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DATA GENERAL REPORTS FIRST QUARTER RESULTS

 WESTBORO, Mass., Jan. 20 /PRNewswire/ -- Data General Corporation (NYSE: DGN) today reported net income of $.8 million or $.02 per share, for its first quarter of fiscal 1993, which ended Dec. 26, 1992. For its first quarter last year the company reported net income of $4 million, or $.12 per share.
 Operating income for the first quarter was $4.2 million, compared with operating income of $4.9 million for the first quarter last year.
 Revenues for the first quarter were $279.6 million, compared with revenues of $294.8 million for the first quarter last year.
 Commenting on the quarter, Data General President and Chief Executive Officer Ronald L. Skates said, "Despite continuing weakness in the worldwide economy and very competitive industry-wide pricing pressures, we have been able to again achieve profitability during the first quarter."
 According to the company, revenues for its AViiON family of open systems computers continued to grow during the quarter, compared to both the prior quarter and last year's comparable quarter. The AViiON family has become the leading source of revenue among Data General's product lines.
 During the quarter, the company began shipping the AV 6280, its new high-end AViiON systems. The AV 6280 can process up to 235 million instructions per second, twice the performance of the previous top of the line. "This system is being well received in the marketplace," said Skates. "The AV 6280 is ideal for businesses that are looking for a combination of outstanding price-performance and high availability.
 Skates also noted that the company's CLARiiON family of open storage systems, which has been available for use with Data General computers for more than a year, began shipping late in the quarter for use with UNIX systems-based computers from IBM and Sun Microsystems. CLARiiON systems will be available for use with other UNIX systems-based computers later this year.
 The company has signed agreements with several distributed to resell CLARiiON systems. They include Dickens Data Systems, the largest distributor of UNIX systems-based hardware and software to the IBM customer base.
 "The response from other third parties who are interested in reselling CLARiiON systems has been most encouraging," said Skates. "With our leading-edge CLARiiON products we now have access to significant markets that previously were not available to Data General."
 Skates added, "Data General's financial position, with cash and marketable securities of $202 million at the end of the first quarter, continues to be solid."
 In closing Skates said, "we are confident that our open-systems strategy is correct for the needs of the marketplace and we are well positioned to be successful over the long-term. However, we continue to be very cautious for the short-term because of the weak worldwide economy, particularly in Europe and Japan, and because there is no indication that industry-wide pricing pressures will abate in the near future."
 DATA GENERAL CORPORATION
 Condensed Consolidated Statements of Operations
 (In millions except per share amounts)
 Quarter Ended
 Dec. 26, Dec. 28,
 1992 1991
 Revenues:
 Product $175.6 $185.5
 Service 104.0 109.3
 Total revenues 279.6 294.8
 Costs and expenses:
 Cost of product revenues 103.7 99.9
 Cost of service revenues 59.6 66.4
 Research and development 25.9 27.9
 Selling, general, and
 administrative 86.2 95.7
 Total costs and expenses 275.4 289.9
 Income from operation 4.2 4.9
 Interest income 2.2 3.2
 Interest expense 3.8 3.6
 Income before income taxes 2.6 4.5
 Income tax provision 1.8 .5
 Net income $0.8 $4.0
 Net income per share $.02 $.12
 Weighted average shares
 outstanding 35.4 34.5
 Condensed Consolidated Balance Sheets
 (In millions)
 Dec. 26 Sept. 26,
 1992 1992
 Assets:
 Current assets:
 Cash and temporary cash investments $124.6 $139.5
 Marketable securities 77.4 76.9
 Receivables, net 287.1 298.5
 Inventories 110.1 121.8
 Other current assets 52.6 47.7
 Total current assets 651.8 684.4
 Property, plant, and equipment, net 196.1 196.3
 Other assets 62.3 59.8
 Total $910.2 $940.5
 Liabilities and stockholders' equity:
 Current liabilities:
 Notes payable 3.7 3.9
 Accounts payable 86.4 85.1
 Other current liabilities 220.8 239.2
 Total current liabilities 310.9 328.2
 Long-term debt 162.3 162.3
 Stockholders' equity:
 Common stock and additional paid-in
 capital 410.9 407.8
 Retained earnings 32.0 31.2
 Cumulative translation adjustment (5.9) 11.0
 Total stockholders' equity 437.0 450.0
 Total $910.2 $940.5
 -0- 1/20/92
 /CONTACT: Jim Dunlap of Data General, 508-870-8162/
 (DGN)


CO: Data General Corporation ST: Massachusetts IN: CPR SU: ERN

0735 -- NE001TM -- 6723 01/20/93 08:39 EST
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Date:Jan 20, 1993
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