Avis Europe plc Preliminary Results for the Year Ended December 31, 1998

Business Wire, Feb 24, 1999

EIH Ltd, a publicly quoted company and its affiliates, which are members of the Oberoi Group, one of Asia's leading hospitality and service organizations, will have 67% of the equity with Avis Europe holding the remaining 33%. The new licensee will operate under the Avis name in India as soon as regulatory approvals are received.

We continue to pursue partnership opportunities for the remaining principal open markets of China and Japan.

Dividend

The Board is proposing a final dividend for the 10 month period of 3.0 pence per share, which will be paid on June 3, 1999 to shareholders on the register at the close of business on March 12, 1999. This brings the total dividend for the 10 month period to 4.5 pence per share.

Shareholder Return

The Company has provided shareholders with an excellent return on investment since it floated in April 1997. In 1998 total shareholder return was 48%, based on the increase in share price, together with reinvested dividends.

Summary and Outlook

Avis Europe has had another excellent year with significant revenue growth in all major markets, reinforcing our leadership position in Europe. We have continued to improve margin performance despite predicted increases in fleet costs and have delivered trading results ahead of expectations for a second year.

While general economic predictions are for a weaker market environment in 1999, we have had a satisfactory start to the year and are well placed to deliver further growth in the year ahead through continued application of our strategies.

Avis Europe plc rents cars under the Avis brand name to customers in 110 countries. Avis Europe's ordinary shares trade on the London Stock Exchange. Prices may be accessed on Bloomberg under the symbol AVE LN and Reuter Equities 3000 Service under AVE.L. Additional information is available on Avis Europe's internet site: www.avis-europe.com.

FOR TABULAR INFORMATION PLEASE CALL TAYLOR RAFFERTY ASSOCIATES AT 212-889-4350