Bankruptcy News For - March 11, 1996

  1. Caldor to open 6 new stores and close 12 stores
  4. Acme United reports fourth quarter results
  5. UDC Homes announces resignation of Richard Kraemer as president and CEO
  7. Holly Products wins approval for $5 million financing of casino property

Caldor to open 6 new stores and
close 12 stores

            NORWALK, Conn. -- March 11, 1996 -- As part of the
        ongoing review of its operations, the href="chap11.caldor.html">Caldor Corporation (NYSE: CLD)
        today announced plans to open six new stores and to close 12
        underperforming stores.  

            The six new stores will be located in District Heights,
        Maryland; Glen Oaks, New York; Hunting Park, Pennsylvania; Westbury,
        New York; Silver Spring, Maryland; and Edgewater, New Jersey.  The
        District Heights, Glen Oaks, Hunting Park, and Westbury stores will
        open in April.  The Edgewater store will open in late May, and the
        Silver Spring store will open in August.  

            The stores that will be closed, subject to bankruptcy court
        approval, include five stores in the Rochester, New York market;
        three stores in the Syracuse, New York market; two stores in
        Massachusetts; one store in Connecticut; and one store on Long
        Island, New York.  

            "As part of the reorganization process, Caldor has been
        carefully reviewing its operations, including its existing store
        base and plans for new locations,"  said Don R.  Clarke, Chairman
        and Chief Executive Officer.  "As a result of the review, we
        determined we should proceed with store openings that offer
        attractive market opportunities, while closing a number of
        underperforming stores that will result in significant savings for
        the Company.  

            "Closing operations is never pleasant, and we are particularly
        sensitive to the effect on our associates.  Where practical, we will
        attempt to transfer affected employees to adjacent stores or provide
        appropriate assistance,"  said Mr.  Clarke.  

            With respect to the new store openings, Mr.  Clarke noted,
        "These new sites, located in the greater New York, Philadelphia and
        Washington, D.C.  areas, are consistent with our strategy of
        focusing on urban/suburban markets and offer considerable potential.
        We are looking forward to serving new customers in these

  1. The District Heights store will be a prototype store with
            approximately 113,000 square feet.  It will be located at 6451
            Marlboro Pike.  
  2. The Glen Oaks store will be approximately 126,000 square feet.
            It will be located on the Queens/Nassau County border at 258-01
            Union Turnpike.  
  3. The Hunting Park store, a prototype store with approximately
            113,000 square feet, will be located at 700 East Hunting Park
  4. The Westbury store, located on Long Island, will also be a
            prototype store with approximately 113,000 square feet.  Its address
            is 28 Jericho Turnpike.  
  5. The Silver Spring store will be approximately 133,000 square
            feet and will be located at 8041 Kenett Street.  
  6. The Edgewater store, located near Secaucus, will be a
            prototype store with approximately 113,000 square feet.  Its address
            is One River Road.  

            The stores that will be closed are located at:

    1. Greece Ridge Mall 2211 W. Ridge Road Greece, NY  
    2. Tops/Caldor Plaza 2255 Buffalo Road Gates, NY
    3. 1180 Jefferson Road Henrietta, NY
    4. 1111 East Ridge Road Irondequiot, NY
    5. 50 Eastview Mall Victor, NY  
    6. 3667 West Genesee Street Syracuse, NY  
    7. Penn Can Mall 5775 South Bay Road Cicero, NY
    8. 5251 N. Burdick Road Fayetteville, NY
    9. 348 Middle Country Coram, NY  
    10. 672 Crescent Street Brockton, MA
    11. 95 Washington Street Canton, MA
    12. Kings Highway, & I-95 Groton, CT

      Caldor also said that it will not be going forward with a previously
      planned store opening in New Bedford, MA.  That store had been
      scheduled to open in 1996.

