Comdisco, Inc. Announces Second Quarter Net Earnings Of $24 Million On Record Revenues Of $593 Million; Announces Quarterly Cash Dividend.

ROSEMONT, Ill.--(BUSINESS WIRE)--April 25, 1995--Comdisco, Inc. today reported net earnings of $24 million, or $.64 per share, compared with $22 million, or $.55 per share, for the year-earlier period, an increase of 16 percent. The company also reported all-time record quarterly revenues of $593 million for the second quarter of fiscal 1995, compared with $529 million for the year-earlier period, an increase of 12 percent.

For the six months ended March 31, 1995, the company reported total revenue of $1.12 billion, versus $1.07 billion, for the year-earlier period, an increase of 5 percent. Net earnings for the six months ended March 31, 1995, were $47 million, or $1.26 per share, versus $43 million, or $1.09 per share, for the prior-year period. This represents a 16 percent increase in earnings per share from the prior-year period.

Commenting on second quarter results, Jack Slevin, president and chief executive officer, stated "We reported strong gains in all key areas of our business and we established many new records during the quarter. In addition to record quarterly revenue for Comdisco, Inc., we reported record quarterly revenue and earnings for Comdisco Disaster Recovery Services. We also had record second quarter earnings per share from continuing operations. Our diversified businesses again contributed over one-third of our pre-tax earnings. Also, the company exceeded $1 billion in cost of equipment placed on lease for the six months ended March 31, 1995. This is the first time in the company's history it has exceeded the $1 billion mark for the first six months of a fiscal year."

Slevin continued that "The strategies we put in place three years ago when we announced our restructuring have been successfully implemented. The results are clearly evident in both the revenue and earnings growth records we set this quarter. Although we are pleased with our progress to-date, we remain strongly committed to our continuing goal of increasing shareholder value."

On April 24, 1995, the board of directors declared a quarterly cash dividend of $.09 per share. The dividend will be payable on June 19, 1995, to stockholders of record as of May 26, 1995. The board also declared a quarterly cash dividend of $.55 per share to preferred stockholders (Series A and B). The preferred stock dividend will be payable on June 15, 1995, to preferred stockholders of record (Series A and B) as of May 31, 1995. Comdisco had 35,242,045 shares of common stock outstanding at March 31, 1995.

Comdisco (NYSE:CDO) is one of the world's leading providers of solutions that help organizations reduce technology cost and risk. These services include equipment leasing and remarketing; business continuity and related consulting services; systems integration; asset management tools and services; and more. Comdisco's revenue totalled $2.1 billion for fiscal year 1994, ended September 30, 1994. -0-

Comdisco, Inc. and Subsidiaries
Consolidated Statements of Earnings
(in millions except per share data)
(unaudited)

                                    Three months       Six months
                                   ended March 31,   ended March 31,
                                   1995      1994    1995       1994
Revenue
 Leasing
  Operating                       $ 272     $ 251   $  521     $  516
  Direct financing                   46        47       93         93
  Sales-type                         93       100      157        181
   Total leasing                    411       398      771        790

Sales                               105        65      195        143
Disaster recovery                    65        60      129        118
Other                                12         6       22         14
 Total revenue                      593       529    1,117      1,065

Costs and expenses
 Leasing
  Operating                         202       187      383        383
  Sales-type                         75        80      121        143
   Total leasing                    277       267      504        526

Sales                                89        52      163        118
Disaster recovery                    58        56      116        111
Selling, general and
 administrative                      58        49      114         97
Interest                             70        65      138        134
 Total costs and
  expenses                          552       489    1,035        986

Earnings before
 income taxes                        41        40       82         79
Income taxes                         15        16       31         32
Net earnings before
 preferred dividends                 26        24       51         47
Preferred dividends                  (2)       (2)      (4)        (4)
Net earnings available
 to common stockholders           $  24     $  22    $  47     $  43

Retained earnings at
 beginning of period              $ 701     $ 668    $ 681     $ 650
Net earnings available
 to common stockholders              24        22       47         43
Cash dividends paid on
 common stock                        (4)       (4)      (7)        (7)
Retained earnings at
 end of period                    $ 721     $ 686    $ 721     $ 686

Net earnings per common and
 common equivalent share:
   Net earnings available to
     common stockholders          $0.64     $0.55    $1.26     $1.09

Common and common
  equivalent shares outstanding      37        39       37         39

CONTACT: Comdisco, Inc., Rosemont

Media Contact: Mary Moster, 708/518-5147

Investor Contact: James J. Hyland, 708/518-5051