During the first quarter of 2007, the company added financialservices to 29 existing rent-to-own store locations, ending thequarter with a total of 177 stores providing these services. Thatnumber will accelerate with the completion of the Rent-Wayacquisition.

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"We had said we were going to slow down the growth of ourfinancial services business in January and February, as weconsolidated the Rent-Way acquisition, and to strengthen ourbench," said Mark E. Speese, chairman and CEO. "We will add 200financial services offices in this fiscal year."

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Rent-A-Center acquired Rent-Way in November, and the company hassince closed 20% of Rent-Way's 782 stores. Future closures will nowbe a part of regular operations.

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Meanwhile, the company continues to expand. During the firstquarter, the company opened six new rent-to-own store locations andacquired accounts from three locations, for a net reduction of 28stores and an ending balance as of March 31, 2007 of 3,378 storesin the US and Canada. For the fiscal year, the company plans toopen a total of 30 new rent-to-own stores.

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For the first quarter, the company reported total revenues of$755.3 million, up 24.4% from the same period last year. Much ofthe increase resulted from the company's acquisition of Rent-Way.Same-store sales rose 2.9%. Net earnings were $15.1 million(including charges related to litigation), down from $40.3 millionthe previous year.

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