                  The Caldor Corporation is the fourth largest discount department
              store chain in the U.S., with annual sales of approximately $2.8
              billion and approximately 24,000 Associates.  It currently operates
              166 stores in ten East Coast states.  With a strong consumer
              franchise in high density/suburban markets, Caldor offers a diverse
              merchandise selection, including both softline and hardline

              CONTACT: Media:  
                       Wendi Kopsick/Jim Fingeroth,
                       Kekst and Company:  (212) 593-2655
                       Investor Relations:  
                       Dave Peterson: (203) 849-2334


                  THOUSAND OAKS, Calif., March 11, 1996 - Mr. Dennis
              Doolittle, Vice Chairman and Chief Operating Officer of Autologic
              Information International, Inc. (Nasdaq: AIII) ("the Company"),
              announced today that the net loss for the first quarter ended
              February 2, 1996 was $3,747,000, or $1.06 per share, on revenues of
              $16,547,000, as compared to a net loss of $1,232,000, or $0.37 per
              share, on revenues of $16,000,000, for the first quarter ended
              January 27, 1995.

                  Effective January 29, 1996 the merger of Information
              International, Inc. ("Triple-I") and Autologic, Incorporated
              ("Autologic"), a subsidiary of Volt Information Sciences, Inc.
              (Nasdaq: VOLT) ("Volt") was completed with the Company remaining as
              the surviving corporation. The financial results presented are
              substantially those of Autologic since the Company is a continuation
              of Autologic which required Triple-I on January 28, 1996.

                  Mr. Doolittle stated the pretax loss of the Company in fiscal
              1996 includes a charge of $700,000 for the restructuring of
              Autologic's operations related to the merger and allocated charges
              from Volt of $996,000 ($1,092,000 in 1995) for general and
              administration, rent and interest expense.  The restructuring of the
              combined Company is expected to result in an annual reduction in
              expenses of approximately 6,000,000. Subsequent to the merger, the
              allocated charges from Volt will cease. He further stated operating
              results were adversely affected by a temporary delay in product
              shipments due to the merger and lower gross profit margins resulting
              from differences in product mix and competitive market pressures and

                                      AND SUBSIDIARIES
                              Summary Of Results Of Operations
                                                          FIRST QUARTER ENDED
                                                      February 2,      January 27,
                                                          1996             1995
                                                         (Dollars in thousands,
                                                         except per share data)
              Revenues                                 $16,547          $16,000
              Loss before income taxes                  (3,895)          (1,042)
              Income tax (benefit) provision              (148)             190
              Net loss                                 ($3,747)         ($1,232)
                                                              PER SHARE DATA
              Net loss                                  ($1.06)           ($.37)
              Number of shares used in computation   3,531,913        3,337,000
                  Autologic Information International, Inc. designs, manufactures,
              markets and services computer-based electronic pre-press systems to
              the publishing industry worldwide.

              CONTACT:  Manuel Marrero, Chief Financial Officer of Autologic
              Information International, Inc., 805-498-9611, or Internet:


                  MOORESTOWN, N.J., March 11, 1996 - MWW/Strategic
              Communications (MWW/SC) has been retained as public relations and
              financial relations counsel for Today's
      Man, Inc.
      (Nasdaq: TMANQ).
              Headquartered in East Rutherford, NJ, MWW/SC is one of the nation's
              15 largest independent public relations firms, with clients
              including Bally Entertainment and Continental Airlines.  In addition
              to its New Jersey headquarters, MWW/SC maintains offices in New
              York, Boston, Trenton, Washington, D.C., Chicago and Seattle.

                  "MWW's expertise in financial restructuring and their keen
              understanding of the retail business makes them an excellent
              addition to our turnaround team," said David Feld, President and
              Chief Executive Officer of Today's Man.  "As we move forward with
              our efforts to reorganize and return Today's Man to profitability,
              we will continue to rely on the industry's top talent to support our

                  Today's Man employs over 1,400 people and operates 28 men's
              apparel superstores in New York, Philadelphia and Washington, D.C..
              The company recently filed for Chapter 11 protection.

                  All media inquiries concerning Today's Man  should be directed
              to Michael W. Kempner or Carreen Winters of MWW/SC at 201-507-9500.

              CONTACT:  Michael Kempner, 201-507-9500, or --
              e-mail, or Carreen Winters - - e-mail, both of
              MWW/Strategic Communications, Inc.

