THE TIMES 100 : The Best Performing Companies in California : The Bottom Line : Adobe Hangs On to the Top Rung : Companies with the highest two-year average return on equity are a diverse bunch, running from broadcasting to clothing to lubricants.

For a crisp snapshot of California’s diverse economy, check out the companies topping this year’s Times 100 list.

The companies giving their shareholders the most for their money are making software to run printers and selling mutual funds, active sportswear and X-ray machines.

Adobe Systems, the Mountain View software maker, topped the list for the second year in a row, despite a stock price plunge earlier in the year. The company, which makes software to control printers, posted record earnings of $40.1 million in 1990.

The key to its success has been to license its software to other companies, including Apple Computer, which uses Adobe’s PostScript software for its computers and laser printers.

Adobe Chief Executive “John Warnock has one of the most elegant minds in the business,” said Esther Dyson, editor and publisher of Release 1.0, a Manhattan-based software industry newsletter.

“Their business is creating and packaging intellectual property,” Dyson said. “Computer makers realize it is cheaper to buy the software from Adobe than do it themselves.”

Adobe’s 56.7% two-year average return on equity reflects a 19% increase in income during the year. In 1990, Adobe posted revenue of $168.7 million.

The Times 100 is based on data compiled and analyzed by MZ Group, a San Francisco-based business research firm. To qualify, a company must be headquartered in California and have sales greater than $50 million. The stock must also have been been trading publicly since 1987. Companies must have been profitable and have debt less than two times equity.

The list is based on return on equity, which is figured by taking a company’s income minus preferred stock dividends and dividing it by average common shareholders equity. Special one-time gains are not counted as income.

United Television, second on the list, owns radio and television stations, while Syntex Corp. placed third on the list with an impressive 47.7% two-year average return on equity.

Cash-rich WD-40, maker of the lubricant found in nearly everyone’s tool kit, climbed to the No. 4 slot from No. 8 last year. Mattel continues to dominate the toy market with its Barbie dolls, jumping from No. 14 last year to No. 5.

Sixth-ranked Franklin Resources, the investment management firm that topped the list in 1988, continues to benefit from a consumer shift from spending money to saving it. Quantum Corp., cashing in on the popularity of its computer storage devices and providing shareholders an impressive 37.5% two-year average ROE, soared to No. 7 from No. 40.

Overall return on equity figures dipped slightly, with the 1990 cutoff falling to 14.8% after having risen three years in a row. Even Adobe’s return on equity was depressed as well, 56.7% compared to 63.8% last year. The median two-year return on equity for 1990 dipped to 20.8% from 21.8%.

Here is a closer look at the top 10 companies on the list:

1. High-flying Adobe Systems is the dominant maker of software that controls how printers draw typefaces.

The company has been buoyed by licensing agreements with large makers of computer and printer hardware.

However, earlier in the year, Adobe’s stock price plunged after the company lowered profit projections for the second quarter of 1990 because of slow sales at Apple Computer, which pays Adobe a royalty for using its software in Apple laser printers. At the time, many Wall Street analysts called the selloff an overreaction.

2. Beverly Hills-based United Television moved up three spots on the list, even though its 1990 net income fell 22%.

At its helm is colorful New York financier Herbert Siegel, who also heads Chris-Craft Industries Inc. Through interlocking ownership, the two companies plus BHC Communications control seven TV stations, including KCOP-TV in Los Angeles.

3. Drug manufacturer Syntex Corp. of Palo Alto has been a resident of the top 10 of The Times 100 since its inception in 1988.

More than half of the pharmaceutical company’s sales and earnings come from two anti-arthritic drugs. Those sales continue to increase. However, the patent on one of those drugs expires in 1993.

An aggressive research program has resulted in several new drugs to treat a variety of ailments. Some analysts contend that the new portfolio of drugs is the strongest in the industry and could add to Syntex’s bottom line for years.

4. All those blue and yellow cans of WD-40 have kept their manufacturer, WD-40 Co. of San Diego, in the top 15 of The Times 100 since 1988. The familiar all-purpose lubricant is one of the earliest commercial spinoffs of the space program. Its name stands for “water displacement, 40th formula,” and the product was developed to solve a corrosion problem on the Atlas missile in 1955.

