COMPDENT REPORTS RECORD 1995 RESULTS NET INCOME INCREASED MORE THAN 200%.

ATLANTA--(BUSINESS WIRE)--Jan. 30, 1996--CompDent Corporation (Nasdaq/NM:CPDN), a leader in the managed dental care industry, today announced record results for the fourth quarter and year ended December 31, 1995.

Revenues for the fourth quarter increased 95% to $28.3 million from $14.5 million for the same quarter of 1994. Net income for the quarter was $1.9 million, a 374% increase from $411,000 for the year-earlier period. Earnings per share were $0.19, on 10.1 million average shares outstanding, compared with $0.09, on 4.3 million average shares outstanding, for the fourth quarter of 1994. EBITDA (earnings before interest, taxes, depreciation and amortization), a standard measure of operating cash flow, was $4.1 million for the quarter compared with $1.9 million for the year-earlier period.

For 1995, revenues increased 93% to $106.7 million from $55.2 million for 1994. Net income before a one-time extraordinary charge increased 271% percent to $5.2 million, or $0.68 per share, from $1.4 million, or $0.30 per share, for 1994. The Company reported a one-time extraordinary charge of $498,122 in the second quarter of 1995 for the write-off of unamortized loan fees associated with two loans that were prepaid with proceeds from CompDent's initial public offering on May 25, 1995. Net income for the year increased 235% to $4.7 million, or $0.61 per share on 7.4 million average shares outstanding, from $1.4 million, or $0.30 per share on 4.3 million average shares outstanding, for 1994. EBITDA was $13.7 million for 1995 compared with $7.4 million for 1994.

The increase in average common shares outstanding for both periods is a result of the Company's initial public offering in May 1995 in which 3.93 million shares were issued and a secondary offering in August 1995 in which 1.9 million shares were issued.

"1995 was an exceptional year for CompDent as we successfully combined two strategic acquisitions with our existing operations and produced strong internal growth," said David R. Klock, president and chief executive officer. "With the DentiCare and CompDent acquisitions we doubled our membership in one year to 1.4 million members at year end.

"On January 8, 1996, we announced the acquisition of Texas Dental Plans, a referral fee-for-service dental company based in San Antonio, which broadens our product line and positions us as one of the largest managed dental care companies in Texas. Specifically, Texas Dental Plans increased our membership in Texas to more than 500,000, added more than 400,000 members to our managed dental care network and expanded our operations to 23 states from 16 states."

Klock added, "In addition to the acquisitions we have completed, in 1995 we also were awarded a contract by the State of North Carolina to offer our products to state employees, effective January 1, 1996. The contract covers all state employees and we estimate that there are more than 150,000 eligible employees for managed dental care through CompDent and indemnity insurance through our dual choice partner, Shenandoah Life Insurance Company.

"As we look to the remainder of 1996, we will continue to aggressively pursue profitable acquisitions which give us a significant position in existing markets or open up new markets to our managed dental care network."

CompDent Corp., headquartered in Atlanta, offers managed dental care plans as an alternative to traditional indemnity dental insurance and provides dental coverage for approximately 1.8 million plan members in 23 states. -0-

                        COMPDENT CORPORATION
                        FINANCIAL HIGHLIGHTS
                             (UNAUDITED)
                (in thousands, except per share data)

                             Three Months Ended       Year Ended
                                December 31,         December 31,
                              1995       1994      1995       1994
Revenues                     $28,282   $ 14,494  $106,661   $ 55,192

Income:
 Before extraordinary item
    and income tax           $ 3,234   $    742  $  8,969   $  2,721
 Income tax provision          1,286        331     3,765      1,316
 Extraordinary item              --         --       (498)       --
    Net income                 1,948        411     4,706      1,405

Per share:
 Before extraordinary item   $  0.19   $   0.09  $   0.68   $   0.30
 Extraordinary item              --         --      (0.07)       --
 Net income                  $  0.19   $   0.09  $   0.61   $   0.30

Weighted average common
   shares outstanding         10,150      4,256     7,352      4,252

EBITDA/a                       4,074      1,912    13,656      7,380

    (a) Earnings before interest, taxes, and depreciation and
amortization.

CONTACT: CompDent Corporation, Atlanta

Sharon S. Graham, 770/998-8936