AMERCO Reports First Quarter Fiscal 2007 Financial Results


RENO, Nev., Aug. 9, 2006 (PRIMEZONE) -- AMERCO (Nasdaq:UHAL), parent of U-Haul International, Inc., North America's largest "do-it-yourself" moving and storage operator, today reported net earnings available to common shareholders for its first quarter ending June 30, 2006, of $52.2 million, or $2.50 per share, compared with net earnings of $31.8 million, or $1.53 per share, for the same period last year. Included in the results for June 30, 2005 is a nonrecurring after-tax charge of $1.08 per share associated with the Company's first quarter refinancing.

"We have seen improvements in U-Move that are expected to result in revenue gains," stated Joe Shoen, chairman of AMERCO. "We are presently focused on the manufacture of our midsize rental trucks in order to continue to improve service to our customers. Growth in self-storage continues as planned, with the development of existing locations, acquisition of new properties and expansion of the eMove Storage Affiliate Program."

Highlights of First Quarter 2007 Results



 -- Gross revenues from the moving and storage business increased 
    $7.1 million for the first quarter of fiscal 2007 compared with 
    the first quarter of fiscal 2006

 -- In the first quarter, we placed over 3,100 rental trucks in 
    service, along with 1,700 trailers. Additionally, we have 
    invested in reimaging portions of the fleet and installing towing 
    systems on our smaller rental trucks. Aside from these costs, 
    decreases in repair and maintenance expense for the fleet largely 
    offset increases in depreciation and lease expense for the 
    quarter.

 -- Self-storage revenues increased $1.7 million or 5.8 percent for 
    the first quarter of fiscal 2007 compared with the first quarter 
    of fiscal 2006. Available square footage increased approximately 
    242,000 square feet this year over last year. 

 -- In the first quarter of fiscal 2007, the Company entered into two 
    debt facilities to fund new-truck purchases and one new debt 
    facility for the development of new storage projects. 

AMERCO will hold its investor call for the first quarter fiscal year 2007 on Thursday, August 10, 2006, at 10 a.m. Pacific Time (1 p.m. Eastern). The call will be broadcast live over the Internet at www.amerco.com. To hear a simulcast of the call, or a replay, visit www.amerco.com.

Use of Non-GAAP Financial Information

The company reports its financial results in accordance with generally accepted accounting principles (GAAP). However, the Company uses certain non-GAAP performance measures, including adjusted earnings per share, to provide a better understanding of the Company's underlying operational results. The Company uses adjusted earnings per share to present the impact of certain transactions or events that management expects to occur only infrequently.

AMERCO is the parent company of U-Haul International, Inc., North America's largest do-it-yourself moving and storage operator, AMERCO Real Estate Company, Republic Western Insurance Company and Oxford Life Insurance Company. With a network of over 15,400 locations in all 50 United States and 10 Canadian provinces, the Company has the largest consumer truck-rental fleet in the world, with over 93,000 trucks, 80,675 trailers and 33,500 towing devices.

U-Haul has also been a leader in the storage industry since 1974, with more than 377,000 rooms and approximately 33 million square feet of storage space at nearly 1,050 owned and managed facilities throughout North America.

Certain of the statements made in this press release regarding our business constitute forward-looking statements as contemplated under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those anticipated as a result of various risks and uncertainties. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof. The Company undertakes no obligation to publish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as required by law. For a brief discussion of the risks and uncertainties that may affect AMERCO's business and future operating results, please refer to Form 10-Q for the quarter ended June 30, 2006, which is on file with the SEC.

Report on Business Operations

Listed on a consolidated basis are revenues for our major product lines for the first quarter of fiscal 2007 and fiscal 2006.