WD-40 Co. has prospered in the face of numerous imitators. However, the company said in January that it did not expect to equal last fiscal year’s sales or earnings. For years, the cash-rich company has resisted suggestions that it spend that money buying other companies or developing new products and instead chooses to redistribute most of its net income to shareholders as dividends.

5. Toy maker Mattel, home of Barbie and Hot Wheels, spent much of the 1980s mending its finances. But with the help of perennially popular Barbie--worldwide sales of the fashion doll and her friends and accessories hit $700 million last year--as well as newer products, Mattel has steadily improved financial results.

Although Barbie shows no signs of falling from favor with the short set, analysts say the El Segundo company must continue to develop new toys to back Barbie up.

6. San Mateo-based Franklin Resources is soaring on the success of its Adjustable U.S. Securities Fund, which offers securities backed by adjustable-rate mortgages. The fund, the biggest and oldest of its kind, has assets of $1.7 billion. Franklin’s Ginnie Mae fund, with current assets of $11.6 billion, is also popular.

The full-service mutual fund company offers investors more than 50 mutual funds from which to choose. Total assets are approaching $50 billion. The firm has about 2,000 employees, most based in San Mateo.

7. Quantum Corp., an 11-year-old Milpitas-based company, is booming in part because of the success of Apple Computer’s new lower-priced Apple Macintosh computers. Quantum, which makes hard disk drives for personal computers, reported that third-quarter sales more than doubled over those of the same quarter a year ago.

Plus Development Corp., a wholly owned subsidiary, produces personal computer storage devices. Quantum sells its products in more than 30 countries and employs 1,300 people worldwide.

8. The recession is hurting Quiksilver Inc., the Newport Beach sportswear maker, but the trend-setting company is hoping that the recent acquisition of its French distributor will perk up lagging sales. For the first quarter ended Jan. 31, profit was $1.1 million, down 21% from a year ago. Sales were $15.9 million, down from $18.1 million a year earlier.

Chairman John Warner said that although domestic sales are down, the Na Pali acquisition should boost overall sales and profits.

Analysts credit Quiksilver with launching the neon-colored surf-wear fad and say the company continues to set the pace for active sportswear. The company sells its products through surf shops and specialty and department stores.

9. Adac Laboratories Inc. of Milpitas manufactures and services medical image-processing computers and equipment. Researchers and physicians in nuclear medicine use Adac’s computer-based products to understand and diagnose a wide range of brain diseases.

The company, founded in 1970, has 450 employees worldwide, with 200 in Milpitas. Adac’s products are sold primarily to hospitals and large clinics. This year the company is pushing heavily into European markets.

10. Novellus Systems, the San Jose high-technology equipment maker, is considered by analysts to be one of the best-run companies in the industry. It makes a chemical vapor deposition system that “paints” chemicals on silicon wafers.

Novellus is known for its lean operating staff, relying on contract engineers rather than full-time help. Chief Executive Robert Graham’s approach has paid off at a time other semiconductor manufacturing companies are ailing. First-quarter net income was $3.9 million on revenue of $18.7 million.

THE TIMES 100

Companies ranked by income as a percentage of average common equity over two years.

