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ANGELES CORP. SIGNS AGREEMENT WITH INSIGNIA FINANCIAL GROUP

 ANGELES CORP. SIGNS AGREEMENT WITH INSIGNIA FINANCIAL GROUP
 LOS ANGELES, Nov. 10 /PRNewswire/ -- Angeles Corp. (AMEX: ANG) today announced that the company has entered into a binding agreement with Insignia Financial Group Inc., whereby Insignia will provide Angeles with real estate and investment banking services.
 Under the agreement, details of which are still subject to final documentation, Insignia will assume the management and servicing of Angeles' traditional real estate partnership business on Jan. 1, 1993. Further, a purchase option, exercisable after June 1, 1993, would allow Insignia to merge the general partner interests of the partnerships and the related service activities into the Insignia organization. According to an Angeles spokesperson, Insignia's size and professionalism offer economies of scale that make the partnership business more attractive to that firm, while also enhancing potential results for the limited partners. Angeles views this step as a continuation of the repositioning the company has undertaken to focus its resources on its growth areas of business -- factory outlet malls and congregate-type seniors housing. A reciprocal agreement with Insignia calls for Angeles to manage any Insignia properties that fall into those two categories.
 In consideration for the agreement, Insignia will loan Angeles $5 million for a period up to five years. If Insignia exercises the purchase option, Angeles will receive a note and Insignia securities, as well as an additional $2 million standby credit facility. The value of the note and securities, to be determined by formula, is expected to range from $4 million to $7 million based on the current value of Insignia stock and current operations. In addition, Angeles will retain 50 percent of the future general partner benefits.
 Angeles will also receive a put option to sell the company's class B shares of Angeles Mortgage Investment Trust (AMEX: ANM). If Angeles exercises the option it would receive cash offsetting the Insignia loan and/or other consideration if ap plicable. Angeles Funding Corp., the trust's current advisor, would remain in place for at least 12 months. Insignia would also commit to vote its shares to retain William Elliott and a nominee of his as trustee for no less than three years. In addition, Insignia would enhance the existing agreements between Angeles and Angeles Mortgage Investment Trust by guaranteeing Angeles' performance under those agreements to the extent of $500,000 per year for three years.
 Insignia is also expected to enter into a real estate financing agreement anticipated to provide additional liquidity to Angeles and its affiliates over the next six to 12 months. This is expected to reduce the debt service of the affiliated entities while further expediting the repayment of funds owed to Angeles and Angeles Mortgage Investment Trust.
 Angeles Chairman William Elliott stated: "The company has gone far beyond any legal obligations in advancing funds and deferring fees for affiliated investor partnerships. The company, with Insignia's assistance, will now focus more aggressively on collection of those advances. Regulatory environments coupled with very difficult economic and real estate conditions dictate a course of action far more aggressive in the collection of the advances we have made to investor partnerships. While our two other businesses continue to progress as expected, liquidity remains a constant concern and is dependent on others fulfilling their obligations to us. We expect our agreements with Insignia to help assure a successful transition from management of the traditional real estate investment portfolio and related liquidity issues to a stronger and more successful commitment to our Factory Merchants Malls Inc. and Angeles Housing Concepts Inc. subsidiaries."
 In addition to fees and reimbursements for various specific assignments, Insignia has been granted warrants on 500,000 shares of Angeles Corp. common stock for five years at $4 per share.
 As part of the transaction, which has been under discussion for approximately six months, Angeles chairman and chief executive officer Elliott has agreed to become a senior executive of Insignia Financial Group. It is expected that, while Elliott will continue to devote half of his time to Angeles and remain its largest single stockholder, he will step down as chief executive officer. It is also expected that Joseph Cattivera, president and chief operating officer, will assume the chief executive officer title.
 -0- 11/10/92
 /CONTACT: Steve Leach of Angeles, 800-421-4374, ext. 598, or 213-284-3598/
 (ANG ANM) CO: Angeles Corp.; Insignia Financial Group Inc.;
 Angeles Mortgage Investment Trust; Angeles Funding Corp. ST: California IN: FIN REA SU: CON PER


JL-LS -- LA033 -- 9532 11/10/92 18:55 EST
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Date:Nov 10, 1992
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