CompuServe Corporation
(www.compuserve.com)
Ticker: CSRV 5000 Arlington Centre Boulevard
Exchange: NASDAQ-National Market Columbus, Ohio 43220
Industry: High-Tech (614) 457-8600

Type of Shares:Common Shares Filing Date:2/20/96
U.S. Shares:12,800,000 Offer Date:4/18/96
Non-U.S. Shares:3,200,000 Filing Range:$27.00 - $30.00
Primary Shares:16,000,000 Offer Price:$30.00
Secondary Shares:0 Gross Spread:$1.65
Offering Amount: $456,000,000 Selling:$1.00
Expenses:$1,800,000 Reallowance:$0.10
Shares Out After:90,200,000
Spin out parent firm: H&R; Block Group

ManagerTierPhone
Goldman, Sachs & Co.Lead Manager (212) 902-1172
George K. Baum & CompanyCo-manager (816) 283-5332
Merrill Lynch & Co.Co-manager (212) 449-4600

Auditor: Deloitte & Touche
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
4/30/95 1/31/96 1/31/95 1/31/96
Revenue:$582.79$577.96$418.70Assets:$546.63
Net Income:$8.80$50.20$67.22Liabilities:$292.87
EPS:$0.11$0.65Equity:$253.76

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is a worldwide leader in the rapidly growing market for computer-based interactive services and data communications and is pioneering the development of consumer online and Internet access services. The company was the first online service provider to establish a major international presence, and continues to be one of the largest global online and Internet service providers. CompuServe operates what management believes is the most extensive network in the world dedicated solely to data transmission. The CompuServe Information Service (CIS), the company's flagship product, offers traditional online services and integrated Internet access. Through SPRYNET, the company also offers a stand-alone Internet-access-only service. Management believes consumer online services are a preferred access vehicle to the Internet for the average user due to the ability of online services to focus and aggregate content and provide centralized billing and support. The company operates primarily through two divisions: the Interactive Information Services Division and the Network Services Division.

Use of Proceeds
The proceeds from the proposed offering will be used to repay intercompany indebtedness owed by the company to H&R; Block Group, Inc., the remaining proceeds will be used for general corporate purposes.

Last updated: 10/28/96

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