TCR_Public/950613.MBX


BANKRUPTCY CREDITORS' SERVICE, INC.





        BRENDLE'S REPORTS RESULTS FOR FIRST QUARTER FYE 1996
   

      
       

     ELKIN, N.C.--June 13, 1995--Brendle's
Incorporated (Nasdaq: BRDL)
today reported results for the quarter ended April
        29, 1995, the first quarter of its fiscal year ending January 27,
        1996 ("Fiscal 1996"). The Company's revenues for the quarter were
        $24,153,000 compared with revenues of $25,977,000 for the same
        period last year, a decrease of approximately seven percent (7%).
        The company incurred a net loss of $3,845,000 or ($.30) per share,
        compared with a net income of $24,833,000 or $2.96 per share in the
        same period last year.
        


            David R. Renegar, the Company's Chief Financial Officer,
        explained that comparing revenues and net income (loss) for the
        first quarters of Fiscal 1995 and Fiscal 1996 is somewhat
        complicated.  "Just prior  to the end of the first quarter of Fiscal
        1995, we achieved substantial consummation of our Plan of
        Reorganization.  We were very close to emerging from bankruptcy
        proceedings and, as a result, experienced a number of unusual
        financial occurrences.  For instance, the Net Income for the first
        quarter of Fiscal 1995 included reorganization costs of $246,000 and
        debt forgiveness of $28,673,000.  The first quarter of Fiscal 1996,
        on the other hand, reflects a more normalized operating picture,"
        explained Mr. Renegar.
   

      
       

     Mr. Renegar further explained that looking at a comparison of
        the Company's earnings (loss) before interest, taxes, depreciation,
        amortization and reorganization items (EBITDA) better reflects the
        Company's actual operating results.  EBITDA for the first quarter of
        Fiscal 1996 was a loss of $2,305,000 compared to a loss of
        $2,363,000 for the first quarter of Fiscal 1995.  The improvement
        was primarily the result of improved gross margin percentages and a
        reduction in operating expenses.  The Company's business is seasonal
        with a substantial portion of its revenues being realized during the
        Christmas season.
        


            Commenting on the Company's performance, Joe McLeish, Jr., the
        Company's recently installed President and Chief Executive Officer,
        stated that, "the sales decrease was a direct result of our
        eliminating two sales promotions in the first quarter and moving a
        third promotion into the second quarter to better correspond with
        Mother's Day.  Our planned adjustments to our promotions, however,
        resulted in a cost savings to the Company and a higher gross margin
        percentage for the quarter.  We were glad to see that we were able
        to improve our results at the EBITDA level and will continue to
        implement new strategies to improve our profitability."
   

      

              BRENDLE'S INCORPORATED FINANCIAL HIGHLIGHTS
         
                                   Three Months Ended
        000s                 April 29, 1995    April 30, 1994
         
        Total Revenues          $ 24,153        $  25,977
         
        Loss before interest,
         taxes, depreciation,
         amortization,
         restructuring and
         extraordinary items     ( 2,305)         ( 2,363)
         
         Interest                (   676)         (   352)
         
         Depreciation and
          Amortization           (   864)         (   879)
         
         Restructuring                --          (   246)
         
         Extraordinary Income
          (Debt Forgiveness)          --           28,673
         
           Net Income (Loss)         ( 3,845)          24,833
         
           Earnings (Loss) per
        share                    (  0.30)            2.96
         
           Average Shares
        Outstanding               12,759            8,398
     


        /CONTACT:  David R. Renegar, Vice President and CFO, Brendle's
        Incorporated, 910-526-6511/