Oryx Technology Reports Third Quarter

            FREMONT, Calif.--Jan. 12, 1996--Oryx Technology
        Corporation today reported operating results for the three and nine
        month periods ended November 30, 1995.  

            "For the quarter, we are pleased to report record revenues
        primarily due to a significant increase in volume shipments of our
        Power Products unit,"  said Arvind Patel, chief executive officer of
        Oryx.  "This sales gain, however, was offset by higher than expected
        raw material costs.  In the future, we hope to offset the impact of
        these costs through improved purchasing and internal efficiencies.
        During the quarter, we shipped the first two IMCS 11100 units to
        potential customers and received a $4 million contract manufacturing
        commitment for our Reynosa plant."  


            For the third quarter, revenues increased over 43 percent to
        $4.7 million, up from $3.3 million in the third quarter last year.
        Oryx reported an operating loss for the quarter of $998,000 compared
        to an operating loss of $384,000 in the third quarter a year ago.
        After the preferred dividend payment, the net loss for the quarter
        was $1.1 million, or ($0.18) per share on 5.9 million weighted
        average common shares outstanding compared with a net loss in the
        same period a year ago of $390,000, or ($0.12) per share on 3.3
        million weighted average common shares outstanding.  

            The record sales gain was primarily due to increased shipments
        of Power Product units to a leading OEM customer.  The company
        expects revenue growth to accelerate due to their $4 million
        contract manufacturing commitment from Display Technologies
        Electrohome, product acceptance of their IMCS 11000 units, as well
        as commencement of shipments of the TTS-1000 and TTS-2000 secondary
        ion mass spectrometer (SIMS) systems.  

Gross margins for the quarter were lower than expected
        due to higher raw material costs in the Power Products division.
        The company hopes to control the impact of these costs through
        improved purchasing, increased operating efficiencies and by price
        increases. However, at this time there can be no certainty that the
        company will be able to improve its gross margins.  The company also
        continues to incur a high level of research and development and
        sales and marketing expenditures associated with product development
        and roll out of its new products.  


            For the nine months ended November 30, 1995, net sales increased
        nearly 51 percent to $11.5 million, up from $7.6 million in the same
        period in fiscal 1994.  The sales increase was primarily due to
        increased sales from the Power Products Group.  Oryx reported that
        the operating loss for the nine months decreased to $2.2 million
        from $2.4 million in the year ago period.  After the preferred
        dividend payment, the net loss for the nine months ended November
        30, 1995 was $2.3 million, or ($0.41) per share on weighted average
        common shares on 5.7 million shares outstanding, compared to a loss
        of $2.7 million, or ($0.86) per share on 3.1 million shares
        outstanding for the comparable nine months ended November 30, 1994.


            The Company also announced that it has accepted a proposal for a
        new line of credit of up to $2 million from Coast Business Credit, a
        division of Southern Pacific Thrift and Loan Association.  This line
        of credit agreement will replace the company's current $750,000
        agreement with Comerica Bank.  In January 1996, the Company entered
        into a forbearance agreement with Comerica Bank under the terms of
        which the bank waived default in consideration of the Company's
        replacing the line of credit with a third on or before February 28,
        1996.  In addition, Oryx is pursuing private placement financing for
        up to $4 million.  Net proceeds will be used to fund general

            "Looking ahead, we are pleased with the market interest in our
        products, particularly IMCS 11000 and the TTS 2000 units,"
        continued Patel.  "In addition, we are very enthusiastic about the
        internal restructuring we are undertaking to implement a subsidiary
        structure with each of our core business units.  We believe that
        this strategy, which more closely aligns compensation to
        performance, will improve the focus and execution of our product
        development and commercialization programs.  This program also
        underscores our commitment to enhanced profitability and stockholder
        value,"  Patel concluded.  

