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KENNEDY-WILSON RELEASES PRELIMINARY THIRD QUARTER RESULTS

 KENNEDY-WILSON RELEASES PRELIMINARY THIRD QUARTER RESULTS
 SANTA MONICA, Calif., Oct. 30 /PRNewswire/ -- Kennedy Wilson, Inc. (NASDAQ-NMS: KWIC) announced today that it expects revenues for its third quarter ended Sept. 30, 1992 to be approximately $4.78 million. For the third quarter ended Sept. 30, 1992 the company expects a loss in the range of $600,000 to $750,000, or 5 cents to 6 cents per share. Historical financial information for the year ago period is not meaningful due to the reorganization of the company immediately prior to its initial public offering in August 1992.
 Revenues for the nine months ended Sept. 30, 1992 are estimated to be approximately $15.24 million. Net income for the nine months ended Sept. 30, 1992 is expected to range between earnings of $1.86 million to $2.01 million, or 16 cents to 18 cents per share (on a weighted outstanding shares basis).
 The company stated that revenues for the quarter were adversely impacted by (i) the delay of the closing of a number of properties sold at auction, some of which were commercial properties whose closing periods are generally less determinable and (ii) lower average net commission rates due to the increase in the amount of commercial properties being auctioned by the company which generally have lower commission rates. The company also stated that earnings were adversely effected primarily by additional overhead expenses associated with planned new personnel hirings and office expansions which greatly increase the company's capacity to market its services and to serve its clients, but which have not yet had a positive impact on earnings. The company further stated that the company's auction commissions subject to completion of sales at the end of the third quarter of 1992 is expected to have increased to approximately $7.0 million compared to approximately $4.2 million at the end of the third quarter of 1991, an increase of 67 percent. The company also said that the aggregate value of properties under contract for scheduled auctions or conventional sales is expected to rise to approximately $400 million at Sept. 30, 1992 compared to approximately $320 million at Sept. 30, 1991, an increase of 25 percent. The company pointed out that since the end of the third quarter, the company has executed contracts to auction or sell an additional $60 million of properties.
 The company said that it expects a return to profitability in the fourth quarter, although there can be no assurance as to overall results due to, among other things, the unpredictability of the timing of closings. The company's gross value of real estate sales (consisting of the aggregate sales prices of properties sold at auction and through conventional brokerage methods, which sales were either completed or pending as to the end of the applicable period) in the third quarter of 1992 was approximately $290 million compared to approximately $148 million for the year ago period, an increase of 96 percent. The company does not recognize real estate commissions as revenue until the sale has closed and title has passed to the buyer.
 The company intends to release its final results for the third quarter on Nov. 10, 1992.
 -0- 10/30/92
 /CONTACT: John Keating, senior vice president of Kennedy-Wilson, 310-314-8400, or Edmund R. Belak, Jr., senior vice president of Georgeson & Company, 212-440-9801, for Kennedy-Wilson/
 (KWIC) CO: Kennedy-Wilson, Inc. ST: California IN: SU: ERN


AH-TS -- NY014 -- 6985 10/30/92 09:08 EST
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Publication:PR Newswire
Date:Oct 30, 1992
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