b)    $8,212,000
Interest, dividend and
 other income (expense),
  net                              830,000 (c)     2,130,000
Unrealized gain (loss)
 on marketable securities         (151,000)        1,430,000
Income from continuing
 operations before income
  taxes                          6,601,000        11,772,000
Income tax provision             2,622,000         4,661,000
Income from continuing
 operations (net of income
  taxes)                       $ 3,979,000       $ 7,111,000
Loss from discontinued
 operations (net of income
  tax benefits of $305,000)       (456,000) (d)           --
Net income                     $ 3,523,000       $ 7,111,000
Net income per common share:
 Income from continuing
  operations                         $3.57             $5.47
 Loss from discontinued
  operations                     (41 cents)               --
Net income per common share          $3.16             $5.47
Weighted average common shares
 outstanding                     1,115,227         1,299,002

(a)  Fourth-quarter 1996 ended on Dec. 28, 1996, and fourth-quarter
     1995 ended on Dec. 30, 1995.

(b)  The decrease in 1996 is primarily due to the opening of a new
     store in January 1996, increased depreciation expense in 1996
     compared with 1995 levels and the recognition of certain union
     benefit credits in 1995 which were nonrecurring in 1996.

(c)  Includes $148,000 and $974,000 less interest and dividend income
     in the fourth quarter and fifty-two weeks of 1996, respectively,
     compared with the same periods in 1995.  Also includes realized
     gains on sale of marketable securities of $106,000 in the fourth
     quarter of 1996 compared with gains of $328,000 in the fourth
     quarter of 1995.

(d)  Costs, net of tax, associated with an arbitration of disputed
     items relating to the sale in 1993 of the communication equipment
     business.

CONTACT: Arden Group Inc., Los Angeles

Ernest T. Klinger, 310/638-2842