            Headquartered in Fremont, California, Oryx Technology
        Corporation is a technology management company with a proprietary
        portfolio of high technology products in surge protection, power
        supplies and specialized materials and materials analysis.  The
        company's customers include key OEMs in the fast growing information
        industry: IBM, Xerox, Pitney Bowes and Seagate Technology.  Oryx's
        common stock trades on the Nasdaq Small Cap Issues Market under the
        symbol Oryx.

                        ORYX TECHNOLOGY CORPORATION
                  Three Months Ended              Nine Months Ended
                      November 30,                  November  30,        
                   1995          1994            1995           1994
        Revenue       $4,713,000    $3,283,000     $11,516,000    $7,639,000
        Cost of sales  3,887,000     2,159,000       8,855,000     5,262,000
        Gross profit     826,000     1,124,000       2,661,000     2,377,000
        Operating expenses:
         and selling     438,000       304,000       1,115,000       762,000
        General and
         administrative  608,000       511,000       1,788,000     1,248,000
        Research and
         development     778,000       612,000       1,914,000     1,504,000
        Write off of
         purchased research
          and development     -             -               -      1,275,000
        Total operating
         expenses      1,824,000     1,427,000       4,817,000     4,789,000
        Income (loss)
        from operations (998,000)     (303,000)     (2,156,000)
         expense, net     22,000        34,000          60,000       114,000
        Equity in losses
         of investee      28,000        47,000         131,000       130,000
        Income (loss) before
         income taxes (1,048,000)     (384,000)     (2,347,000)
        income(loss)  (1,048,000)     (384,000)     (2,347,000)
        Preferred stock
         dividend         (4,000)       (6,000)        (10,000)
        Net income (loss)
        attributable to
        common stock ($1,052,000)    ($390,000)    ($2,357,000)
        Net income (loss)
         per common share ($0.18)       ($0.12)         ($0.41)
        Weighted average
         common shares and
         outstanding   5,886,987     3,337,822       5,724,415     3,115,671
                             ORYX TECHNOLOGY CORPORATION
                                        November 30,        February 28,       
                                            1995                1995        
        Current assets:
        Cash                            $           0        $  1,376,000
        Accounts receivable, net of allowance        
         for doubtful accounts
          of $252,000 and $213,000          1,920,000           2,520,000
        Inventories                         3,733,000           2,795,000
        Other current assets                  147,000              65,000
          Total Current Assets              5,800,000           6,756,000
        Property and equipment, net         1,294,000             879,000
        Investments                           106,000             186,000
        Intangible assets, net                208,000             294,000
        Other assets                          185,000             140,000  
                                    $   7,593,000        $  8,255,000
        Current liabilities:
        Current portion
         of long term debt                  2,354,000             817,000
        Accounts payable                    1,909,000           1,303,000   
        Accrued liabilities                   797,000             957,000
           Total current liabilities        5,060,000           3,077,000
        Long term debt
         less current portion                       0           1,451,000
           Total liabilities                5,060,000           4,528,000
        Stockholders' equity:               2,533,000           3,727,000  
                                    $   7,593,000        $  8,255,000

        CONTACT:  Oryx Technology Corp.,
                  Arvind Patel/Andrew Wilson, 510/249-1144


            ROCHESTER, N.Y., Jan. 12, 1996 -- Harris Beach &
        one of New York State's largest and oldest law firms, is pleased to
        announce its recent merger with the New York City based law
        practices of O'Connor Reddy & Seeler, P.C., effective January 1,
        1996.  As a result of the merger, in addition to New York City,
        Harris Beach has added offices in Hackensack, New Jersey and
        Stamford, Connecticut, as well as increased its presence in
        Washington, D.C.  This merger allows Harris Beach to expand its
        geographic reach and offer a full breadth of legal services to its
        clients throughout New York State and the tri-state area.  The
        merger has also strengthened the firm's banking, international and
        intellectual property practices.  O'Connor Reddy & Seeler will
        assume the name of Harris Beach & Wilcox.

            Since 1991, the Rochester-based law firm has followed a strategy
        to meet its clients' statewide needs by opening offices in Albany,
        Buffalo, and Syracuse, as well as maintaining offices in Ithaca and
        Washington, D.C.  New York City represents the last link of the
        "thruway" expansion plan.  Harris Beach will continue to develop the
        new offices to support the evolving needs of the firm's clients.

