CUC INTERNATIONAL INC. REPORTS RECORD THIRD QUARTER REVENUES AND EARNINGS.

STAMFORD, CT--(BUSINESS WIRE)--November 29, 1995--CUC International Inc. (NYSE:CU) today announced its financial results for the third quarter ended October 31, 1995.

Revenues for the third quarter increased 29% to $341.4 million from $263.7 million for the prior year's third quarter. Net income increased to $40.8 million from $30.2 million for the same period a year ago. On a per share basis, net income increased 29% to $.22 per share from $.17 per share a year ago. The weighted average number of shares outstanding was 188.7 million for the fiscal 1996 third quarter, versus 177.4 million for the same quarter last year.

For the nine-month period, revenues increased 28% to $979.9 million from $762.9 million for the same period a year ago. Net income for the nine months was $115.4 million, or $.62 per share, versus $84.8 million, or $.48 per share, a year ago.

CUC International now serves nearly 40 million members, of which 1.96 million were added during this past quarter. The completion of the North American Outdoor Group acquisition contributed approximately one million new members to the third quarter's membership growth. During the quarter, the company also announced it had signed an agreement to purchase Advance Ross Corporation (NASDAQ:AROS). The acquisition is expected to close in January, 1996.

Walter A. Forbes, chairman and chief executive officer, commented, "The strength of our services is reflected in our ability to maintain high renewal rates. As a result of our success with retaining members, our net income growth exceeded our revenue growth, and our operating margin expanded to 18.9% from 18.2% for the same nine-month period a year ago."

CUC International Inc. is a leading membership-services company, currently providing nearly 40 million consumers with access to a variety of services including home shopping, travel, insurance, auto, dining, home improvement, lifestyle clubs, checking account enhancements and discount coupon programs. -0-

                 CUC INTERNATIONAL INC. AND SUBSIDIARIES
                 CONDENSED  CONSOLIDATED  BALANCE  SHEET
                               (In thousands)

                                         October 31,  January 31
                                            1995         1995
                                         (Unaudited)
Assets
Current  Assets
   Cash and cash equivalents              $160,261     $180,648
   Receivables                             255,303      188,185
   Membership solicitations in process      57,203       45,636
   Prepaid membership materials             44,830       26,503
   Prepaid expenses, defer taxes & other    88,859       62,929
        Total Current Assets               606,456      503,901

Contract renewal rights and
    intangible assets, net                 262,973      195,688
Properties, net                             55,027       35,089
Deferred income taxes                        5,106       16,778
Other                                       28,061       16,696
                                          $957,623     $768,152

Liabilities and Shareholders' Equity
Current Liabilities
 Accounts payable and accrued expenses &
 federal and state income taxes payable   $102,942     $109,489

        Total Current Liabilities          102,942      109,489

Deferred membership income, net            211,024      197,010
Zero coupon convertible notes
   (net of unamortized original
    issue discount of $1,022 and $2,507)    14,347       15,046
Compensatory stock option plan and other     3,833        3,285

Shareholders' Equity                       625,477      443,322
                                          $957,623     $768,152

                CUC INTERNATIONAL INC. AND SUBSIDIARIES
                   CONSOLIDATED  STATEMENT  OF  INCOME
                                 (UNAUDITED)
         (Dollar amounts in thousands except per share amounts)

                                           Three Months Ended
                                              October 31,
                                           1995         1994

  REVENUES
     Membership, service fees & other     $341,406     $263,735

     Total Revenues                        341,406      263,735

  COSTS AND EXPENSES
     Operating                              90,784       70,694
     Marketing                             134,631      106,363
     General and administrative             50,049       37,329
     Interest (income) expense,
       net & amortization
       of restricted stock compensation       (643)         211

     Total Expenses                        274,821      214,597

  INCOME BEFORE INCOME TAXES                66,585       49,138

     Provision for income taxes             25,831       18,893

  NET INCOME                               $40,754      $30,245

  Net Income Per Common Share                $0.22        $0.17

Weighted Average Number of Common
 and Dilutive Common Equivalent
 Shares Outstanding                        188,734      177,428

               CUC INTERNATIONAL INC. AND SUBSIDIARIES
                   CONSOLIDATED STATEMENT OF INCOME
                              (UNAUDITED)
         (Dollar amounts in thousands except per share amounts)

                                           Nine Months Ended
                                              October 31,
                                           1995         1994

  REVENUES
     Membership, service fees & other     $979,886     $762,940

     Total Revenues                        979,886      762,940

  COSTS AND EXPENSES
     Operating                             263,404      206,868
     Marketing                             385,684      307,771
     General and administrative            145,345      109,390
     Interest (income) expense,
       net & amortization
       of restricted stock compensation       (838)       1,123

     Total Expenses                        793,595      625,152

  INCOME BEFORE INCOME TAXES               186,291      137,788

     Provision for income taxes             70,884       52,979

  NET INCOME                              $115,407      $84,809

  Net Income Per Common Share                $0.62        $0.48

Weighted Average Number of Common
 and Dilutive Common Equivalent
 Shares Outstanding                        186,873      176,400

               CUC INTERNATIONAL INC. AND SUBSIDIARIES
                    SUPPLEMENTAL CASH FLOW DATA
                             (UNAUDITED)
                           (In thousands)

                                            Nine Months Ended
                                               October 31,
                                            1995         1994

Net income                                $115,407      $84,809
Amort of membership acquisition costs      305,472      261,335
Deferred membership income                  10,960       (7,004)
Membership acquisition costs              (330,357)    (262,626)
Amort of contract rights and excess cost    13,793       10,652
Amort of original issue discount
    on convertible notes                     1,236        1,094
Amortization of restricted stock                            303
Depreciation                                 9,850        6,336
Deferred income taxes                       13,986       11,402
                                          $140,347     $106,301

CONTACT: CUC International Inc.

Laura Plevyak, 203/965-5114

or

Cosmo Corigliano

203/326-8821