Alternative Living Services, Inc.
Ticker: ALI 450 N. Sunnyslope Road, Suite 300
Exchange: American Stock Exchange Brookfield, Wisconsin 53005
Industry: Service (414) 789-9565

Type of Shares:Common Shares Filing Date:5/28/96
U.S. Shares:6,000,000 Offer Date:8/6/96
Non-U.S. Shares:0 Filing Range:$16.00 - $18.00
Primary Shares:3,443,206 Offer Price:$13.00
Secondary Shares:2,556,794 Gross Spread:$0.91
Offering Amount: $102,000,000 Selling:$0.54
Expenses:$1,600,000 Reallowance:$0.10
Shares Out After:12,710,849

ManagerTierPhone
Natwest Securities LtdLead Manager (212) 602-4800
Chicago Corporation, TheCo-manager (312) 855-7600
McDonald & Company Securities, Inc.Co-manager (216) 443-2300

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$10.46$4.33$2.08Assets:$53.82
Net Income:-$1.75-$1.80-$0.54Liabilities:$34.47
EPS:-$0.30-$0.22-$0.18Equity:$19.35

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

Business Description
Alternative Living Services, Inc. is a leading national assisted living company operating 57 residences with an aggregate capacity of approximately 2,500 residents. Of these total residences, the company owns 18, leases 23, holds equity interests in and operates seven and manages an additional nine. The company provides a full range of assisted living services in its residences for the frail elderly and free-standing specialty care residences for individuals with Alzheimer's disease and other dementias. ALS and its predecessor have operated assisted living residences since 1981 including specialty dementia care residences since 1985. The company believes it is one of the leading operators of free-standing dementia care residences, a growing niche within the larger assisted living industry. The company provides a broad continuum of personal care, support services and healthcare to its residences. In addition, the company offers a wide range of specialized services including behavior management and environmental adaptation programs, to residents who suffer from Alzheimer's disease and other dementias.

Use of Proceeds
Proceeds from the proposed offering will be used for repayment of indebtedness, construction and possible acquisition of assisted living residences and for general corporate purposes including working capital.

Last updated: 10/28/96

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