Rank: 1 ’89 rank: 1 Company: Adobe Systems Inc.* Industry: Computer Software City: Mountain View 2-year average return on equity: 56.7 1990 sales ($ millions): 168.7 1990 income ($ millions): 40.1 % change in income from 1989: 19 Rank: 2 ’89 rank: 5 Company: United Television Industry: Radio & TV Broadcasting City: Beverly Hills 2-year average return on equity: 54.6 1990 sales ($ millions): 119.0 1990 income ($ millions): 48.5 % change in income from 1989: (22) Rank: 3 ’89 rank: 6 Company: Syntex Corp.* Industry: Drugs City: Palo Alto 2-year average return on equity: 47.7 1990 sales ($ millions): 1,521.0 1990 income ($ millions): 341.5 % change in income from 1989: 13 Rank: 4 ’89 rank: 8 Company: Wd-40 Co.* Industry: Consumer Products City: San Diego 2-year average return on equity: 41.4 1990 sales ($ millions): 91.0 1990 income ($ millions): 15.5 % change in income from 1989: (2) Rank: 5 ’89 rank: 14 Company: Mattel Inc. Industry: Games & Toys City: El Segundo 2-year average return on equity: 39.9 1990 sales ($ millions): 1,470.6 1990 income ($ millions): 91.2 % change in income from 1989: 15 Rank: 6 ’89 rank: 3 Company: Franklin Resources Inc.* Industry: Investment Services City: San Mateo 2-year average return on equity: 39.1 1990 sales ($ millions): 287.9 1990 income ($ millions): 89.4 % change in income from 1989: 14 Rank: 7 ’89 rank: 40 Company: Quantum Corp.* Industry: Computer Storage Devices City: Milpitas 2-year average return on equity: 37.5 1990 sales ($ millions): 716.3 1990 income ($ millions): 66.7 % change in income from 1989: 41 Rank: 8 ’89 rank: 18 Company: Quiksilver Inc.* Industry: Sports Wear City: Costa Mesa 2-year average return on equity: 37.5 1990 sales ($ millions): 91.2 1990 income ($ millions): 9.5 % change in income from 1989: 36 Rank: 9 ’89 rank: Company: Adac Laboratories* Industry: Medical Imaging Prod. City: Milpitas 2-year average return on equity: 35.9 1990 sales ($ millions): 75.7 1990 income ($ millions): 3.3 % change in income from 1989: (80) Rank: 10 ’89 rank: Company: Novellus Systems Inc. Industry: Special Industrial Machinery City: San Jose 2-year average return on equity: 34.7 1990 sales ($ millions): 67.1 1990 income ($ millions): 14.0 % change in income from 1989: 25 Rank: 11 ’89 rank: 2 Company: L.A. Gear Inc.* Industry: Sport & Leisure Footwear City: Marina del Rey 2-year average return on equity: 34.7 1990 sales ($ millions): 902.2 1990 income ($ millions): 31.3 % change in income from 1989: (43) Rank: 12 ’89 rank: 12 Company: Apple Computer Inc.* Industry: Computer Products City: Cupertino 2-year average return on equity: 34.4 1990 sales ($ millions): 5,558.4 1990 income ($ millions): 474.9 % change in income from 1989: 5 Rank: 13 ’89 rank: 26 Company: Gap Inc.* Industry: Clothing Stores City: San Francisco 2-year average return on equity: 32.5 1990 sales ($ millions): 1,854.2 1990 income ($ millions): 122.2 % change in income from 1989: 25 Rank: 14 ’89 rank: 17 Company: Cadence Design Systems Industry: Computer Software City: San Jose 2-year average return on equity: 32.4 1990 sales ($ millions): 231.4 1990 income ($ millions): 38.0 % change in income from 1989: 37 Rank: 15 ’89 rank: 10 Company: Chips & Technologies Inc.* Industry: Semiconductor Manufacturing City: San Jose 2-year average return on equity: 31.4 1990 sales ($ millions): 293.4 1990 income ($ millions): 29.3 % change in income from 1989: (11) Rank: 16 ’89 rank: 31 Company: Autodesk Inc.* Industry: Computer Software City: Sausalito 2-year average return on equity: 31.1 1990 sales ($ millions): 225.6 1990 income ($ millions): 56.1 % change in income from 1989: 21 Rank: 17 ’89 rank: 25 Company: 20th Century Industries Industry: Property-Casualty Insurance City: Woodland Hills 2-year average return on equity: 30.0 1990 sales ($ millions): 799.6 1990 income ($ millions): 98.7 % change in income from 1989: 8 Rank: 18 ’89 rank: Company: Conner Peripherals Industry: Computer Storage Devices City: San Jose 2-year average return on equity: 29.7 1990 sales ($ millions): 1,337.6 1990 income ($ millions): 130.1 % change in income from 1989: 214 Rank: 19 ’89 rank: 9 Company: Neutrogena Corp.