Comdisco announces third quarter net earnings of $27 million; record lease volume of $701 million; declares quarterly cash dividends; announces $100 million share purchase program.

ROSEMONT, Ill.--(BUSINESS WIRE)--July 24, 1996--Comdisco, Inc. today reported operating results for its third fiscal quarter and nine months ended June 30, 1996.

For the third quarter, Comdisco reported net earnings of $27 million, or $.51 per common share, up 16 percent on a per share basis, compared with $24 million, or $.44 per common share, for the year earlier period. The company also reported revenues of $592 million for the quarter, versus $539 million for the prior year period. The company's lease volume (cost of equipment placed on lease) was an all-time quarterly record at $701 million.

For the nine months ended June 30, 1996, the company reported net earnings of $78 million, or $1.47 per common share, up 15 percent on a per share basis, compared with $71 million, or $1.28 per common share, for the prior year period. Total revenue was $1.70 billion in the nine months ended June 30, 1996, compared with $1.66 billion for the year earlier period. Lease volume for the nine months was $1.8 billion, also a record for the first nine months of a fiscal year.

Commenting on the third quarter results, Jack Slevin, chairman and chief executive officer, stated, "1996 continues to be a strong growth year for Comdisco as evidenced by our record lease volume and the continuing growth of our operating lease revenue, which was up 20 percent from the same period last year. Business continuity and network services contributed to the strength of the quarter with all-time record revenue and earnings. Comdisco continues its successful transformation into a diversified high-technology services company. Our diversified earnings base has helped propel the growth that we are experiencing today and we feel confident that we should end fiscal 1996 with record earnings per share."

The Board of Directors today declared a quarterly cash dividend of $.07 per share to common stockholders. The common stock cash dividend will be payable on September 3, 1996, to stockholders of record on August 2, 1996.

The company declared a quarterly cash dividend of $.55 per share to preferred stockholders (Series A and B). The preferred stock cash dividend will be payable on September 15, 1996, to preferred stockholders of record (Series A and B) on August 31, 1996.

Comdisco had 50,371,511 shares of common stock outstanding at June 30, 1996.

The company authorized an expenditure of up to an aggregate of $100 million to purchase shares of the company's currently outstanding common and/or preferred stock or other debt securities of the company. Any further purchases would depend on market and other conditions and would be made in the open market or otherwise at such prices as the company may from time to time approve.

SAFE HARBOR:

The last sentence of the CEO commentary above contains a forward- looking statement as to which the company intends to have the benefit of the safe harbor created by the Private Securities Litigation Reform Act of 1995. While this forward-looking statement is based on assumptions believed by the company to be reasonable and reflect the company's current expectations as to future events and financial performance, it is subject to important factors relating to the company's operations and business environment which may cause the actual results of the company to be materially different from any future results expressed or implied by such forward-looking statement. The recipient is directed to the company's SEC reports, including the management's discussion and analysis section in its most recent quarterly report on Form 10-Q which from time to time contain detailed information relating to these factors.

Comdisco Inc. (NYSE: CDO) is one of the world's leading providers of solutions that help organizations reduce technology cost and risk. These services include asset management; equipment leasing and remarketing; business continuity; technology integration; and network services. Revenue for the fiscal year ended September 30, 1995, totaled $2.2 billion. Comdisco's Worldwide Web address is http://www.comdisco.com. -0-

Comdisco, Inc. and Subsidiaries
Consolidated Statements of Earnings
For the Three and Nine Months Ended June 30, 1996 and 1995
(Dollars in millions except per share data)

                                       Three months     Nine months
                                       ended June 30,   ended June 30,
                                       ____________     ____________
                                       1996    1995     1996    1995
Revenue                               _____   _____     _____   _____
 Leasing
  Operating                           $ 349   $ 291     $ 995  $  812
  Direct financing                       37      44       116     137
  Sales-type                             54      53       143     210
                                      _____   _____     _____   _____
   Total leasing                        440     388     1,254   1,159

Sales                                    54      74       179     269
Business continuity and network
 services                                83      68       231     197
Other                                    15       9        39      31
                                      _____   _____     _____   _____
  Total revenue                         592     539     1,703   1,656
                                      _____   _____     _____   _____
Costs and expenses
Leasing
  Operating                             266     214       750     597
  Sales-type                             38      35        97     156
                                      _____   _____     _____   _____
   Total leasing                        304     249       847     753

Sales                                    45      62       145     225
Business continuity and network services 72      60       201     176
Selling, general and administrative      60      58       180     172
Interest                                 64      68       194     206
                                      _____   _____     _____   _____
  Total costs and expenses              545     497     1,567   1,532
                                      _____   _____     _____   _____
Earnings before income taxes             47      42       136     124
Income taxes                             18      16        52      47
                                      _____   _____     _____   _____
Net earnings before preferred dividends  29      26        84      77
Preferred dividends                      (2)     (2)       (6)     (6)
                                      _____   _____     _____   _____
Net earnings available to common
 stockholders                        $   27  $   24    $   78  $   71
                                      _____   _____     _____   _____
                                      _____   _____     _____   _____
Retained earnings at beginning of
 period                               $ 808   $ 721     $ 764  $  681
Net earnings available to common
 stockholders                            27      24        78      71
Cash dividends paid on common stock      (4)     (3)      (11)    (10)
                                      _____   _____     _____   _____

Retained earnings at end of period   $  831  $  742    $  831  $  742
                                      _____   _____     _____   _____
                                      _____   _____     _____   _____
Net earnings per common and
 common equivalent share:
    Net earnings available to common
     stockholders                    $ 0.51  $ 0.44    $ 1.47  $ 1.28
                                      _____   _____     _____   _____
                                      _____   _____     _____   _____
Common and common equivalent shares
 outstanding                             53      55        53      55
                                      _____   _____     _____   _____

CONTACT: Comdisco, Inc., Rosemont

James J. Hyland, Investor Contact, 847/518-5051

[e-mail]

or

Mary Moster, Media Contact, 847/518-5147

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