TCR_Public/950803.MBX

BANKRUPTCY CREDITORS' SERVICE, INC.





        ELJER INDUSTRIES ANNOUNCES SECOND QUARTER RESULTS

         

            DALLAS, Texas--August 2, 1995--Eljer
        Industries, Inc. (NYSE:ELJ) today reported results for the second
        quarter and six months ended July 2, 1995.  For the second quarter,
        the net loss was $1,206,000 or $0.17 per share compared with net
        income of $2,386,000 or $0.34 per share in the same quarter a year
        ago.  Second quarter 1995 operating income was $3,114,000 compared
        with $5,109,000 in the same period last year.  Net sales were
        $92,416,000 compared with $103,356,000 in the second quarter of
        1994.   

         

            The second quarter was impacted by a weaker North American
        housing market which resulted in decreased sales in the Company's
        North American operations.  In addition, the gross margin was
        reduced by continued high raw material costs for stainless steel,
        aluminum, brass, copper and polybutylene resin which has not yet
        been fully offset by price increases given the competitive market
        conditions.  The Company reduced SG&A and litigation costs during
        the quarter, while interest expense increased 34% due to scheduled
        rate increases on debt and an amendment to the credit agreement
        effected in late 1994 to improve liquidity.  At the same time, the
        Company's European operations improved substantially in the second
        quarter reflecting the ongoing benefit of a re-engineering program
        instituted in the second half of 1994.   

         

            For the first six months of 1995, the net loss was $2,088,000 or
        $0.29 per share compared with net income of $2,746,000 or $0.39 per
        share in the same period of 1994.  Operating income was $5,538,000
        compared with $8,107,000 in the first half of 1994.  Net sales were
        $191,471,000 versus $194,231,000 in the comparable period last year.

         

            Litigation costs in the second quarter totaled $1,834,000 offset
        by a $1,076,000 reduction in litigation reserves at HREF="chap11.usbrass.html"> United States Brass Corporation, the Company's
indirect, wholly-owned subsidiary
        which is, as previously disclosed, maintaining its net book value at
        zero during the course of its bankruptcy proceeding.  For the first
        half of 1995, the reserve reduction totaled $2,242,000.  U.S. Brass,
        Eljer Manufacturing and the Company filed an amended Plan of
        Reorganization and disclosure statement in U.S. Brass' voluntary
        Chapter 11 bankruptcy on June 16, 1995 and a hearing on the amended
        disclosure statement is scheduled for August 22, 1995.   

         

            Scott Arbuckle, President and Chief Executive Officer,
        commented: "With new housing starts down more than 15% from last
        year and raw material costs at historic highs, the second quarter
        was the most difficult we have seen in some time.  We are continuing
        the process of reducing expenses to match current market levels as
        well as implementing programs and systems that are making us more
        cost effective and competitive.  The benefits of these efforts will
        be more fully realized in 1996 since we will be absorbing severance
        and related costs resulting from these actions during 1995.  We are
        particularly pleased with the substantial progress of our European
        operations which is expected to continue into the second half of the
        year."   

         

            Eljer Industries, Inc. is a leading manufacturer and marketer of
        high quality building products, including plumbing, heating and
        venting products, for the residential and commercial construction,
        remodeling and repair, and do-it-yourself markets.  -0-  

        
         
                      ELJER INDUSTRIES, INC. AND SUBSIDIARIES

                          CONDENSED STATEMENTS OF INCOME
                                    (unaudited)
                     (In thousands, except per share amounts)
         
                           For the Three Months   For the Six Months
                                   Ended                 Ended
                             7/2/95    7/3/94      7/2/95     7/3/94
         
        NET SALES              $ 92,416  $103,356    $191,471   $194,231
         
                                    
        COST OF SALES            69,606    75,921     145,263    142,528     
         
        GROSS PROFIT             22,810    27,435      46,208     51,703   
         
        SELLING & ADMINISTRATIVE
           EXPENSES              18,938    20,415      38,419     40,325
         
        LITIGATION AND
          RELATED COSTS             758     1,911       2,251      3,271
         
        INCOME FROM OPERATIONS    3,114     5,109       5,538      8,107
         
        OTHER EXPENSE, net          827       432         931        757
         
        INTEREST EXPENSE, net     3,536     2,579       6,665      5,656
         
        INCOME (LOSS) BEFORE
          INCOME TAXES           (1,249)    2,098      (2,058)     1,694
         
        INCOME TAX (BENEFIT)
         EXPENSE                    (43)     (288)         30     (1,052)
         
        NET INCOME (LOSS)      $ (1,206)     2,386    $ (2,088) $   2,746
         
                                     
        NET INCOME (LOSS)
         PER SHARE            $   (0.17)  $   0.34    $ ( 0.29)  $   0.39
         
                                     
        WEIGHTED AVERAGE
           NUMBER OF  
        COMMON SHARES         7,130      7,121       7,130      7,110      
         
         
         
        CONTACT: Morgen-Walke Associates, New York

                 Lynn Morgen/June Filingeri
                 Stan Froelich, Media contact, 212/850-5600
                 Ken Pieper, 214/663-9390





        The Harvey Group Inc. seeks to reorganize under Chapter 11  

         

            SACAUCUS, N.J.--Aug. 3, 1995--The Harvey
Group Inc.
announced today that it has filed under the Federal Bankruptcy
        laws for Chapter 11 reorganization.  The company further stated that
        it is continuing to seek additional equity financing from various
        financing sources.

         

            Arthur Shulman, president and CEO of the Harvey Group, stated,
        "We hope that this reorganization can be accomplished quickly and
        that the Company will emerge as a stronger enterprise with the
        ability to continue to provide high quality audio/video consumer
        electronics to our customers."

         

            Based in Secaucus, Harvey Electronics is a specialty retailer of
        high-quality audio/video consumer electronics and home theater
        products with seven stores in the Metropolitan New York area.

         
        CONTACT: The Harvey Group Inc.  
                 Arthur Shulman/Joseph J. Calabrese
                 201/865-3418  
                 201/865-0342 (fax)  



         

        IRG TECHNOLOGIES, INC. FILES VOLUNTARY PETITION FOR REORGANIZATION UNDER
CHAPTER 11

         

            CARROLLTON, Texas--Aug. 3, 1995--IRG
        TECHNOLOGIES, INC. (Nasdaq: IRGT)
announced today that on Aug. 2,
        1995, the company and each of its subsidiaries filed a voluntary
        petition for reorganization under Chapter 11 of the U.S. Bankruptcy
        Code in the United States Bankruptcy Court, Northern District of
        Texas, Dallas Division.  As a result of the previously disclosed
        liquidation of its inventory and collections of accounts receivable,
        the company has repaid all of its outstanding indebtedness under its
        bank line of credit facility and the facility has been terminated.
        Additionally, the company has reduced its workforce to 15 employees.
        The company has entered into an agreement with its largest creditor
        pursuant to which the creditor has agreed to support and vote in
        favor of a plan of reorganization being developed by the company,
        provided that, among other things, the plan of reorganization is
        filed by Dec. 1, 1995 and confirmed by March 1, 1996.  There can be
        no assurance that this plan of reorganization will be acceptable to
        any of the company's other creditors.   

        

            The company also announced that Mr. Bernard Appel resigned from
        the company's board of directors, effective June 2, 1995.  Mr. Nasim
        Aziz, the executive vice president of the company, was subsequently
        appointed as a director to fill the vacancy created by Appel's
        resignation.   

         

        CONTACT:  Aino Alber, CFO, IRG TECHNOLOGIES, INC., 214/481-3473.