LOS ANGELES, Ca--June 19, 1995--The Official Committee of
        Unsecured Creditors (the "Creditors' Committee") for HREF="chap11.firstcapital.html">First Capital
        Holdings Corp. ("FCH")
, its wholly owned subsidiaries First Capital
        Life Insurance Group Inc. ("FCL Group") and Fidelity Bankers
        Insurance Group Inc. ("FB Group") (collectively the "Debtors"),
        announced today that they have reached an agreement (the
        "Settlement") with Shearson Lehman Brothers Inc. and Shearson Lehman
        Brothers Holding Company Inc. (collectively, "Shearson") and a
        number of FCH's current and former officers and directors
        (collectively the "Defendants"), which resolves the claims which the
        Creditors' Committee has been prosecuting against the Defendants.
        Pursuant to the Settlement, Defendants will pay to the Debtors'
        Chapter 11 estates the sum of $80 million plus interest, which will
        help fund a contemplated plan of reorganization, and the Creditor's
        Committee and the Debtors will release all claims they may have
        against the Defendants.

            The Settlement is conditioned on final documentation and entry
        of a Bankruptcy Court order approving the settlement.  The
        Creditors' Committee and Debtors currently contemplate filing the
        pleadings seeking entry of such an order by the end of June and
        obtaining a hearing during early August, 1995.


            In addition, a Memorandum at Understanding by and among the
        Creditors' Committee and the senior bank group for whom Citibank,
        N.A. acts as agent, regarding the terms of a proposed plan of
        reorganization for the Debtors can now be implemented an a result of
        the Settlement with Defendants.  No plan or disclosure statement has
        yet been filed with the Bankruptcy Court and implementation of the
        Memorandum of Understanding is expressly contingent upon both:  (1)
        consummation of the Settlement of the litigation; and (2)
        confirmation of a plan of reorganization implementing the Memorandum
        of Understanding.


            The Memorandum of Understanding provides that bondholders who
        currently hold bonds in the aggregate face amount of approximately
        $120 million will receive their pro rata share of $6 million and, on
        a pro rata basis together with the holders of general unsecured
        claims, 20% of the net value of the following assets:  (1) any
        amounts received by the Debtors as a consequence of their
        subordinated claims against First Capital Life Insurance Company
        Inc. ("First Capital Life") pursuant to its rehabilitation plant,
        (2) any proceeds from disposition by FCL Group of its 26% interest
        in World Wide Reassurance Company Ltd.; (3) any investment of new
        capital into FCH in conjunction with the plan of reorganization (not
        to exceed $1 million to bondholders and $500,000 to general
        unsecured creditors); and (4) any reduction of the aggregate amount
        of certain administrative expenses below $7.0 million.  It is
        impossible at this time to predict the likely recovery as the result
        of the First Capital Life rehabilitation plan, the likely sales
        proceeds from a disposition of World Wide Reassurance Ltd. the
        magnitude of any future equity investment in FCH, or the amount of
        the reduction, if any, in the administrative claims.


            If the cash on hand at the time of plan confirmation after
        payment of all administrative expenses is less than $91.5 million
        the distribution to general unsecured creditors and the holders of
        FCH bonds will be reduced by 24.59% of any such shortfall.  It is
        impossible at the present time to determine whether the cash on hand
        will total as much as the cash payment threshold, because the
        calculation is net of all administrative priority expenses.  The
        cash on hand after the contemplated settlement in consummated will
        be approximately $110.6 million.  That cash will continue to accrue
        interest pending confirmation of a plan.  The administrative
        priority expenses as of the effective date of any plan will be
        substantial.  The administrative claims already accrued at the
        prevent time are approximately $20.0 million and additional fees
        will accrue in the future.  Most of these administrative claims are
        still subject to Bankruptcy Court approval.


            Because it is impossible to determine whether the cash on hand
        when the plan is confirmed will reach the $91.5 million threshold,
        or the value of the other assets in which bondholders may share,
        neither FCH nor the Creditors' Committee has estimated at this tine
        the actual distribution that will be made to bondholders if a plan
        of reorganization based on the Memorandum of Understanding is
        confirmed. Nor have they projected what interest, if any,
        shareholders of FCH will be permitted to retain under any such plan
        of reorganization.


