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CERIDIAN REPORTS THIRD QUARTER EARNINGS

 CERIDIAN REPORTS THIRD QUARTER EARNINGS
 MINNEAPOLIS, Oct. 20 /PRNewswire/ -- Ceridian Corporation


(NYSE: CEN) today reported third quarter 1992 net earnings of $9.3 million, or $.22 per share, on revenue of $203.2 million. The businesses of Ceridian, the technology-based services company that recently emerged from the reshaping of Control Data Corporation, are Ceridian Employer Services, Arbitron, Computing Devices International and Ceridian Network Services. Third quarter 1992 earnings represent a 9 percent increase over comparable earnings in the third quarter 1991, when earnings from Ceridian's continuing operations totaled $8.5 million, or $.20 per share, on revenue of $180.6 million. Including results of businesses that are now reported as discontinued, the Company posted a net loss in the third quarter 1991 of $7.5 million, or $.18 per share.
 For the first nine months of 1992, Ceridian reported a net loss for its continuing operations of $39.7 million, which included restructure charges of $76.2 million taken earlier in the year, on revenue of $605.1 million. For the first nine months of 1991, Ceridian reported net earnings for its continuing operations of $56.0 million, which included a restructure gain of $20.5 million, on revenue of $561.8 million. Taking into account results of businesses that are now reported as discontinued, Ceridian posted a net loss of $403.1 million for the first nine months of 1992 and net earnings of $5.4 million for the same period in 1991.
 "Ceridian's operations provide a stable base for growth, and management is committed to making each operation highly profitable," said Lawrence Perlman, president and chief executive officer. "In the near term, we expect improvement to be gradual as each operation deals with business and economic issues."
 Computing Devices International is expected to continue increasing its revenue, primarily due to a $1.1 billion contract to integrate a new communications system for the Canadian armed forces. The contract is currently in a relatively low-margin development phase, and margins are expected to improve as the program moves into production. Computing Devices International, which is expanding its presence in the European market, recently increased from 44 percent to 100 percent its ownship interest in a United Kingdom-based company that provides information management products for government.
 As previously announced, in early September Arbitron discontinued the national television network ScanAmerica service designed to correlate product purchase and television viewing information. Arbitron subsequently determined it will revamp the local market people meter portion of its television service, both by discontinuing the use of in- home product scanning wands and by enhancing a survey that tracks the purchase of retail and other local services by households in the local markets. The actions help Arbitron strengthen its focus in the highly competitive local television ratings market.
 Ceridian Employer Services is aggressively marketing its payroll processing, human resources information management and other services, and it continues to improve quality, service and productivity through further automation of its payroll processing system. At the same time, lower interest rates continue to reduce the revenue that the business receives on its tax filing cash balances.
 Ceridian Network Services continues to develop several new services for customers, including a debit card processing service introduced in September.
 "The reshaping effort that led to Ceridian's creation was designed to enable the businesses to grow and to improve shareholder value," said Perlman. "In the future, we expect to supplement Ceridian's internally generated growth by making acquisitions, entering into joint ventures and establishing other cooperative arrangements that enhance the Company's success."
 Ceridian Corporation is an information management and employer services company.
 CERIDIAN CORPORATION AND SUBSIDIARIES
 CONSOLIDATED STATEMENTS OF OPERATIONS
 (Dollars in millions, except per share data)
 (Unaudited)
 For Period Ended September 30,
 Three Months Nine Months
 1992 1991 1992 1991
 Revenue
 Product sales $98.7 $71.0 $277.2 $216.4
 Services 104.5 109.6 327.9 345.4
 Total 203.2 180.6 605.1 561.8
 Cost of revenue
 Product sales 80.7 57.4 233.8 169.2
 Services 61.5 59.5 182.4 189.0
 Total 142.2 116.9 416.2 358.2
 Gross profit 61.0 63.7 188.9 203.6
 Operating Expenses
 Selling, general,
 and administrative 42.7 46.5 121.1 128.4
 Technical expense 10.8 10.9 34.9 34.5
 Other expense (income) (1.0) (1.0) (5.9) 2.0
 Restructure loss (gain) -- -- 76.2 (20.5)
 Earnings (Loss) before
 interest and taxes 8.5 7.3 (37.4) 59.2
 Interest expense (3.8) (4.1) (11.9) (16.9)
 Interest income 4.9 5.1 14.4 16.7
 Earnings (Loss) before
 income taxes 9.6 8.3 (34.9) 59.0
 Income tax provision .3 (.2) 4.8 3.0
 Earnings (Loss) from
 continuing operations 9.3 8.5 (39.7) 56.0
 Discontinued operations:
 Loss from operations -- 16.0 164.8 50.6
 Loss from disposition -- -- 156.8 --
 Cumulative charge to adopt
 FAS 106 -- -- 41.8 --
 Net earnings (loss) $9.3 $(7.5) $(403.1) $5.4
 Earnings (Loss) per share:
 From continuing operations $.22 $.20 $(.94) $1.31
 Discontinued operations -- (.38) (7.55) (1.19)
 Cumulative charge to adopt
 FAS 106 -- -- (.98) --
 Net earnings (loss) $.22 $(.18) $(9.47) $.12
 Weighted average common
 shares outstanding
 (in thousands) 42,677 42,526 42,586 42,527
 CONDENSED CONSOLIDATED BALANCE SHEETS
 (Unaudited)
 (Dollars in millions)
 September December
 1992 1991
 Cash and equivalents $226.3 $193.5
 Receivables 127.5 141.2
 Inventories 61.2 42.0
 Net assets of
 discontinued operations 1.2 319.3
 All other assets 194.0 278.7
 Total assets $610.2 $974.7
 Debt $189.6 $184.2
 All other liabilities 526.4 344.3
 Stockholders' equity (deficit) (105.8) 446.2
 Total liabilities and
 stockholders' equity $610.2 $974.7
 -0- 10/20/92 R
 /CONTACT: Nancy Foltz of Ceridian Corporation, 612-853-5229/
 (CEN) CO: Ceridian Corporation ST: Minnesota IN: SU: ERN


GK -- MN002R -- 2064 10/20/92 09:38 EDT
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