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INACOM REPORTS 74 PERCENT INCREASE IN FIRST QUARTER PROFIT

 OMAHA, Neb., April 16 /PRNewswire/ -- InaCom Corp. (NASDAQ: INAC) today reported a 74 percent increase in profit for its 1993 first quarter over the prior year quarter, with net earnings of $3.0 million on revenues of $331.3 million. This compares to earnings of $1.7 million on revenues of $244.4 million for the first quarter of 1992, according to Bill L. Fairfield, InaCom's president and chief executive officer.
 Earnings per share were 35 cents for the quarter, up from 20 cents in the 1992 first quarter. Earnings for the 1993 first quarter were favorably impacted by 3 cents per share, due to the cumulative effect of implementing Financial Accounting Standards Statement 109, "Accounting for Income Taxes." This statement requires the use of the asset and liability method of accounting for deferred income taxes.
 "Revenues gains for the quarter reflected strong customer demand for major manufacturers products at both company-owned and independently- owned business centers, as well as the positive impact of the addition of Sears Business Centers (SBC) to the InaCom channel in February 1993," said Fairfield.
 Despite record shipments from major manufacturers, product backorders continued at high levels during the quarter, especially for IBM and Compaq products. The record shipments resulted in a higher- than-usual percentage of hardware, versus royalty and service, revenue. Consequently, gross margins were 10.7 percent, down from 11.5 percent in the 1992 first quarter.
 Selling, general and administrative expenses were $29.0 million for the quarter, compared with $22.4 million for the 1992 first quarter. This anticipated increase reflected the addition of Sears Business Centers and the costs of integrating those locations into InaCom's distribution and operations systems.
 Company Chairman Rick Inatome noted, "We received improved product distribution from Compaq and Apple in the first quarter. We believe our financial position relative to our competitors was helpful in obtaining the improved shipments."
 InaCom, headquartered in Omaha, Neb., with executive offices in Omaha and Troy, Mich., markets and distributes information technology products and services through a nationwide network of over 1,200 computer centers, systems integrators, value added resellers and other specialized providers of computer systems and support.
 For more information on InaCom, contact Geri Michelic, InaCom Corp., 10810 Farnam, Omaha, Neb. 68154.
 INACOM CORP. AND SUBSIDIARIES
 Condensed and Consolidated Statements of Earnings
 (Amounts in Thousands, Except Per Share Data, Unaudited)
 Thirteen-Weeks Ended 3/27/93 3/28/92
 Revenues:
 Independently-owned business centers $ 167,027 $ 133,691
 Company-owned business centers 154,892 106,100
 Other 9,377 4,656
 331,296 244,447
 Direct costs:
 Independently-owned business centers 157,101 123,096
 Company-owned business centers 131,936 90,306
 Other 6,870 3,068
 295,907 216,470
 Gross profit 35,389 27,977
 Selling, general & admin expenses 29,018 22,444
 Operating income 6,371 5,533
 Interest expense 1,632 2,576
 Earnings before income tax 4,739 2,957
 Income tax expense 1,945 1,220
 Earnings before cumulative effect of
 accounting change 2,794 1,737
 Cumulative effect of accounting change 229 --
 Net earnings 3,023 1,737
 Earnings per share 0.35 0.20
 Weighted average shares outstanding 8,700 8,500
 -0- 4/16/93
 /CONTACT: Dave Guenthner, executive vice president and CFO of InaCom, 402-392-3940/
 (INAC)


CO: InaCom Corp. ST: Nebraska IN: CPR SU: ERN

LD-KW -- NY004 -- 6592 04/16/93 08:01 EDT
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Date:Apr 16, 1993
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