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KILLEARN PROPERTIES ANNOUNCES RESULTS

 TALLAHASSEE, Fla., Sept. 16 /PRNewswire/ -- Killearn Properties, Inc. (AMEX: KPI) today announced its preliminary financial information for the fiscal year ended April 30.
 The financial statements for the year ended April 30 have not been audited. The company is in the process of retaining a new auditing firm as a result of the dismissal of the prior auditors as reported on a Form 8-K (with amendments) with the Securities and Exchange Commission. To the best of the company's knowledge and belief, the preliminary financial information released herein fairly presents the results of operations for the fiscal year ended April 30. There is, however, an unresolved area with the prior auditors involving the capitalization of interest which could have a material adverse effect on the preliminary earnings as reported herein. The accounting difference has been reported on a Form 8-K filed with the Securities and Exchange Commission.
 The company is in the process of retaining a new auditor and expects engagement to be completed within a short period of time.
 Unaudited revenues for the current year were $18,732,195 compared to $18,416,739 for the year ended April 30, 1992. The company reported net income of $364,426 or $.25 per share compared to $93,256 or $.06 per share for the prior year. Per share amounts are based upon the average number of stock and stock equivalents (fully diluted) outstanding during each year, which was 1,438,733 for fiscal 1993 and fiscal 1992.
 The decrease of sales in fiscal 1993 resulted primarily from the action by the Department of Community Affairs, State of Florida, which stopped development in one of the company's Florida golf course communities. On Aug. 16, the First District Court of Appeals reversed the decision by the Department of Community Affairs as reported on a Form 8-K, dated Aug. 16, with the Securities and Exchange Commission. It is the opinion of the company that all restrictions to the development of this property have been removed.
 KILLEARN PROPERTIES, INC.
 Profit and Loss Information
 Year ended April 30 1993(a) 1992 1991
 (Unaudited) (Audited) (Audited)
 Sales of lots $ 6,209,938 $ 7,294,851 $ 7,352,677
 Other land sales 2,321,177 1,214,212 2,350,499
 Improvement revenue-prior sales 325,140 239,464 163,952
 Less:
 Estimated uncollectible sales (432,426) (194,699) (569,767)
 Deferred rev.-future improvements (39,005) (382,546) (225,599)
 Valuation discount --- --- (81,783)
 Net sales of lots and land 8,384,824 8,171,282 8,989,979
 Sales of residential construction 2,872,728 3,291,232 4,544,520
 Commission income 890,665 661,028 680,705
 Revenues from operating golf and
 country clubs 5,437,752 4,910,886 3,548,970
 Interest income 472,571 981,341 1,330,379
 Income from joint venture 422,176 174,871 297,267
 Other income 251,479 226,099 496,119
 Total income 18,732,195 18,416,739 19,897,939
 Costs and expenses:
 Cost of lots sold 3,060,944 3,051,744 2,690,428
 Cost of other land sold 1,075,048 492,989 891,421
 Improvement cost-prior sales 112,667 102,621 82,482
 Cost of residential construction
 sold 2,412,761 3,021,722 4,131,012
 Commissions and selling expenses 2,005,987 2,256,215 2,898,501
 Operating costs of golf and
 country clubs 5,461,982 5,245,868 3,753,408
 Interest expense 756,094 839,465 1,264,553
 Depreciation 1,140,188 1,176,448 895,924
 Property taxes 499,125 459,639 373,667
 Litigation settlement and expenses 101,548 68,000 172,544
 General and administrative exps. 1,519,125 1,552,272 1,688,195
 Total costs and expenses 18,145,469 18,266,983 18,842,135
 Earnings before income taxes 586,726 149,756 1,055,804
 Income taxes 222,300 56,500 410,300
 Net earnings $ 364,426 $ 93,256 $ 645,504
 Earnings per share $ .25 $ .06 $ .45
 (a) The statements for the year ended 4/30/93 have not been audited. The company is in the process of retaining a new auditing firm. To the best of the company's knowledge and belief, the above amounts fairly represent the results of operations for the fiscal year ended 4/30/93. There is, however, an unresolved area with the prior auditors involving the capitalization of interest which could have a material adverse effect on the earnings for fiscal 1993. See Form 8-K (with amendments) filed Aug. 13, 1993, with the Securities and Exchange Commission.
 -0- 9/16/93
 /CONTACT: J.T. Williams of Killearn Properties, 404-389-2020/
 (KPI)


CO: Killearn Properties, Inc. ST: Florida IN: SU: ERN

RA-BN -- AT006 -- 2754 09/16/93 14:48 EDT
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Date:Sep 16, 1993
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