            "We've found that many of our clients have expanded
        geographically. In order to best serve the needs of these clients,
        we must continue to be accessible to them.  In addition, our
        expansion has better positioned us to explore opportunities with
        potential clients outside of the Rochester area," said Gunther K.
        Buerman, Managing Partner of Harris Beach & Wilcox.  "We are
        delighted to be able to offer our clients a New York City location
        while maintaining our upstate rate structure."

            O'Connor Reddy & Seeler represent a variety of institutional
        clients, multinational corporations, banks and banking institutions
        (both foreign and domestic), and foreign governments.  Attorneys in
        the firm practice in most areas of commercial and banking law,
        including commercial litigation, corporate law, real estate,
        bankruptcies and creditor's rights, commercial contracts, maritime
        law, environmental law, arbitration, taxation, corporate financing,
        and aviation law.  The firm has a significant international practice
        and has affiliate law firms in: Copenhagen, Denmark; Oslo and
        Kristiansund, Norway; Livorno, Italy; London, England; and Paris,

            "The merger with Harris Beach offers our clients expanded
        resources and services," said William M. O'Connor, Managing Partner
        of the New York City office.  "Harris Beach has an excellent
        reputation and we found that we have common philosophies related to
        the practice of law. We look forward to a successful integration and
        the growth opportunities which this merger will bring to our

            Harris Beach & Wilcox, LLP founded in 1856, is a full-service
        law firm with more than 160 attorneys.  The firm is highly
        recognized in the areas of corporate, commercial banking,
        international, environmental, public finance, financial
        restructuring and bankruptcy, litigation, antitrust, health care,
        labor and employment law, commercial real estate, as well as for
        handling sophisticated tax issues.

            The firm's attorneys have a wide breadth of experience, from
        managing all legal aspects of Fortune 500 companies' operations, to
        working with emerging and family-owned businesses and their special
        needs.  There is also an extensive part of the firm's practice
        focused on the needs of the individual, including the areas of
        adoption, matrimonial and family law, tax planning, estate planning,
        personal injury, discrimination, and criminal matters.

        /CONTACT:  Hilary C. Guthrie, Director of Business Development
        and Communications, or Gunther K. Buerman, Managing Partner,
        716-232-4440; or William O'Connor, Managing Partner of the New York
        Office, 212-687-0100, all of Harris Beach & Wilcox/


            NEW YORK, Jan. 12, 1996 -- Isetan of America,
Inc. (IOA),
        100% subsidiary of Isetan, a major retailer in Japan, today
        announced it is filing a suit against Mr. Robert Pressman and his
        brother, Mr. Gene Pressman, owners of href="chap11.barneys.html">Barney's Inc., seeking
        recovery of approximately $168 million of short-term loans by IOA to
        the Preen affiliate of Barney's that were personally guaranteed by
        the Pressman brothers and are now in default.

            The suit being filed in the New York Supreme Court here today
        was precipitated by the Chapter 11 filing late Wednesday by Barney's
        Inc. and its affiliated companies, seeking protection of the
        Bankruptcy Court, according to Mr. Yasuo Okamoto of Hughes Hubbard &
        Reed, IOA's law firm here.

            "These loans by Isetan were personally guaranteed by the
        Pressman brothers," Mr. Okamoto said.  Isetan is Japan's sixth
        largest department store.

            Mr. Okamoto said Preen is also in default on these separate
        short- term loans made in 1993 and 1994 by IOA to the Barney's
        affiliate to cover cost overruns and other capital needs related to
        the construction of two retail stores in New York and Beverly Hills.
        IOA owns three of the Barney's major retail locations.  The other is
        in Chicago.

            Barney's management asked IOA for emergency short-term loans
        primarily to cover the cost overruns.  Upon consultation with
        financial and legal advisors, IOA agreed to provide the loans in
        exchange for individual guarantees from the Pressman brothers and
        Barney's representations as to the substantial financial worth of
        Preen, as well as various collateral and other considerations.