                                          Quarter Ended June 30,
                                          ---------------------
                                            2006         2005
                                          --------     --------
                                              (Unaudited)
                                             (In thousands)
 Revenues

  Self-moving equipment rentals           $407,234     $401,260
  Self-storage revenues                     30,431       28,768
  Self-moving & self-storage products
   and service sales                        67,451       66,563
 Property management fees                    3,847        4,440
 Life insurance premiums                    30,919       29,589
 Property & casualty insurance premiums      5,382        4,824
 Net investment & interest income           13,830       13,714
 Other revenues                              7,933       10,300
                                          --------     --------
  Consolidated revenues                   $567,027     $559,458

Listed below are revenues and earnings from operations at each of our operating segments for the first quarter of fiscal 2007 and 2006.



                                          Quarter Ended June 30,
                                          ---------------------
                                            2006         2005
                                          --------     --------
                                              (Unaudited)
                                             (In thousands)
 Moving & storage
  Revenues                                $514,638     $507,563
  Earnings from operations                 106,921      108,965
 Property and casualty insurance
  Revenues                                   8,068        8,309
  Earnings from operations                   1,701        1,582
 Life insurance
  Revenues                                  38,137       38,073
  Earnings from operations                   1,951        3,440
 SAC Holding II
  Revenues                                  12,479       12,059
  Earnings from operations                   4,123        4,051
 Eliminations
  Revenues                                  (6,295)      (6,546)
  Earnings from operations                  (4,530)      (5,478)
 Consolidated results
  Revenues                                 567,027      559,458
  Earnings from operations                 110,166      112,560

The Company owns and manages self-storage facilities. Self-storage revenues reported in the consolidated financial statements for moving and storage represent Company-owned locations only. U-Haul also provides property management services for storage locations and earns a fee for these services. These storage centers are not owned by the Company and therefore are not reported on the balance sheet and the rental revenues are not reported in the statements of operations (except for SAC Holding II). Self-storage data for both our owned and managed locations is as follows:



                                         Quarter Ended June 30,
                                 --------------------------------
                                    2006                  2005
                                 -----------          -----------
                                            (Unaudited)
                                 (In thousands, except occupancy rate)
 Room count as of June 30                379                 339
 Square footage as of June 30         33,335              28,886
 Average number of rooms 
  occupied                               330                 295
 Average occupancy rate based 
  on room count                         87.1%                86.9%
 Average square footage occupied      29,479               25,516


                     AMERCO AND CONSOLIDATED ENTITIES
                   CONDENSED CONSOLIDATED BALANCE SHEETS

                                         June 30,       March 31, 
                                           2006           2006
                                       -----------    -----------
                                       (Unaudited)
 Assets                                      (In thousands)
  Cash and cash equivalents            $   241,858    $   155,459
 Reinsurance recoverables and trade 
  receivables, net                         215,861        230,179
  Notes and mortgage receivables, net        2,140          2,532
  Inventories, net                          68,226         64,919
  Prepaid expenses                          58,473         53,262
  Investments, fixed maturities and 
   marketable equities                     695,923        695,958
  Investments, other                       184,566        209,361
  Deferred policy acquisition costs, 
   net                                      52,470         47,821
  Other assets                              99,978        102,094
  Related party assets                     252,679        270,468
                                       -----------    -----------
   Total                                 1,872,174      1,832,053
                                       -----------    -----------
  Property, plant and equipment, at cost;
   Land                                    186,252        175,785
   Buildings and improvements              760,659        739,603
   Furniture and equipment                 285,178        281,371
   Rental trailers and other rental 
    equipment                              201,129        201,273
   Rental trucks                         1,401,701      1,331,891
   SAC Holding II - PP&E                    79,542         79,217
                                       -----------    -----------
    Subtotal                             2,914,461      2,809,140
  Less: Accumulated depreciation        (1,277,521)    (1,273,975)
                                       -----------    -----------
   Total property, plant and
    equipment                            1,636,940      1,535,165
                                       -----------    -----------
  Total assets                           3,509,114      3,367,218
                                       ===========    ===========
 Liabilities & stockholders' equity
 Liabilities:
  Accounts payable & accrued expenses  $   254,604    $   235,878
  AMERCO notes and loans payable         1,045,638        965,634
  SAC Holding II notes & loans
   payable, non-recourse to AMERCO          75,918         76,232
  Policy benefits & losses, claims 
   & loss expenses payable                 794,572        800,413
  Liabilities from investment
   contracts                               432,557        449,149
  Other policyholders' funds &
   liabilities                               6,580          7,705
  Deferred income                           23,632         21,346
  Deferred income taxes                    118,097        108,092
  Related party liabilities                  3,400          7,165
                                       -----------    -----------
   Total liabilities                     2,754,998      2,671,614
                                       -----------    -----------
 Stockholders' equity:
  Series A common stock                        929            929
  Common stock                               9,568          9,568
  Additional paid-in-capital               373,151        367,655
  Accumulated other
   comprehensive loss                      (28,351)       (28,902)
  Retained earnings                        825,964        773,784
  Cost of common shares in treasury, 
   net                                    (418,092)      (418,092)
  Unearned employee stock
   ownership plan shares                    (9,053)        (9,338)
                                       -----------    -----------
   Total stockholders' equity              754,116        695,604
                                       -----------    -----------
   Total liabilities &
    stockholders' equity                 3,509,114      3,367,218
                                       ===========    ===========