* Industry: Soaps & Cosmetics City: Los Angeles 2-year average return on equity: 29.7 1990 sales ($ millions): 209.8 1990 income ($ millions): 17.2 % change in income from 1989: (36) Rank: 20 ’89 rank: 20 Company: Acuson Corp. Industry: Medical Imaging Products City: Mountain View 2-year average return on equity: 29.3 1990 sales ($ millions): 282.8 1990 income ($ millions): 47.8 % change in income from 1989: 26 Rank: 21 ’89 rank: Company: Medical Imaging Centers Industry: Specialty Outpatient Clinics City: San Diego 2-year average return on equity: 28.9 1990 sales ($ millions): 78.3 1990 income ($ millions): 6.2 % change in income from 1989: 54 Rank: 22 ’89 rank: 42 Company: Pacificare Health Systems* Industry: Hospitals & HMOs City: Cypress 2-year average return on equity: 28.6 1990 sales ($ millions): 969.7 1990 income ($ millions): 17.6 % change in income from 1989: 62 Rank: 23 ’89 rank: 29 Company: Bridgford Foods Corp.* Industry: Food Products City: Anaheim 2-year average return on equity: 27.8 1990 sales ($ millions): 84.3 1990 income ($ millions): 3.9 % change in income from 1989: 12 Rank: 24 ’89 rank: 7 Company: Oracle Systems Corp.* Industry: Computer Software City: Redwood City 2-year average return on equity: 27.7 1990 sales ($ millions): 1,058.9 1990 income ($ millions): 57.4 % change in income from 1989: (51) Rank: 25 ’89 rank: 19 Company: Software Publishing* Industry: Computer Software City: Mountain View 2-year average return on equity: 27.7 1990 sales ($ millions): 140.6 1990 income ($ millions): 19.8 % change in income from 1989: 16 Rank: 26 ’89 rank: 30 Company: Atlantic Richfield Co. Industry: Oil & Gas City: Los Angeles 2-year average return on equity: 27.5 1990 sales ($ millions): 18,008.0 1990 income ($ millions): 1,688.0 % change in income from 1989: (14) Rank: 27 ’89 rank: 13 Company: FHP International* Industry: Medical Offices & Clinics City: Fountain Valley 2-year average return on equity: 26.6 1990 sales ($ millions): 980.4 1990 income ($ millions): 28.8 % change in income from 1989: 31 Rank: 28 ’89 rank: Company: Synoptics Communications Inc. Industry: Computer Equipment City: Santa Clara 2-year average return on equity: 26.6 1990 sales ($ millions): 176.0 1990 income ($ millions): 28.2 % change in income from 1989: 199 Rank: 29 ’89 rank: Company: Altera Corp. Industry: Semiconductor Manufacturing City: San Jose 2-year average return on equity: 26.4 1990 sales ($ millions): 78.3 1990 income ($ millions): 13.4 % change in income from 1989: 24 Rank: 30 ’89 rank: Company: CVB Financial Corp. Industry: Banking City: Ontario 2-year average return on equity: 26.2 1990 sales ($ millions): 58.9 1990 income ($ millions): 8.8 % change in income from 1989: 13 Rank: 31 ’89 rank: 35 Company: Walt Disney Co.* Industry: Films & Theme Parks City: Burbank 2-year average return on equity: 25.6 1990 sales ($ millions): 5,843.7 1990 income ($ millions): 824.0 % change in income from 1989: 17 Rank: 32 ’89 rank: 44 Company: Centex Telemanagement Inc. Industry: Management Consulting City: San Francisco 2-year average return on equity: 25.2 1990 sales ($ millions): 114.4 1990 income ($ millions): 9.7 % change in income from 1989: 39 Rank: 33 ’89 rank: 38 Company: Wells Fargo & Co. Industry: Banking City: San Francisco 2-year average return on equity: 25.0 1990 sales ($ millions): 5,959.8 1990 income ($ millions): 711.5 % change in income from 1989: 18 Rank: 34 ’89 rank: 37 Company: Ross Stores Inc.