SERVICE CORPORATION INTERNATIONAL (CANADA) LIMITED REPORTS RECORD 1994 PERFORMANCE.

BURNABY, BRITISH COLUMBIA --(BUSINESS WIRE)--MARCH 10, 1995-- SERVICE CORP. (E)(TSE: SVK ) Service Corporation International (Canada) Limited (SCI Canada) today announced the highest annual revenues and earnings ever achieved by the company.

For the year ended December 31, 1994, the company reported earnings of $10.1 million on revenues of $57.6 million. This represents a 22.9 percent increase in net income and a 35.6 percent increase in revenues. Earnings per share increased to $1.00, or 22.0 percent more than the $0.82 reported for 1993, after adjusting for a two-for-one common stock split in June, 1994.

A contributing factor to this success was the company's performance in the fourth quarter of the year. SCI Canada reported net income of $3.0 million for the period, a 23.6 percent increase over the fourth quarter of 1993, while earnings per share rose by 25.0 percent to $0.30, compared to $0.24 for the same period of 1993. Revenues were $16.2 million, or 40.8 percent higher than the $11.5 million recorded for the fourth quarter of 1993.

"The financial results of 1994 validate the effectiveness of our ongoing business strategies," said W. Blair Waltrip, chairman of SCI Canada. "We are achieving exceptional growth in a low-growth industry through an aggressive acquisition program. At the same time, we are effectively managing our existing businesses and carefully maintaining the finest level of service to our client families. We believe that this course of action will preserve our reputation as a leading provider of death care services and reinforce our attractiveness as an investment.

"Our performance during the last quarter of the year is an excellent indicator of our effectiveness, "Waltrip added, "with the highest quarterly levels of revenues and net income in our history. Those numbers reflect the contribution of new properties we acquired during the year, including many that have strengthened our position in Quebec and Ontario."

SCI Canada acquired 14 funeral homes and one cemetery during 1994 in cities of interest for future business development.

Acquisitions included Markey-Dermody Funeral Home and Cresmount Funeral Home in Hamilton, Ontario; Hetherington and Deans Ltd. in Niagara Falls, Ontario; P.M.D. Berube and Fils in Alma, Quebec; McEvoy-Shields Funeral Home in Ottawa, Ontario; and eight locations of La Maison Darche, a firm with a strong presence in the francophone community of Montreal's South Shore.

In Kelowna, British Columbia, the Company also acquired Day's Garden Chapel Funeral Home and Lakeview Memorial Gardens Cemetery.

"Our search continues for quality funeral homes and cemeteries that meet our high standards," Waltrip said. "We are also building new funeral homes in areas of demonstrated potential, including a new McEvoy-Shields location now under construction in southeast Ottawa, scheduled for opening this spring. As we proceed through 1995, we remain enthusiastic about our opportunities. Thanks to our valued employees, shareholders, and client families, our future has never looked better."

SCI Canada currently owns and operates 72 funeral homes and three cemeteries in four provinces. The company is traded on the Toronto Stock Exchange, ticker symbol SVK.

SERVICE CORPORATION INTERNATIONAL (CANADA) LIMITED
     CONSOLIDATED STATEMENT OF INCOME
   (Thousands, except per share amounts)

                     Three Months Ended     Twelve Months Ended
                         December 31,           December 31,
                     ------------------     -------------------
                      1994        1993       1994         1993
                     ------------------     -------------------
REVENUES:
  Funeral           $11,869     $ 8,081    $42,055     $29,764
  Cemetery            4,363       3,448     15,533      12,691
                    -------     -------    -------     -------
                     16,232      11,529     57,588      42,455

COST AND EXPENSES:
  Funeral             8,137       5,335     29,176      20,089
  Cemetery            2,271       1,994      8,907       7,750
                    -------     -------    -------     -------
                     10,408       7,329     38,083      27,839
                    -------     -------    -------     -------
                      5,824       4,200     19,505      14,616

General and
  administrative
  expense              (250)       (205)    (1,140)     (1,012)
                    -------     -------    -------     -------
Income from
  operations          5,574       3,995     18,365      13,604

Interest expense       (315)          9       (664)        (22)
Income from corporate
  investments            63         100        138         422
Gain from dispositions    -         134          -         134
                     ------      ------     ------      ------
                       (252)        243       (526)        534
                     ------      ------     ------      ------
Income before
  income taxes        5,322       4,238     17,839      14,138
Provision for
  income taxes        2,309       1,800      7,740       5,918
                     ------      ------     ------      ------
Net income available
  to common
  shareholders       $3,013      $2,438    $10,099      $8,220
                     ------      ------    -------      ------
                     ------      ------    -------      ------
Weighted average
  number of common
  shares             10,185      10,056     10,138      10,000
                     ------      ------     ------      ------
                     ------      ------     ------      ------
Earnings per common
  share              $ 0.30      $ 0.24     $ 1.00      $ 0.82
                     ------      ------     ------      ------

    Share information has been adjusted to give effect to the
two-for-one common stock split on June 10, 1994.

CONTACT: Jack Gordon

Executive Vice President/CFO

[phone]

or

W. Blair Waltrip

Chairman/CEO

[phone]