            Mr. Okamoto said Preen defaulted on the emergency short-term
        loans beginning in March of 1995.  Barney's Inc. also is in default
        of rental payments due on the retail properties owned by IOA
        entities.  These rental payments are believed to be related to the
        law suit against Isetan announced by Barney's on Thursday.

            At a meeting in Japan at the end of November, Mr. Robert
        Pressman reported to Isetan that Barney's had been incurring
        significant losses on an operational basis for some time.  That
        disclosure contradicted all previous financial information to Isetan
        by Barney's Inc., reporting consecutive quarterly profitability, Mr.
        Okamoto said.

            The original agreement between Isetan and Barney's Inc. involved
        several specific responsibilities in the U.S. and Japan, calling for
        limited real estate investments by Isetan.  It was never an open-
        ended global business expansion partnership, Mr. Okamoto said.

            Speaking on behalf of Isetan management, he said "we regret the
        less than candid manner in which the management of Barney's Inc. has
        communicated with us about the financial condition of their company.
        We now must use all legal methods available to us under the
        agreements and vigorously protect the interest of IOA, Isetan and
        its shareholders in the bankruptcy proceedings."

        /CONTACT:  Yasuo Okamoto of Hughes Hubbard & Reed, 212-837-6760; or
        Bill Cox of Dentsu Burson-Marsteller, 609-896-3250/


            TROY, Mich., Jan. 12, 1996 -- Kmart Corporation
        today said that Standard & Poor's decision to downgrade the
        Company's senior debt rating to "BB" from "BBB" is "excessively

        In a statement, Kmart Chairman, President and CEO, Floyd Hall said:

            "This action by Standard & Poor's is unwarranted.  We are
        working aggressively to improve financial performance by
        strengthening our merchandising and store operations.

            "While we are disappointed with the rating, this action will not
        interfere with our efforts to effectively pursue a turnaround
        strategy and explore additional financial alternatives to enhance
        our liquidity and financial flexibility.  Kmart's new management
        team is fully committed to these plans which have the support of our
        principal banks, insurance companies, factors, vendors, employees
        and customers.

            "As announced yesterday, the requisite banks have agreed in
        principle to the elimination of the put provisions on approximately
        $550 million of real estate debt and to extend the terms of certain
        of Kmart's revolving credit facilities.  Kmart also has obtained
        signatures from all 22 of the non-bank institutions required to
        eliminate these puts.  Pending closing, the downgrade-related
        provisions on this real estate debt are substantially eliminated.
        As a result of these agreements in principle, Kmart does not expect
        that the action by the rating agency will have any immediate
        material effect on the Company."

            Kmart Corporation serves America with more than 2,163 Kmart and
        169 Builders Square retail outlets in all 50 states, Puerto Rico,
        the U.S. Virgin Islands and Guam.  Kmart International operations
        extend to Canada, the Czech Republic, Slovakia, and through joint
        ventures, to Mexico and Singapore.

        /CONTACT:  Robert M. Burton, Director, Investor Relations,
        810-643-1040, or Mary Lorencz, Director, Media Relations, 810-643-
        both of Kmart/

Mechanical Technology announces fiscal
        year 1995 financial results -- restructures debt

            LATHAM, N.Y.--Jan. 12, 1996--Mechanical
        Technology Incorporated (MTI) has announced financial and operating
        results for the 1995 fiscal year which ended on September 30.

            The company also announced that it has reached agreement with
        its primary lenders on the terms of a debt restructuring.

            Sales for the year ended Sept. 30, 1995 were $29,748,000
        compared with $40,234,000 for the prior year.  The decrease in sales
        was entirely attributed to the sale of MTI's subsidiary, ProQuip
        Inc., during the first quarter of fiscal 1995.  Excluding ProQuip,
        sales increased $2,161,000 or 9% in 1995 compared to 1994.