* Industry: Clothing Stores City: Newark 2-year average return on equity: 24.7 1990 sales ($ millions): 777.1 1990 income ($ millions): 21.9 % change in income from 1989: (27) Rank: 35 ’89 rank: Company: MacNeal-Schwendler Corp.* Industry: Computer Software City: Los Angeles 2-year average return on equity: 24.2 1990 sales ($ millions): 52.6 1990 income ($ millions): 10.8 % change in income from 1989: 10 Rank: 36 ’89 rank: 22 Company: Arden Group Inc. Industry: Grocery Stores City: Compton 2-year average return on equity: 24.1 1990 sales ($ millions): 330.9 1990 income ($ millions): 11.5 % change in income from 1989: (2) Rank: 37 ’89 rank: 39 Company: Williams-Sonoma Inc.* Industry: Housewares City: San Francisco 2-year average return on equity: 24.0 1990 sales ($ millions): 261.3 1990 income ($ millions): 10.1 % change in income from 1989: 12 Rank: 38 ’89 rank: Company: Weitek Corp. Industry: Semiconductor Manufacturing City: Sunnyvale 2-year average return on equity: 23.7 1990 sales ($ millions): 57.8 1990 income ($ millions): 7.0 % change in income from 1989: 2 Rank: 39 ’89 rank: 61 Company: Mercury General Corp. Industry: Property-Casualty Insurance City: Los Angeles 2-year average return on equity: 23.5 1990 sales ($ millions): 528.3 1990 income ($ millions): 51.6 % change in income from 1989: 52 Rank: 40 ’89 rank: 28 Company: Caesars World* Industry: Casinos & Hotels City: Los Angeles 2-year average return on equity: 23.4 1990 sales ($ millions): 870.2 1990 income ($ millions): 36.8 % change in income from 1989: (45) Rank: 41 ’89 rank: 41 Company: Diagnostic Products Corp. Industry: Medical Diagnostic Products City: Los Angeles 2-year average return on equity: 22.9 1990 sales ($ millions): 75.9 1990 income ($ millions): 17.6 % change in income from 1989: 16 Rank: 42 ’89 rank: Company: McGrath Rent Corp. Industry: Equipment Rental & Leasing City: San Lorenzo 2-year average return on equity: 22.9 1990 sales ($ millions): 52.3 1990 income ($ millions): 9.5 % change in income from 1989: 34 Rank: 43 ’89 rank: 11 Company: Boole & Babbage Inc.* Industry: Computer Software City: Sunnyvale 2-year average return on equity: 22.7 1990 sales ($ millions): 93.9 1990 income ($ millions): 4.9 % change in income from 1989: (1) Rank: 44 ’89 rank: 47 Company: Price Co.* Industry: Warehouse Stores City: San Diego 2-year average return on equity: 22.4 1990 sales ($ millions): 5,412.3 1990 income ($ millions): 125.4 % change in income from 1989: 7 Rank: 45 ’89 rank: Company: Maxim Integrated Products* Industry: Semiconductor Manufacturing City: Sunnyvale 2-year average return on equity: 22.3 1990 sales ($ millions): 56.0 1990 income ($ millions): 7.6 % change in income from 1989: 39 Rank: 46 ’89 rank: Company: Octel Communications Corp.* Industry: Telecommunications Equip. City: Milpitas 2-year average return on equity: 22.0 1990 sales ($ millions): 127.8 1990 income ($ millions): 17.7 % change in income from 1989: 50 Rank: 47 ’89 rank: 55 Company: Argonaut Group Inc.* Industry: Property-Casualty Insurance City: Los Angeles 2-year average return on equity: 21.6 1990 sales ($ millions): 611.0 1990 income ($ millions): 89.7 % change in income from 1989: (12) Rank: 48 ’89 rank: 32 Company: Dreyer’s Grand Ice Cream Inc. Industry: Ice Cream City: Oakland 2-year average return on equity: 20.8 1990 sales ($ millions): 308.3 1990 income ($ millions): 11.8 % change in income from 1989: 39 Rank: 49 ’89 rank: 52 Company: Unicare Financial Corp. Industry: Property-Casualty Insurance City: Irvine 2-year average return on equity: 20.8 1990 sales ($ millions): 97.2 1990 income ($ millions): 8.9 % change in income from 1989: 18 Rank: 50 ’89 rank: 58 Company: Jacobs Engineering Group Inc.* Industry: Construction & Engineering City: Pasadena 2-year average return on equity: 20.8 1990 sales ($ millions): 881.8 1990 income ($ millions): 14.4 % change in income from 1989: 41 Rank: 51 ’89 rank: Company: Adaptec Inc.