                       AMERCO AND CONSOLIDATED ENTITIES
               CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

                                            Quarter Ended June 30,
                                             2006            2005
                                         ------------    ------------
                                                 (Unaudited)
                                      (In thousands, except share and 
                                               per share amounts)

 Revenues:
  Self-moving equipment rentals          $    407,234    $    401,260
  Self-storage revenues                        30,431          28,768
  Self-moving and self-storage
   products and service sales                  67,451          66,563
  Property management fees                      3,847           4,440
  Life insurance premiums                      30,919          29,589
  Property and casualty insurance
   premiums                                     5,382           4,824
  Net investment and interest income           13,830          13,714
  Other revenue                                 7,933          10,300
                                         ------------    ------------
   Total revenues                             567,027         559,458
                                         ------------    ------------

 Costs and expenses:
  Operating expenses                          261,379         266,792
  Commission expenses                          49,536          48,018
  Cost of sales                                32,316          31,044
  Benefits and losses                          30,606          27,314
  Amortization of deferred policy
   acquisition costs                            5,626           6,198
  Lease expense                                37,727          33,295
  Depreciation, net of (gains) losses
   on disposals                                39,671          34,237
                                         ------------    ------------
   Total costs and expenses                   456,861         446,898
                                         ------------    ------------

 Earnings from operations                     110,166         112,560
  Interest expense                            (18,462)        (19,636)
  Fees on early extinguishment of debt             --         (35,627)
                                         ------------    ------------
 Pretax earnings                               91,704          57,297
  Income tax expense                          (36,283)        (22,235)
                                         ------------    ------------
 Net earnings                                  55,421          35,062
  Less: Preferred stock dividends              (3,241)         (3,241)
                                         ------------    ------------
 Earnings available to common
  shareholders                           $     52,180    $     31,821
                                         ============    ============
 Basic and diluted earnings per
  common share                           $       2.50    $       1.53
                                         ============    ============
 Weighted average common shares
  outstanding:

  Basic and diluted                        20,897,688      20,836,458
                                         ============    ============


               NON-GAAP FINANCIAL RECONCILIATION SCHEDULE
                                                      
                                                    Quarter Ended
                                                    June 30, 2005
                                                    -------------
 (In thousands, except share and per share 
  amounts)

 AMERCO and Consolidated Entities
  Nonrecurring fees on early
   extinguishment of debt                           $     (35,627)
  Income tax benefit                                       13,109
                                                    -------------
  Nonrecurring fees on early
   extinguishment of debt, net of taxes             $     (22,518)
                                                    =============
  Nonrecurring fees on early
   extinguishment of debt, net of taxes, per
   common share basic and diluted                   $       (1.08)
                                                    =============
  Weighted average shares outstanding:
   basic and diluted                                   20,836,458
                                                    =============


            

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