UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                    FORM 8-K

                                 CURRENT REPORT
     Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934



                       January 19, 2000 (January 18, 2000)
                       -----------------------------------
                Date of Report (Date of earliest event reported)


                                 Rent-Way, Inc.
                                 --------------
             (Exact name of registrant as specified in its charter)


      Pennsylvania                  000-22026               25-1407782
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 (State or other jurisdiction  (Commission File Number)    (IRS Employer
          of corporation)                                  Identification No.)



One RentWay Place, Erie, Pennsylvania        16505
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(Address of principal executive offices)    Zip Code



Registrant's telephone number, including area code:       (814) 455-5378
                                                     --------------------------





Item 5.           Other Events


The registrant issued the following press release on January 18, 2000:

Erie,  PA.-- Rent-Way,  Inc. (NYSE:  RWY) today announced that it has acquired a
49% interest in DPI Teleconnect, LLC, a privately-held provider of prepaid local
phone  service.  Rent-Way has agreed to acquire an additional  21% interest upon
receipt of regulatory  approvals.  DPI is currently  licensed to offer  pre-paid
local  phone  service in 21 states and is working to expand to over 40 states by
the end of 2000.

"We are very  excited  about this  investment",  said  William  E.  Morgenstern,
Chairman and CEO of Rent-Way. "We have looked at this business for nearly a year
and have had very successful tests in about 70 of our stores." According to Dave
Dorwart, President and CEO of DPI, "Historically,  individuals who, for whatever
reason,  could not meet the credit or deposit  requirements  of the local  phone
companies have done without a phone.  The service DPI offers  provides them with
access to local phone service,  911 and the Internet.  Partnering  with Rent-Way
will allow DPI to grow more  quickly and become a leader in the  pre-paid  local
phone service industry."

In addition to offering its service through RentWay stores,  DPI offers pre-paid
phone service through 25 other agents in over 550 locations.  "Agents, including
RentWay, receive the benefit of additional traffic in their locations as well as
a ten  percent  commission  from the sale of the  service.  DPI's  agent base is
strong and growing,  and consists of high quality public and private  companies.
DPI intends to sign up 60-80 new locations per month.  Partnering  with Rent-Way
benefits all the agents  because more stores in the network  allow DPI to spread
increased  dollars over a larger base to generate  more  traffic",  according to
Dorwort.

"One  of our key  considerations  in  making  this  move  was  the  strength  of
management and systems"  Morgenstern said. "The DPI team is a high quality group
that has invested in systems and  technology  that are  scaleable and will allow
them to grow quickly." In addition to pre-paid local phone service, DPI plans to
offer pre-paid long distance sometime next month.  Research into the possibility
of offering  pre-paid  Internet  access to  customers  without  credit  cards is
underway as well.

Rent-Way's  investment in DPI is expected to total  approximately  $7.5 million.
"This is a start up company with only a one year history. As a start up, DPI has
grown  explosively.  Sales for 1999 were just over $2.5  million.  However,  the
first  customer  wasn't  signed up until May of 1999.  Currently  there are over
14,000  customers  paying  about $50.00 per month."  said  Morgenstern.  "If the
execution of DPI's roll out plan is successful, sales in 2000 could reach nearly
$20 million."  DPI's impact on Rent-Way's  Calendar 2000 earnings is expected to
be neutral  because  commission  income  generated  by sales in its stores  will
probably be offset by Rent-Way's share of DPI's losses resulting from adding new
locations and agents. "We have no way of knowing the upside of this investment."
said  Morgenstern.  "We do know,  according to the 1990  census,  that there are
about 6 million  households wired for service with dead dial tones. We believe a
significant  percent of those homes are located close to RentWay stores or DPI's
agent locations."

Rent-Way is the second-largest  operator of  rental-purchase  stores in the USA.
Rent-Way  rents  quality,  brand  name  merchandise  such as home  entertainment
equipment,  furniture and major  appliances  through 1088 stores operating in 41
states.

For more information visit www.rentway.com



This  release  contains  forward-looking  statements  within the  meaning of the
Private  Securities  Litigation  Reform  Act of  1995.  The  accuracy  of  these
statements,  which involve expectations regarding future events, are necessarily
subject  to  uncertainties  and risks  that may cause  actual  results to differ
materially  from such  statements.  Among  the  factors  that may  cause  such a
difference  are the  possibility  that  Rent-Way  does not receive the approvals
necessary to acquire an  additional  21% interest in DPI, that DPI as a start-up
company is unable to execute its growth plan  profitably  or at all and the risk
that the market  for DPI's  services  disappears  or  changes  (whether  through
technological advances or otherwise) or is not as large as anticipated.
















































                                   SIGNATURES


Pursuant to the  requirements  of the  Securities  and Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.





                                                       Rent-Way, Inc.
                                             ----------------------------------
                                                        (Registrant)





Date      January 19, 2000                          /s/ Matthew J. Marini
- ------------------------------------        -----------------------------------
                                                           (Signature)
                                                         Matthew J. Marini
                                        Controller and Chief Accounting Officer