* Industry: Semiconductor Manufacturing City: Milpitas 2-year average return on equity: 20.6 1990 sales ($ millions): 128.8 1990 income ($ millions): 14.7 % change in income from 1989: 12 Rank: 52 ’89 rank: Company: Silicon General Inc.* Industry: Semiconductor Manufacturing City: San Jose 2-year average return on equity: 20.5 1990 sales ($ millions): 58.2 1990 income ($ millions): 0.9 % change in income from 1989: (31) Rank: 53 ’89 rank: Company: Mentor Corp.* Industry: Surgical and Medical Instrum. City: Santa Barbara 2-year average return on equity: 20.1 1990 sales ($ millions): 68.0 1990 income ($ millions): 7.1 % change in income from 1989: (16) Rank: 54 ’89 rank: 87 Company: Everex Systems Inc. Industry: Computer Products City: Fremont 2-year average return on equity: 20.0 1990 sales ($ millions): 436.5 1990 income ($ millions): 24.5 % change in income from 1989: 15 Rank: 55 ’89 rank: Company: Fredericks of Hollywood* Industry: Clothing Stores City: Los Angeles 2-year average return on equity: 19.9 1990 sales ($ millions): 98.6 1990 income ($ millions): 4.2 % change in income from 1989: 39 Rank: 56 ’89 rank: 88 Company: Anthem Electronics Inc. Industry: Wholesale Electronics City: San Jose 2-year average return on equity: 19.9 1990 sales ($ millions): 408.2 1990 income ($ millions): 23.2 % change in income from 1989: 47 Rank: 57 ’89 rank: 74 Company: National Medical Enterprises* Industry: Hospitals City: Santa Monica 2-year average return on equity: 19.7 1990 sales ($ millions): 3,741.8 1990 income ($ millions): 259.5 % change in income from 1989: 7 Rank: 58 ’89 rank: Company: Pacific Western Bancshares** Industry: Banking City: San Jose 2-year average return on equity: 19.5 1990 sales ($ millions): 143.6 1990 income ($ millions): 16.8 % change in income from 1989: 26 Rank: 59 ’89 rank: 23 Company: Live Entertainment Industry: Entertainment Software Distr. City: Van Nuys 2-year average return on equity: 19.4 1990 sales ($ millions): 742.5 1990 income ($ millions): 25.5 % change in income from 1989: 32 Rank: 60 ’89 rank: 60 Company: Clorox Co.* Industry: Consumer Products City: Oakland 2-year average return on equity: 19.3 1990 sales ($ millions): 1,484.0 1990 income ($ millions): 153.6 % change in income from 1989: 6 Rank: 61 ’89 rank: 63 Company: Community Psychiatric Cntrs.* Industry: Hospitals City: Laguna Hills 2-year average return on equity: 19.2 1990 sales ($ millions): 374.4 1990 income ($ millions): 83.2 % change in income from 1989: 16 Rank: 62 ’89 rank: 50 Company: Intel Corp. Industry: Semiconductor Manufacturing City: Santa Clara 2-year average return on equity: 19.0 1990 sales ($ millions): 3,921.3 1990 income ($ millions): 650.3 % change in income from 1989: 66 Rank: 63 ’89 rank: 48 Company: Superior Industries Intl. Industry: Motor Vehicle Parts City: Van Nuys 2-year average return on equity: 19.0 1990 sales ($ millions): 267.6 1990 income ($ millions): 12.3 % change in income from 1989: (24) Rank: 64 ’89 rank: 43 Company: City National Corp. Industry: Banking City: Beverly Hills 2-year average return on equity: 18.8 1990 sales ($ millions): 501.4 1990 income ($ millions): 44.0 % change in income from 1989: (26) Rank: 65 ’89 rank: 33 Company: Digital Microwave Corp.* Industry: Radio Communications Equip. City: San Jose 2-year average return on equity: 18.7 1990 sales ($ millions): 142.2 1990 income ($ millions): 10.9 % change in income from 1989: (18) Rank: 66 ’89 rank: 72 Company: Harding Associates Inc. Industry: Environmental Engineering City: Novato 2-year average return on equity: 18.7 1990 sales ($ millions): 72.7 1990 income ($ millions): 5.0 % change in income from 1989: 11 Rank: 67 ’89 rank: 70 Company: Longs Drug Stores Inc.