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AGENCY RENT-A-CAR, INC. REPORTS CONTINUED GROWTH OF NATIONAL AUTO CREDIT

 CLEVELAND, Dec. 9 /PRNewswire/ -- Agency Rent-A-Car, Inc. (NASDAQ: AGNC) and National Auto Credit (NAC), today reported an increase in operating income of $600,000 to $8.3 million for the quarter ended Oct. 31, 1993, over the same quarter the year before. Pretax operating margin increased 29.4 percent to 11.0 percent from 8.5 percent. Earnings per share for the current quarter were $.20, prior to the impact of the retroactive tax rate change caused by the enactment of the Omnibus Budget Reconciliation Act of 1993. Net income was $4.3 million or $.17 per share on revenue of $75.7 million for the quarter ended Oct. 31, 1993.
 For the nine months ended Oct. 31, 1993, the company's net income was $12.9 million or $.51 per share compared with net income of $14.8 million or $.58 per share for the same period ended Oct. 31, 1992. Revenue for the current nine month period was $241.3 million compared with $252.4 million for the nine months ended Oct. 31, 1992.
 Sam J. Frankino, chairman of the board, in announcing the third quarter results stated, "We are extremely pleased with the company's overall results. The growth and profits reported thus far within NAC have exceeded our expectations and our recent branch opening in San Francisco together with established branches in Baltimore, Dallas and Cleveland, position us very well to both manage and support the significant growth we are anticipating for this business."
 Frankino also stated, "During its first 12 months of operation NAC has enrolled over 750 dealers, approved 11,000 retail installment contracts and established a receivables portfolio of approximately $80 million. Year-end projections call for a dealer network of 900 members, receivables of $100 million and more than 13,000 installment contracts."
 With the formation of NAC and the enrollments of its members, Agency has not only found a means of disposing its retired units but has also provided its membership with a unique financing program.
 AGENCY RENT-A-CAR, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENTS OF INCOME
 (Thousands of Dollars, Except Per Share Amounts)
 (Unaudited)
 THREE MONTHS ENDED NINE MONTHS ENDED
 OCTOBER 31, OCTOBER 31,
 1993 1992 1993 1992
 REVENUE
 Rental operations $73,359 $91,197 $237,181 $252,434
 Financial services 2,301 -0- 4,092 -0-
 Total 75,660 91,197 241,273 252,434
 COSTS AND EXPENSES
 Cost of goods sold and
 operating expenses:
 Rental operations 44,246 48,967 136,200 131,869
 Financial services 184 -0- 468 -0-
 Depreciation and
 amortization 13,345 19,585 48,859 56,272
 Selling, general and
 administrative 8,532 13,062 30,086 35,146
 Interest 1,017 1,827 3,767 5,471
 Total 67,324 83,441 219,380 228,758
 INCOME BEFORE INCOME TAXES 8,336 7,756 21,893 23,676
 PROVISION FOR INCOME TAXES 3,168 2,896 8,184 8,842
 RETROACTIVE TAX RATE CHANGE 850 -0- 850 -0-
 NET INCOME $ 4,318 $ 4,860 $ 12,859 $ 14,834
 EARNINGS PER SHARE $ .17 $ .19 $ .51 $ .58
 WEIGHTED AVERAGE NUMBER OF
 SHARES OUTSTANDING (000's) 25,476 25,468 25,439 25,462
 -0- 12/9/93
 /CONTACT: Peter T. Zackaroff, executive vice president/corporate secretary, 216-349-1000/
 (AGNC)


CO: Agency Rent-A-Car ST: Ohio IN: LEI SU: ERN

AR -- CL004 -- 2066 12/09/93 08:14 EST
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Date:Dec 9, 1993
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