TCR_Public/950822.MBX

BANKRUPTCY CREDITORS' SERVICE, INC.






        SLM INTERNATIONAL ANNOUNCES 1995 SECOND QUARTER AND SIX MONTH RESULTS  
   

      

            NEW YORK, NY--Aug. 22, 1995--SLM International,
        Inc. (Electronic Bulletin Board: "SLMI") announced operating results
        for the second quarter and six months ended July 1, 1995.  The
        Company also announced it has filed its Form 10-Q for the quarter
        ended July 1, 1995 with the Securities and Exchange Commission on
        August 21, 1995.   
   

      

            Net sales from continuing operations for the second quarter
        ended July 1, 1995 were $38.2 million, compared to $45.3 million for
        the same period in 1994.  The loss from continuing operations was
        $12.3 million, or $0.65 per share, in 1995, compared to income of
        $1.4 million, or $0.08 per share, in 1994.  The loss from continuing
        operations, which includes the Company's sporting goods business,
        primarily reflected the unfavorable impact of $7.0 million for the
        settlement of environmental litigation and $4.7 million of
        professional fees and higher interest costs related to defaults with
        its lenders.  Excluding such items, the Company's second quarter
        loss from continuing operations would be approximately $0.6 million.
        The 1995 loss from continuing operations also reflects the negative
        impact of inadequate cash availability resulting in inventory
        shortfalls versus customer orders and the adverse impact of the
        hockey and baseball strikes.  The net loss for the second quarter of
        1995 was $37.9 million, or $2.01 per share, compared to a net loss
        of $3.4 million, or $0.18 per share, for the prior year.  The net
        loss for 1995 reflects the loss from continuing operations and a
        loss from discontinued operations as a result of the completion of
        the sale of the Company's discontinued Buddy L   
        toy and fitness businesses out of bankruptcy in early July 1995.   
   

      

            Net sales from continuing operations for the six months ended
        June 30, 1995 were $69.0 million, compared to $70.2 million for the
        same period in 1994.  Loss from continuing operations was $19.6
        million, or $1.03 per share, in 1995, compared to income of $0.9
        million, or $0.05 per share, in 1994.  The loss from continuing
        operations reflected the unfavorable impact of $7 million for the
        settlement of environmental litigation and $7.2 million of
        professional fees and higher interest costs related to defaults with
        its lenders.  Excluding such items, the Company's first half 1995
        loss from continuing operations, would be approximately $5.4
        million. The 1995 loss from continuing operations also reflects the
        negative impact of inadequate cash availability resulting in
        inventory shortfalls versus customer orders and the adverse impact
        of the hockey and baseball strikes.  The net loss for the first six
        months of 1995 was $45.2 million, or $2.39 per share, compared to
        net loss of $4.8 million, or $0.25 per share, for the prior year's
        six month period.  The net loss for 1995 reflects the loss from
        continuing operations and a loss from discontinued operations as a
        result of the completion of the sale of the Company's discontinued
        Buddy L toy and fitness businesses out of bankruptcy in early July
        1995.   
   

      

            The Company's loss for the second quarter and six months ended
        July 1, 1995 includes an expense of $7 million relating to the
        settlement of an environmental lawsuit brought in Vermont Superior
        Court by the owner of a property adjacent to the Company's
        manufacturing facility in Bradford, Vermont.  The Company has paid
        $1 million in cash to the property owner and has agreed to deliver
        its $6 million Term Note due June 28, 2000, bearing interest at 10%
        per annum, with principal amortization on a 20 year schedule.   
   

      

            Howard Zunenshine, Chief Executive Officer of SLM International,
        Inc., stated, "We believe our core sporting goods business is a
        platform for growth, and our brand name is widely recognized in the
        marketplace.  Since the completion of Buddy L, we are now better
        able to focus on our objectives, including profit augmentation
        through product line expansion and enhancement.  With the expansion
        of the National Hockey League into warm weather climates and the
        hockey and baseball strikes behind us, we look forward to improved
        results.  In addition, we believe that the previously announced
        Standstill Agreements with our lenders and the retention of Bear
        Stearns & Co.  Inc. to assist us in exploring a wide variety of
        possible financial transactions, including refinancing outstanding
        debt and obtaining additional equity capital, are two other positive
        developments."   
   

      

            SLM International, Inc. designs, develops, manufactures and
        markets a broad range of sporting goods products on a worldwide
        basis.


                               SLM INTERNATIONAL, INC.
                       CONSOLIDATED STATEMENT OF OPERATIONS
                         (In thousands, except share data)
         
                             Three Months Ended   Six Months Ended   
                             07/01/95  07/02/94  07/01/95  07/02/94
                                       Restated            Restated
         
        Net sales                $ 38,173  $ 45,272  $ 68,951  $ 70,157
         
        Cost of goods sold         23,537    26,148    43,784    41,778
         
        Gross profit               14,636    19,124    25,167    28,379
         
        Selling, general and
         administrative expenses   12,847    15,142    26,018    24,203
         
        Operating (loss) income     1,789     3,982      (851)    4,176
         
        Debt related fees           3,556       ---     5,277       ---
         
        Litigation settlement       7,000       ---     7,000       ---
         
        Other expense (income),
         net                          122        64       156       (18)
         
        Interest expense            3,438     1,738     6,310     2,803
         
        (Loss) income from
         continuing operations
         before income taxes      (12,327)    2,180   (19,594)    1,391
         
        Income taxes                  ---       751       ---       487
         
        (Loss) income from
         continuing operations    (12,327)    1,429   (19,594)      904
         
        (Loss) from discontinued
         operations, net of
         income tax benefit          ---    (4,819)      ---    (5,696)
         
        (Loss) from disposition
         of discontinued
         operations, net of
         income taxes of nil      (25,569)      ---   (25,569)      ---
         
        Net (loss)               $(37,896) $ (3,390) $(45,163) $ (4,792)
         
        (Loss) income per
         share from continuing
         operations              $  (0.65) $   0.08  $  (1.03) $   0.05
         
        (Loss) per share from
         discontinued operations      ---     (0.26)      ---     (0.30)
         
        (Loss) per share from
         disposition of
         discontinued operations    (1.36)      ---     (1.36)      ---
         
        Net (loss) per share     $  (2.01) $  (0.18) $  (2.39) $  (0.25)
         
        Average shares
         outstanding           18,589,679  18,838,000 18,859,679 18,831,000
         
        CONTACT:  Howard Zunenshine
                  Chief Executive Officer
                  514/331-5150
                  John A. Sarto
                  Chief Financial Officer
                  212/675-0070
                        or
                  IR CONTACT:
                  June Filingeri/Melissa Garelick
                  Press:  Lisa Bradlow
                  Morgen-Walke Associates
                  212/850-5600