* Industry: Drug Stores City: Walnut Creek 2-year average return on equity: 18.6 1990 sales ($ millions): 2,257.4 1990 income ($ millions): 61.3 % change in income from 1989: 0 Rank: 68 ’89 rank: Company: Vitalink Communications Corp.* Industry: Computer Design Systems City: Fremont 2-year average return on equity: 18.3 1990 sales ($ millions): 66.8 1990 income ($ millions): 13.3 % change in income from 1989: 6 Rank: 69 ’89 rank: Company: Fidelity National Financial* Industry: Title Insurance City: Irvine 2-year average return on equity: 18.3 1990 sales ($ millions): 183.3 1990 income ($ millions): 5.2 % change in income from 1989: 6 Rank: 70 ’89 rank: Company: Good Guys Inc.* Industry: Consumer Electronics Stores City: San Francisco 2-year average return on equity: 17.8 1990 sales ($ millions): 294.0 1990 income ($ millions): 7.4 % change in income from 1989: 86 Rank: 71 ’89 rank: 45 Company: Applied Material* Industry: Special Industrial Machinery City: Santa Clara 2-year average return on equity: 17.5 1990 sales ($ millions): 567.1 1990 income ($ millions): 34.1 % change in income from 1989: (34) Rank: 72 ’89 rank: Company: Intl. Technology Corp.* Industry: Environmental Services City: Torrance 2-year average return on equity: 17.4 1990 sales ($ millions): 386.6 1990 income ($ millions): 16.4 % change in income from 1989: 21 Rank: 73 ’89 rank: 93 Company: Linear Technology Corp.* Industry: Semiconductor Manufacturing City: Milpitas 2-year average return on equity: 17.3 1990 sales ($ millions): 75.6 1990 income ($ millions): 11.3 % change in income from 1989: 27 Rank: 74 ’89 rank: 54 Company: Rockwell Intl. Corp.* Industry: Conglomerate City: El Segundo 2-year average return on equity: 17.2 1990 sales ($ millions): 12,378.7 1990 income ($ millions): 624.3 % change in income from 1989: (15) Rank: 75 ’89 rank: Company: Sumitomo Industry: Banking City: San Francisco 2-year average return on equity: 17.2 1990 sales ($ millions): 500.1 1990 income ($ millions): 44.9 % change in income from 1989: 32 Rank: 76 ’89 rank: Company: Union Bank Industry: Banking City: San Francisco 2-year average return on equity: 17.0 1990 sales ($ millions): 1,686.4 1990 income ($ millions): 146.5 % change in income from 1989: 5 Rank: 77 ’89 rank: Company: Fluor Corp.* Industry: Construction City: Irvine 2-year average return on equity: 17.0 1990 sales ($ millions): 7,446.3 1990 income ($ millions): 138.9 % change in income from 1989: 28 Rank: 78 ’89 rank: Company: Magma Power Co. Industry: Geothermal Power City: San Diego 2-year average return on equity: 16.9 1990 sales ($ millions): 77.8 1990 income ($ millions): 30.2 % change in income from 1989: 35 Rank: 79 ’89 rank: 53 Company: Robert Half Intl. Inc. Industry: Personnel Services City: Menlo Park 2-year average return on equity: 16.7 1990 sales ($ millions): 248.6 1990 income ($ millions): 9.3 % change in income from 1989: (31) Rank: 80 ’89 rank: Company: SPI Pharmaceuticals Inc.* Industry: Drugs City: Costa Mesa 2-year average return on equity: 16.6 1990 sales ($ millions): 140.7 1990 income ($ millions): 14.9 % change in income from 1989: 16 Rank: 81 ’89 rank: Company: CalMat Co. Industry: Mining City: Los Angeles 2-year average return on equity: 16.6 1990 sales ($ millions): 422.0 1990 income ($ millions): 80.8 % change in income from 1989: 4 Rank: 82 ’89 rank: 77 Company: Dionex Corp.* Industry: Measurement Instruments City: Sunnyvale 2-year average return on equity: 16.4 1990 sales ($ millions): 80.6 1990 income ($ millions): 13.0 % change in income from 1989: 1 Rank: 83 ’89 rank: Company: Unocal Corp. Industry: Oil & Gas City: Los Angeles 2-year average return on equity: 16.3 1990 sales ($ millions): 10,645.0 1990 income ($ millions): 401.0 % change in income from 1989: 12 Rank: 84 ’89 rank: Company: First National Corp. Industry: Banking City: San Diego 2-year average return on equity: 16.3 1990 sales ($ millions): 65.0 1990 income ($ millions): 6.5 % change in income from 1989: 23 Rank: 85 ’89 rank: 80 Company: BankAmerica Corp. Industry: Banking City: San Francisco 2-year average return on equity: 16.2 1990 sales ($ millions): 12,323.0 1990 income ($ millions): 877.0 % change in income from 1989: 7 Rank: 86 ’89 rank: 84 Company: Archive Corp.