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COMDISCO ANNOUNCES FOURTH QUARTER AND 1992 YEAR END RESULTS; DECLARES QUARTERLY CASH DIVIDEND

 COMDISCO ANNOUNCES FOURTH QUARTER AND 1992 YEAR END RESULTS;
 DECLARES QUARTERLY CASH DIVIDEND
 ROSEMONT, Ill., Nov. 10 /PRNewswire/ -- Comdisco, Inc. (NYSE: CDO) today reported operating results for its fourth quarter and fiscal year ended Sept. 30, 1992.
 Fourth Quarter Revenue and Earnings
 For the quarter, the company reported total revenues of $557 million, versus $550 million for the prior year period. During the fourth quarter, Comdisco wrote new leases with total costs of equipment of $576 million, compared with $398 million for the prior year period, an increase of 45 percent. The company reported earnings from continuing operations before extraordinary loss of $18 million, or $0.44 per share, versus $19 million, or $0.48 per share, for the prior year period. During the quarter, the company recorded an extraordinary loss from the early retirement of corporate debt, net of income taxes, of ($24) million, which reduced reported net earnings for the quarter to a loss of ($6) million, or a loss of ($0.15) per share, compared with net earnings of $4 million, or $0.10 per share, for the prior year period.
 Year End Revenue and Earnings
 For the year ended Sept. 30, 1992, the company reported total revenues of $2,205 million, versus $2,174 million for the prior year period. During the second fiscal quarter, the company recorded an $80 million pre-tax charge to earnings. This charge, along with extraordinary losses resulting from the early retirement of corporate debt during both the third and fourth quarters, resulted in an earnings shortfall for the twelve months. Net earnings from continuing operations before extraordinary loss for the twelve months were $20 million, or $0.49 per share, versus $83 million, or $2.03 per share, for the prior year period. Net loss for the twelve months was ($9) million, or ($0.21) per share, versus net earnings of $69 million, or $1.69 per share, for the prior year period.
 Kenneth N. Pontikes, chairman of the board and president, stated "Our fourth quarter results were in line with our expectations. For the second consecutive quarter, our volume increased significantly to its highest level of the year. Remarketing activity levels for both our IBM and non-IBM portfolios continued strong. The organizational restructuring that has taken place at Comdisco during 1992 has improved customer service and reduced overhead. We have simplified our communications, sharpened our customer focus and improved our competitive position. As we enter fiscal 1993 with improved systems, stronger business lines and reduced costs, we are confident that we will meet out growth objectives for 1993."
 As referenced above, during the quarter the company called for redemption all of its remaining 9.65 percent subordinated debentures due Nov. 1, 2002, amounting to $150 million. This redemption resulted in an after-tax extraordinary loss for the quarter of ($24) million, or ($0.59) per share. During the quarter the company sold $75 million of 8.75 percent cumulative preferred stock, series A. The net effect of this refinancing was the redemption of the company's only non-investment grade debt and the strengthening of its capital structure with the sale of the preferred stock.
 On Nov. 6, 1992, the board of directors declared a quarterly cash dividend of $.07 per share. The dividend will be payable on Dec. 7, 1992 to stockholders of record as of Nov. 20, 1992. Comdisco had 40,569,073 shares of common stock outstanding at Sept. 30, 1992.
 Comdisco is one of the world's largest providers of solutions that help businesses acquire, manage, and protect their high-tech assets. Comdisco's common stock (symbol CDO) is listed on the New York and Midwest Stock Exchanges.
 COMDISCO INC. AND SUBSIDIARIES
 Consolidated Statements of Earnings
 (Dollars in millions except per share data)
 Periods ended Three months 12 Months
 Sept. 30 1992 1991 1992 1991
 Revenue
 Leasing
 Operating $287 $308 $1,159 $1,167
 Direct financing 48 52 197 221
 Sales-type 83 52 306 245
 Total leasing 418 412 1,662 1,633
 Sales 77 87 311 360
 Disaster recovery 53 41 193 150
 Other 9 10 39 31
 Total revenue 557 550 2,205 2,174
 Costs and expenses
 Leasing
 Operating 217 226 863 851
 Sales-type 62 38 231 175
 Total leasing 279 264 1,094 1,026
 Sales 68 72 274 313
 Disaster recovery 48 36 175 132
 SG&A 49 54 198 201
 Litigation and
 receivables charge - - 45 -
 Restructuring charge - - 35 -
 Interest 83 92 350 366
 Total costs and expns. 527 518 2,171 2,038
 Earns. from cont.
 opers. bef. inc. taxes
 and extaord. loss 30 32 34 136
 Income taxes 12 13 14 53
 Earns. from cont. opers.
 bef. extraord. loss 18 19 20 83
 Loss from discont. oil and
 gas activities (net of
 income taxes) - (15) - (14)
 Earnings bef. extraord.
 loss 18 4 20 69
 Extraord. loss (net of
 income taxes) (24) - (29) -
 Net earnings (loss) ($6) $ 4 ($9) $69
 Retained earnings at
 beginning of period $ 591 $ 631 $ 632 $574
 Net earns. (loss) (6) 4 (9) 69
 Stock dividend - - (30) -
 Dividends paid (3) (3) (11) (11)
 Retained earns. at
 end of period $ 582 $ 632 $ 582 $ 632
 Net earns. (loss)
 per common and
 common equivalent
 share:
 Earns. from cont.
 opers. $0.44 $0.48 $0.49 $2.03
 Loss from discont.
 oil and gas
 activities - (0.38) - (0.34)
 Extraord. loss (0.59) - (0.70) -
 Net earns. (loss) (0.15) $0.10 ($0.21) $1.69
 Common and common
 equivalent shares
 outstanding 41 41 41 41
 -0- 11/10/92
 /CONTACT: James J. Hyland of Comdisco, Inc., 708-698-3000/
 (CDO) CO: Comdisco, Inc. ST: Illinois IN: SU: ERN DIV


KD-OS -- NY098 -- 9511 11/10/92 17:53 EST
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Publication:PR Newswire
Date:Nov 10, 1992
Words:940
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