            Reported 1995 net income totaled $2,922,000 or 82 cents per
        share compared with a net loss of $24,378,000 or ($6.91) per share
        in 1994.  Earnings for 1995 include a $6,779,000 gain on the sale of
        ProQuip offset by a write-off of goodwill of $1,590,000 associated
        with the carrying value of MTI's investment in its subsidiary in
        Anaheim, Calif., Ling Electronics Inc.  Prior year earnings include
        a $24,519,000 net loss from discontinued operations due to the
        voluntary bankruptcy of the company's United Telecontrol Electronics
        Inc. subsidiary and a $1,152,000 (after tax) gain on the sale of a

            Sales for the fourth quarter of fiscal year 1995 were $7,118,000
        with a net loss of $3,355,000 (including the $1,590,000 write-off of
        goodwill) compared to 1994 sales of $14,870,000 (including
        $8,204,000 from ProQuip) with a net loss of $4,236,000 (including a
        net loss from discontinued operations of $4,341,000 and net income
        from ProQuip of $2,112,000).  Excluding ProQuip, fourth quarter
        sales increased by $452,000 or 7% in 1995 compared to 1994.

            The company has also announced that it has reached agreement
        with its primary lenders to extend the terms of its outstanding
        debt.  Maturities on the term loan with Chase Manhattan Bank and the
        line of credit with Chemical Bank have been extended through Oct.
        31, 1998.  The company has also negotiated a one year extension of
        its note payable through Dec. 31, 1996, and continues to seek a more
        permanent restructuring of this obligation.

            MTI provides contract technology development and engineering
        services and is a manufacturer of advanced products for the test and
        measurement markets.  The company was founded in 1961 and is
        headquartered in Latham.  The company's stock trades on the Over the
        Counter Exchange and is listed under the symbol MTIX on the "pink

                         Mechanical Technology Inc.
                      Consolidated Financial Summary
            (Amounts, other than per share, are in thousands)
        Operating Results
                         Three Months Ended       Twelve Months Ended
                       Sept. 30,     Sept. 30,   Sept. 30,    Sept. 30,
                         1995          1994         1995         1994
        Sales               $7,118       $14,870      $29,748      $40,234
        Income (loss) from
         operations (a)     (3,355)          105        2,922          141
        Income (loss) from
         operations              0        (4,341)           0      (24,519)
        Net income (loss)  $(3,355)      $(4,236)      $2,922     $(24,378)
        Earnings (loss) per
          operations        $(0.94)       $ 0.03       $ 0.82       $ 0.04
          operations          0.00         (1.23)        0.00        (6.95)
        Net income (loss)   $(0.94)       $(1.20)      $ 0.82       $(6.91)
        Average shares
         outstanding         3,566         3,529        3,560        3,530
        Financial position
                                       As of
                        Sept. 30, 1995        Sept. 30, 1994
        Cash                      $ 78               $ 1,820
        Current assets          11,566                20,155
        Total assets           $14,483               $25,317
        Current liabilities    $10,972               $28,743
        Long-term debt           6,222                 2,144
        Total liabilities       17,973                31,735
        Net worth               (3,490)               (6,418)
        Total liabilities and
         net worth             $14,483               $25,317
        (a) Results for the three and twelve months ended Sept. 30, 1995
        include a $1,590,000 impairment loss on the carrying value of the
        company's Ling subsidiary.  Also, the results for twelve months
        ended Sept. 30, 1995 include the gain on sale of the company's
        ProQuip subsidiary sold in November 1994 of $6,779,000.  Results for
        twelve months ended Sept. 30, 1994 include the gain (after tax) on
        the sale of a building sold in November 1993 of $1,152,000.

        CONTACT:  Mechanical Technology Inc.,
                  R. Wayne Diesel, 518/785-2334


            CHICAGO, Jan. 12, 1996 -- Duff and Phelps Credit
        Company (DCR) has assigned a 'BB-' (Double-B-minus) rating to $1
        billion of first mortgage bonds to be issued by href="chap11.elpaso.html">El Paso Electric
(ELPAQ) upon its emergence from bankruptcy.  ELPAQ's
        proposed plan for reorganization was approved by the federal
        bankruptcy court January 9, 1996, after having received approval
        from the company's creditors and stockholders.