* Industry: Computer Storage Devices City: Costa Mesa 2-year average return on equity: 16.1 1990 sales ($ millions): 293.2 1990 income ($ millions): 11.5 % change in income from 1989: (25) Rank: 87 ’89 rank: Company: P. Leiner Nutritional Prods.* Industry: Nutritional Supplements City: Torrance 2-year average return on equity: 15.8 1990 sales ($ millions): 137.1 1990 income ($ millions): 6.1 % change in income from 1989: 30 Rank: 88 ’89 rank: Company: Cubic Corp.* Industry: Navig. & Detect. Equip. City: San Diego 2-year average return on equity: 15.6 1990 sales ($ millions): 352.8 1990 income ($ millions): 23.0 % change in income from 1989: 31 Rank: 89 ’89 rank: 75 Company: Furon Co.* Industry: Industrial Products City: Laguna Niguel 2-year average return on equity: 15.5 1990 sales ($ millions): 331.0 1990 income ($ millions): 11.1 % change in income from 1989: 9 Rank: 90 ’89 rank: 96 Company: Bergen Brunswig Corp.* Industry: Drugs & Medical Products City: Orange 2-year average return on equity: 15.3 1990 sales ($ millions): 4,442.3 1990 income ($ millions): 62.6 % change in income from 1989: 31 Rank: 91 ’89 rank: Company: Sunrise Medical Inc.* Industry: Surgical Supplies City: Torrance 2-year average return on equity: 15.2 1990 sales ($ millions): 172.1 1990 income ($ millions): 5.3 % change in income from 1989: 47 Rank: 92 ’89 rank: 89 Company: Bio-Rad Labs Industry: Instruments City: Hercules 2-year average return on equity: 15.1 1990 sales ($ millions): 286.7 1990 income ($ millions): 10.7 % change in income from 1989: 6 Rank: 93 ’89 rank: Company: McKesson Corp. Industry: Drugs & Medical Products City: San Francisco 2-year average return on equity: 15.0 1990 sales ($ millions): 8,336.7 1990 income ($ millions): 96.4 % change in income from 1989: (2) Rank: 94 ’89 rank: Company: Intl. Aluminum* Industry: Fabricated Metal Products City: Monterey Park 2-year average return on equity: 15.0 1990 sales ($ millions): 212.2 1990 income ($ millions): 15.8 % change in income from 1989: 20 Rank: 95 ’89 rank: Company: ICN Biomedicals Inc.* Industry: Chemicals & Allied Products City: Costa Mesa 2-year average return on equity: 15.0 1990 sales ($ millions): 131.3 1990 income ($ millions): 8.8 % change in income from 1989: 56 Rank: 96 ’89 rank: Company: Computer Sciences Corp.* Industry: Computer & Data Processing City: El Segundo 2-year average return on equity: 15.0 1990 sales ($ millions): 1,679.3 1990 income ($ millions): 68.0 % change in income from 1989: 4 Rank: 97 ’89 rank: Company: Harper Group Inc. Industry: Freight Transportation Serv. City: San Francisco 2-year average return on equity: 14.9 1990 sales ($ millions): 435.9 1990 income ($ millions): 17.3 % change in income from 1989: 17 Rank: 98 ’89 rank: Company: Imperial Bancorp Industry: Banking City: Inglewood 2-year average return on equity: 14.9 1990 sales ($ millions): 297.9 1990 income ($ millions): 23.6 % change in income from 1989: 1 Rank: 99 ’89 rank: 24 Company: CMS Enhancements Inc.* Industry: Computer Storage Devices City: Irvine 2-year average return on equity: 14.9 1990 sales ($ millions): 187.7 1990 income ($ millions): 0.4 % change in income from 1989: (92) Rank: 100 ’89 rank: Company: Geodynamics Corp. Industry: Engineering Services City: Santa Barbara 2-year average return on equity: 14.8 1990 sales ($ millions): 59.1 1990 income ($ millions): 3.9 % change in income from 1989: 6

Source: MZ Group. Certain historical data is from Standard & Poor’s Compustat Inc.

* See exceptions, page 55.

** See company notes, page 55.