            The Debtors and the Creditors' Committee believe that the
        Memorandum of Understanding will form the basis of a plan of
        reorganization.  The Creditors' Committee has indicated an intent to
        file a plan in the relatively near future.  The Memorandum of
        Understanding will, however, be implemented only if the settlement
        is approved and consummated, and a plan of reorganization is
        confirmed by the Bankruptcy Court.


        /CONTACT:  Veronica Collins of First Capital Holdings, 310-551-1000/





     NEW YORK, New York--JUNE 19, 1995--The
Leslie Fay Companies, Inc.  (NYSE: LES)
today announced that, in consultation
        with its Creditors' Committee and lenders, its Board of Directors
        has approved a revised business plan for Leslie Fay to restructure
        its core dress and sportswear businesses, creating a streamlined,
        more focused company that will emerge from chapter 11 later this


        Highlights of the plan are as follows:

         o    The restructured Leslie Fay will continue to serve its long-
         standing department store customers with its Leslie Fay Dress,
         Leslie Fay Evenings, Leslie Fay Sportswear and Outlander product


     o    As previously reported, the Sassco Fashions business will
        either be sold to a private investor group led by its senior management or
         spun off to such management and Leslie Fay's creditors. Sassco
         manufactures women's suits, dresses and sportswear under the Kasper
         for A.S.L. and Albert Nipon labels.

         o    The company may divest its Castleberry knitwear business and
        will sell its ownership interest in Next Day Apparel and various trademarks.


     o    Creditors will receive new equity, debt or other
        considerations in a holding company that will own the core businesses, as  
        well as cash resulting from a sale, or debt and equity securities from a
         spin-off, of Sassco. It is highly unlikely that current equity
         holders will retain or receive any value for their investment in
         Leslie Fay other than, possibly, from pending litigation.


     o    The newly constituted Leslie Fay will be led by John J.
        Pomerantz, Chairman and Chief Executive Officer. Other senior executives of
         the streamlined company will include John Ward, President; and Cate
         Bandel, Executive Vice President.


            Leslie Fay will implement the foregoing transactions via a plan
        of reorganization and disclosure statement, which are expected to be
        filed with the U.S. Bankruptcy Court for the Southern District of
        New York by the end of July. The plan and disclosure statement will
        be subject to the approval of the court.


            "During the past six months, we thoroughly evaluated a variety
        of options to maximize the recovery to our creditors, including a
        sale of the core businesses as going concerns," Mr. Pomerantz said.
        "The Board has determined that the return to our creditors from
        combining the dress and sportswear operations and significantly
        reducing corporate overhead will provide the best value by creating
        a leaner and more entrepreneurial organization.


            "Needless to say, I am very pleased by this decision, because it
        will enable Leslie Fay to be even more responsive to its loyal
        customers in the moderate dress and sportswear markets.  I am also
        excited by the opportunity to rebuild the core Leslie Fay
        businesses, which have been the heart and soul of this company for
        nearly half a century.   


           "Leslie Fay's dress and sportswear businesses have performed
        better in recent months than in a long time,"  Mr.  Pomerantz said.
        "We are offering an exciting product at a good value - and our
        customers are getting a terrific response to it at the retail level.
        This success is due in no small measure to the outstanding efforts
        of our employees.  We are extremely proud of them and look forward
        to accomplishing even more now that our direction is clear and the
        distractions of the past two years are behind us.  There is still a
        lot of hard work ahead, but we are optimistic that the company can
        achieve significant improvements in its operating and financial


            Mr. Pomerantz, 61, has been Chairman and Chief Executive Officer
        of Leslie Fay since 1986. Mr. Ward, 42, is currently President of
        the Leslie Fay Dress Group. He joined the company in 1989 as
        Chairman of the Andrea Gayle division after holding senior
        merchandising positions at B. Altman and Filene's. Ms. Bandel, 36,
        is currently President of the Leslie Fay Sportswear Group. She
        joined the company in January 1994 as President of Sales and
        Marketing, Leslie Fay and Nipon Brands after holding senior
        positions at several other garment manufacturers.


            Founded in 1947, The Leslie Fay Companies, Inc., is one of the
        nation's leading manufacturers of women's apparel, including
        dresses, suits and sportswear.  Its brand names include Leslie Fay,
        Albert Nipon, Kasper for A.S.L., Castleberry, Outlander, and HUE.   

        CONTACT: James Fingeroth

                 Michael Freitag
                 Kekst and Company
                 (212) 593-2655