Bankruptcy News For - February 13, 1996

  1. Ladenburg, Thalmann completes investment in Thinking Machines Corp.

Ladenburg, Thalmann completes
investment in Thinking Machines Corp.

            NEW YORK -- Feb. 13, 1996 -- Ladenburg, Thalmann
        Group Inc.  announced today that its merchant banking subsidiary,
        Ladenburg Thalmann Capital Corp., has completed its previously
        announced agreement to invest $10 million in href="chap11.thinking.html">Thinking Machines
, a developer and marketer of parallel software for
        end and networked computing systems.  

            Thinking Machines announced today that it has emerged from
        Chapter 11 bankruptcy protection.  The investment provided by
        Ladenburg Thalmann will help fund Thinking Machines advanced product
        development and marketing.  

            Founded in 1983, Thinking Machines is a pioneer in parallel
        technology for supercomputers and has created some of the world s
        most powerful computers.  The Company posted a profit for its most
        recent fiscal year ending December 31, 1995.  

            Ladenburg, Thalmann Group Inc., is the parent of Ladenburg,
        Thalmann & Co.  Inc., a registered broker-dealer and investment
        bank, and is owned by New Valley Corporation (OTC: NVLY).  

        CONTACT: George Sard/Anna Cordasco/Paul Caminiti
                 Sard Verbinnen & Co


            WORCESTER, Mass., Feb. 13, 1996 - href="chap11.cambridge.html">Cambridge Biotech
announced today that it has entered into a settlement
        agreement with the plaintiffs in a class action lawsuit filed
        against the company and several of its former officers.  The parties
        have submitted the settlement agreement for approval by the United
        States District Court for the District of Massachusetts.

            "Settling the class action lawsuit moves us an important step
        forward in our reorganization process," said Alison Taunton-Rigby,
        Ph.D., President CEO of Cambridge Biotech.  "As part of the
        reorganization effort, we plan to sell our diagnostic business and
        focus on our core biopharmaceutical operations.  We have active
        discussions ongoing with a number of companies concerning the sales
        of our diagnostic operations, and when those discussions are
        completed, we plan to file our reorganization plan.  We are
        enthusiastic about our future as a new biopharmaceutical company
        developing vaccines, adjuvants and immunotherapy products."  Dr.
        Taunton-Rigby noted that the success or timing of company efforts to
        sell the diagnostic business cannot be predicted.

            Cambridge Biotech's biopharmaceutical business develops and
        commercializes therapeutic and prophylactic vaccines for infectious
        diseases and immunotherapeutics for cancer.  The company's product
        development programs include partnered efforts to develop new
        vaccines containing QS-21 and other novel Stimulon(TM) adjuvants as
        well as proprietary efforts to develop human vaccines for
        streptococcal pneumonia, malaria, and tick-borne diseases.  For the
        animal health market, the company is developing vaccines for canine
        Lyme disease and bovine mastitis.

            Under the agreement, the settlement class will receive
        approximately 25% of the equity of a new biopharmaceutical company,
        which will be formed under the Cambridge Biotech Corporation Chapter
        11 reorganization plan, and $1,050,000 in cash from an insurance
        policy covering the individual defendants.  In general, the
        settlement class includes purchasers who bought the company's common
        stock between February 28, 1992 and May 9, 1994.  The settlement
        agreement also provides for reimbursement under the same insurance
        policy of up to $100,000 for legal fees and expenses of individual
        officers and directors to the extent permitted by law.

            The class action lawsuit, which began in November 1993, alleged
        that the company and certain individuals had violated Section 10(b)
        of the Securities and Exchange Act of 1934 and Rule 10b-5 by
        disseminating materially false and misleading information to the
        public causing them to purchase the company's stock at artificially
        inflated prices between February 28, 1992 through May 9, 1994.  The
        company denied the plaintiffs' allegations of wrongdoing.  On July
        7, 1994, the company filed for protection under Chapter 11 of the
        United States Bankruptcy Code.

            The settlement agreement is subject to approval by the District
        Court and confirmation by the Bankruptcy Court for the District of
        Massachusetts, Western Division, of a plan of reorganization to be
        submitted by the company.

            Cambridge Biotech Corporation, which filed for protection under
        Chapter 11 of the U.S. Bankruptcy Code on July 7, 1994, is a
        therapeutics and diagnostics company focusing on infectious diseases
        and cancer.  The company is developing and commercializing
        therapeutic and prophylactic vaccines for infectious diseases and
        immunotherapeutics for cancer.  The company's therapeutics business
        includes the Stimulon(TM) family of adjuvants, the most advanced of
        which, QS-21, is in clinical development through corporate and
        academic partners, and proprietary vaccines.  The proprietary
        vaccines include a feline leukemia vaccine currently on the market,
        and vaccines in development in the areas of tick-borne diseases,
        streptococcal pneumonia, malaria, bovine mastitis and canine Lyme
        disease.  Cambridge Biotech's diagnostic business is primarily
        focused on retroviral, Lyme and enteric diseases.

        CONTACT:  Alison Taunton-Rigby, President & Chief Executive Officer
        of Cambridge Biotech Corp., 508-797-5777 or Robert Gottlieb, Senior
        Vice President of Feinstein Partners, 617-577-8110