            ELPAQ's capital structure will be comprised of $1.2 billion of
        senior secured debt, which includes $200 million of collateralized
        pollution control revenue bonds, and $100 million of preferred
        securities.  DCR views the 10-year rate agreement and new
        cooperative environment with the City of El Paso as positive
        developments as they reenter the competitive marketplace.  ELPAQ's
        management is committed to additional cost reductions and expense
        savings and has as an incentive the ability to retain all benefits

            ELPAQ generates and distributes electricity to more than 270,000
        customers in El Paso, Texas, West Texas, and southern New Mexico.
        ELPAQ also delivers power to wholesale customers in southern
        California and Mexico.

        /CONTACT:  Thomas M. Carroll, CPA, CFA, 312-368-3140, or
        Catherine E. Drake, 312-368-2065, both of Duff & Phelps Credit


            DALLAS, Jan. 12, 1996 -- Search
Capital Group, Inc.
        Bulletin Board: SRCG) today announced that it filed a complaint and
        motion for a preliminary injunction in the U.S. Bankruptcy Court
        Dallas Division to enjoin a minority group of noteholders and their
        attorneys from prosecuting a class action suit against Search.
        Search itself is not in bankruptcy but is a co-proponent of certain
        fund subsidiaries' Joint Plan of Reorganization.  The announcement
        was made by Search chairman and CEO, George C. Evans.

            While the class action suit was filed against Search in the U.S.
        Federal District Court for the southern District of Mississippi on
        Dec. 21, 1995, notice of its filing was not mailed to Search by the
        plaintiffs' attorney until Jan. 8, 1996.

            In its motion for injunctive relief, Search identifies that the
        class action suit is brought by a group of Noteholders (the
        "Mississippi Noteholders") who are creditors in the existing
        bankruptcy case of the Fund subsidiaries.

            The fund subsidiaries' Joint Plan of Reorganization was
        vigorously negotiated between Search and the Creditors' Committee
        and provides two recovery options for satisfaction of the claims of
        all noteholders.  In addition, the Joint Plan establishes a
        Litigation Trust that can pursue securities or common law litigation
        against Search, its directors and officers and others.  In its
        motion and complaint, Search asserts that the Mississippi
        Noteholders are attempting to create another vehicle through which
        they may recover on their claims against the bankrupt Fund

            The Joint Plan is currently being voted on by all noteholders.
        The recovery options outlined in the Joint Plan are: the Search
        Equity Option and the Collateral Option.  The Search Equity Option
        involves the exchange of the creditors debt for a combination of
        Search common stock and a new issue of preferred stock.  Therefore,
        Search states that injunctive relief is essential to protect the
        value of the Search equities which creditors will be receiving in
        satisfaction of their claims.

            "We believe that this complaint brought on by these "Mississippi
        Noteholders" is without merit and was filed in an effort to
        circumvent the bankruptcy process.  On behalf of the approximate
        4,484 other Noteholders currently voting on the Joint Plan and on
        behalf of Search's existing shareholders, Search will work
        vigorously to bring this case to conclusion as soon as possible,"
        stated Evans.

            Prior to Evans' appointment as CEO and the restructuring of the
        management team, Search had created wholly-owned single purpose
        entities, referred to as Fund subsidiaries to fund contract
        receivable purchasing.  Neither Search nor any other subsidiary or
        affiliate of Search has guaranteed repayment of the Fund
        subsidiaries' notes.

            Search Capital Group, Inc. is a specialized financial services
        company engaging in the purchase, management and securitization of
        used motor vehicle receivables.  Search shares are currently traded
        on the OTC Bulletin Board under the symbol "SRCG."

         /CONTACT:  George C. Evans of Search Capital Group, 214-965-6000/