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COMPUTER RENTAL CORPORATION OF AMERICA ACQUIRES 51 PERCENT OF PCR; SIGNS EXCLUSIVE RENTAL SERVICE CONTRACT WITH IBM

 COMPUTER RENTAL CORPORATION OF AMERICA ACQUIRES 51 PERCENT OF PCR;
 SIGNS EXCLUSIVE RENTAL SERVICE CONTRACT WITH IBM
 CHICAGO, Jan. 8 /PRNewswire/ -- In a bold move to dominate the $1 billion national personal computer rental market, Computer Rental Corporation of America (CRCA) today announced it has acquired majority interest of a national rental chain and ownership of a computer service company. CRCA also announced it has signed an agreement with IBM allowing the computer company to distribute IBM PS/2 products to IBM's authorized rental dealers.
 "We anticipate a 25 percent market share by the end of 1992. With these two acquisitions and the IBM agreement, we are projecting revenues in excess of $100 million for 1992," said Tim Bullard, CRCA's president.
 CRCA now owns 51 percent of Personal Computer Rentals (PCR) of Cranbury, N.J., a competitor of CRCA with a strong distribution network in key markets, and acquired American Eagle, also of New Jersey, the nation's largest computer rental reservations network. CRCA and American Eagle are privately held. PCR is a publicly held company. Terms were not disclosed, pending completion of definitive agreements.
 Under the terms of the IBM contract, valued at $250 million over the next five years by Bullard, CRCA will distribute IBM PS/2 computers to IBM authorized rental dealers nationwide.
 CRCA will also provide service for all IBM PS/2 products and the company is designated as an IBM business partner. CRCA's authorized rental centers may also provide warranty service for all IBM PS/2 products.
 According to Vince Polito, rental program administrator for IBM, "IBM announced its rental dealer program in May, 1991. Since then, we've seen growing evidence that personal computer rentals fill a real customer need. Our relationship with CRCA will allow us to reach a wide range of rental dealers across the country, and through them, meet the needs of many more customers."
 CRCA will have the first national presence in the rental industry with more than 100 rental centers as affiliates. The company also has committed $25 million to a national equipment pool. "There is truly a national network in place for the first time," Bullard said.
 The new network provides service on a national basis. If clients have rental needs in one, 12 or 20 cities, the network will deliver systems within 24 hours. A trained technician will be onsite within two hours of a call to the 800-number hotline. "Rentals are like fast food. Clients want it now and with no hassles. I think we're the McDonalds of the rental industry," Bullard said.
 -0- 1/8/92
 /CONTACT: Gloria Ciaccio of Ciaccio Communications, 312-951-7510, or Kim Freeman of Gavin Anderson & Company, 212-921-1060 ext. 222, both for Computer Rental Corp. of America/ CO: Computer Rental Corp. of America; Personal Computer Rentals ST: New Jersey, Illinois IN: CPR SU: TNM


TS -- NY060 -- 7628 01/08/92 09:17 EST
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Date:Jan 8, 1992
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