SALT LAKE CITY, Nov. 25 /PRNewswire/ -- Franklin Covey Co. (NYSE: FC)
today announced that it expects to report sales in the $140 to $145 million
range and $0.50 to $0.55 earnings per share for its first quarter ending
November 30, 1997.  Sales for the fiscal 1998 year are anticipated to be in
the $550 to $580 million range with estimated earnings for the year to be
between $1.85 and $1.95 per share.  The growth in revenue from $433 million in
the prior fiscal year is due to the May 30, 1997 merger of Franklin Quest and
Covey Leadership Center and growth in the Company's basic business.
    Effective September 1, 1997, the Company sold its businesses in the
environmental and business development consulting areas.  These businesses
were formerly part of the Shipley Group and contributed $6.1 million in
revenues in fiscal 1997.  No gain or loss will be recognized on these
dispositions.
    Jon H. Rowberry, President and Chief Operating Officer, said, "Now that we
are in our sixth month since the merger and the third month of our fiscal 1998
year, we have a clearer vision of what the year will look like.  So far, sales
are in line with our expectations.  We are pleased with the progress we have
made to integrate the strengths of the company units and build a formidable
array of products and services."  Commenting on the earnings per share
outlook, Mr. Rowberry stated that, "The first quarter estimates are lower
these our 1997 results of $0.62 per share due to the inclusion of operating
costs of Premier School Agendas and the increased share count from the Covey
merger.  With our newly realigned Professional Services Group gaining
momentum, we anticipate improving second half results with earnings per share
for fiscal year 1998 in the $1.85 to $1.95 range."
    John L. Theler, Executive Vice President and Chief Financial Officer,
further commented saying, "If you exclude the non-recurring pre-tax merger
charge of $5.5 million recorded during fiscal 1997 and assume that the Covey
merger had occurred at the beginning of the 1997 fiscal year, earnings for
fiscal 1997 would have been $1.68 per share.  The earnings per share increase
from the pro-forma $1.68 to an estimated $1.85 to $1.95 for fiscal 1998,
represents a 10% to 15% growth rate.  We have a lot of work to do, but are
optimistic about the outlook."
    Franklin Covey is now the leading global provider of leadership
development and productivity services and product solutions based on proven
principles.  More than 15 million students and individuals use Franklin
Covey's agendas, organizers and planners, and its training products and
related materials are printed in 28 languages throughout the world.  Franklin
Covey has more than 12 million books in print with more than 1.5 million being
sold each year.  "Business Week" magazine listed Franklin Covey's "The 7
Habits of Highly Effective People," as the #1 best selling trade business book
for the year 1996.  A new title, "The 7 Habits of Highly Effective Families,"
released on October 1, 1997 has already hit the best-seller list.  Franklin
Covey has more than 14,000 licensed client facilitators teaching its
curriculum within their organizations and trains in excess of 750,000
participants annually in training seminars teaching principles to help them
become more effective.
    The statements made in this news release are forward looking and reflect
the Company's current expectations and involve certain risks and
uncertainties.  There can be no assurance that the Company's actual result
will meet the Company's expectations.  The Company's future operating results
are difficult to predict and are subject to significant fluctuations.  Factors
that may cause future results to differ materially from the Company's current
expectations include, among others: general economic conditions, the health of
the retail environment and training industry, inventory management, the timing
and size of orders from large customers.

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