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KENNEDY-WILSON ANNOUNCES 1993 FIRST QUARTER RESULTS

 SANTA MONICA, Calif., April 23 /PRNewswire/ -- Kennedy-Wilson, Inc. (NASDAQ-NMS: KWIC), today announced results for the first quarter ended March 31, 1993.
 For the first quarter of 1993, the company reported revenues of $5.3 million and a net loss of $151,000, or $.01 per share, compared with revenues of $5.3 million and pro forma net income of $874,000 or $.08 per share, a year ago. Kennedy Wilson's results for the 1993 first quarter are in line with the median analyst estimate listed on First Call.
 Pro forma comparisons are made because, prior to Aug. 14, 1992, the company's predecessor was not fully subject to corporate income tax. The pro forma amounts assume that the company had an effective tax rate of 40 percent for the periods presented.
 The net loss for the first quarter of 1993 was due to a net loss of $282,000 in the United Kingdom operations. The decrease in 1993 net income over the prior year quarter for the domestic operations was primarily due to increased operating costs relating to the strategic expansion of the company's operations.
 William J. McMorrow, chairman and chief executive officer, stated "All operating units were profitable in the first quarter of 1993 with the exception of those in the United Kingdom, which we expect to be profitable beginning in the second quarter. We have made great strides in reducing expenses during the first quarter, with net auction-market expenses decreasing by $1.2 million, or 71 percent; compensation decreasing by $600,000, or 21 percent and general and administrative expenses decreasing by $1.5 million, or 56 percent in comparison with the fourth quarter of 1992."
 The hard backlog (real estate auction commission subject to the completion of sales) was $2.6 million at March 31, 1993, compared with $4.3 million at March 31, 1992. The company does not recognize auction commissions as revenue until a sales has closed and the title has passed to the buyer. The soft backlog (the aggregate value of properties under contract for scheduled future auctions) was approximately $281 million at March 31, 1993, compared with approximately $244 million at March 31, 1992, an increase of 15 percent. Hard and soft backlog at March 31, 1993, does not reflect various commercial sales of approximately $500 million planned for the second and third quarters of 1993. The gross value of real estate sales for the first quarter of 1993 was $100.0 million compared to $95.7 million for the same period in 1992.
 The company reported that its financial position at March 31, 1993, remains strong with cash on hand of $11.4 million, current assets of $19.3 million, current liabilities of approximately $4.7 million and no long-term debt.
 A pioneer in the field of real estate auction-marketing, Kennedy- Wilson, Inc. has sold in excess of $2 billion of residential, resort, and commercial real estate since its incorporation in 1979. In addition to its Santa Monica headquarters, the company has offices in Atlanta, Boston, Chicago, Dallas, Ft. Lauderdale, Honolulu, Houston, London, New Orleans, Newport Beach, New York, Phoenix, Palm Springs, Santa Barbara and San Francisco.
 KENNEDY-WILSON INC.
 Consolidated Statements of Operations
 (Unaudited -- Amounts in thousands, except per share data)
 Three Months Ended March 31 1993 1992
 Revenues:
 Auction commissions $4,872 $4,997
 Mortgage brokerage fees 342 --
 Other 128 259
 Total 5,343 5,256
 Direct Costs:
 Auction - marketing expenses, net 473 154
 Sales commissions 1,146 1,610
 Mortgage brokerage commissions 76 --
 Total 1,695 1,764
 Gross profit 3,648 3,492
 Operating expenses:
 Compensation and related expenses 2,185 1,212
 Occupancy 321 138
 General & administrative 1,149 674
 Depreciation & amortization 251 32
 Total 3,906 2,056
 Income from operations (258) 1,436
 Other income (expense):
 Interest income 72 --
 Interest expense (11) (13)
 Equity income of joint venture 25 37
 Total 86 24
 Income (loss) before provision
 (benefit) for income taxes (172) 1,460
 Provision (benefit) for income taxes (21) 37
 Net income (loss) (151) 1,423
 Pro forma income taxes provision N/A 549
 Pro forma net income (loss) (151) 874
 Net income (loss) per share:
 Historical $(0.01) $0.13
 Pro forma $(0.01) $0.08
 Weighted average shares outstanding 14,150 10,793
 Balance Sheet and Other Financial Data:
 As of March 31
 Total assets $25,918 $6,637
 Working capital 14,610 2,010
 Stockholders' equity 21,049 2,718
 Auction commissions subject to
 completion of sales - hard backlog 2,634 4,400
 Aggregate value of properties under
 contract for scheduled auctions or
 conventional sales - soft backlog 280,867 243,917
 -0- 4/23/93
 /CONTACT: Randall G. Dotemoto, chief financial officer of Kennedy- Wilson, Inc., 310-314-8432, or Edmund R. Belak, Jr. of Georgeson & Company, 212-440-9801, for Kennedy-Wilson, Inc./
 (KWIC)


CO: Kennedy-Wilson, Inc. ST: California IN: FIN SU: ERN

PS-LP -- NY013 -- 9911 04/23/93 09:11 EDT
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Date:Apr 23, 1993
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