      Acme United reports fourth quarter results

                  FAIRFIELD, Conn. -- Acme United Corp. (ASE: ACU)
              today reported a net loss of $8,723,530, or $2.61 per share, for the
              fourth quarter of 1995.

                  The major portion of the loss for the quarter was attributed to
              a charge against earnings of $7.7 million taken to cover the costs
              of restructuring, asset revaluations and other charges.  The tax
              benefit, for the most part, will occur in future years.

                  The fourth quarter 1995 results compare to net income of
              $38,064, or one cent per share, for the fourth quarter of 1994.

                  Net sales were $11,017,406 for the fourth quarter of 1995,
              compared to net sales of $12,644,460 for the fourth quarter of 1994.

                  For the full year, Acme United had a net loss of $8,716,176, or
              $2.61 per share.  This compares to net income of $123,498, or four
              cents per share for 1994.

                  Net sales for 1995 were $52,222,210, compared to net sales of
              $52,754,799 in 1994, a one percent decline for the year.

                  Citing 1995 results, Walter C. Johnsen, president and chief
              executive officer, said that, "Acme United's North American consumer
              products business had $22.7 million in sales for the year, an
              increase of three percent over the year before, with much of the
              growth attributed to a strong performance by our existing product
              lines.  However, the business struggled to deal with high inventory
              levels, a company-wide problem that we began to address aggressively
              in the fourth quarter.

                  "Also, the consumer products business was hampered by excess
              capacity, a situation to be resolved by the planned closure in the
              first half of 1996 of the Bridgeport, Conn. manufacturing plant.

                  "Sales of the company's medical products business were $16.3
              million in 1995, a two percent decline from the previous year's
              results.  The business was also adversely affected by inventory
              revaluations.  However, on a positive note, other inventory levels
              were reduced by over $300,000 in 1995, and the division achieved
              greater efficiency in manufacturing operations."

                  The overall performance in 1995 of the company's European
              operations, particularly in Germany, was poor, Johnsen said.  Sales
              declined in the Schlemper scissor and Altenbach cutlery companies.
              Also, a writeoff of $221,000 was taken for an outdated manufacturing
              building owned by Acme's subsidiary in the United Kingdom.  High
              inventories in Europe also necessitated a $1.0 million writedown,
              and at Altenbach, restructuring costs of $2.1 million were recorded
              in 1995.

                  "Acme United is dealing with the problems of the business by
              executing a strategic plan that, when completed, should enable the
              company to have a solid platform for growth," Johnsen said.  The
              actions being implemented in 1996 are:

      • a company-wide inventory reduction plan to recover $2.8 million;

      • consolidation of manufacturing operations from Bridgeport,
                Conn. to Fremont, N.C., to substantially reduce product costs;
      • aggressive reductions in headcount, revisions in employee
                benefit plans, and cuts in administrative expenses;
      • cost reductions in each of our European operations;

      • building the management team; and
      • investment in new marketing and sales programs to enhance growth.

                  Acme United is a leading producer of metal disposable surgical
              instruments, sterile procedure trays, germicidal products and wound-
              care packs for hospitals and the alternate care market as well as
              one of the largest producers of household shears, scissors, rulers
              and related products for consumers in the United States and Europe.


              There are 3,337,620 common shares outstanding.        
                            ACME UNITED CORPORATION
                               CONSOLIDATED STATEMENT OF INCOME
                                 FOURTH QUARTER REPORT 1995
                               Quarter Ended       Quarter Ended
                               Dec. 31, 1995       Dec. 31, 1994
                               --------------      -------------
              Net Sales           $ 11,017,406         $ 12,644,460
              Net Income (Loss)     (8,723,530)              38,064
              Income (Loss) Per          (2.61)                 .01
                                Year Ended           Year Ended
                               Dec. 31, 1995         Dec. 31, 1994
                               --------------       ---------------
              Net Sales           $ 52,222,210           $ 52,754,799
              Net Income (Loss)     (8,716,176)               123,498
              Income (Loss) Per          (2.61)                   .04

              CONTACT: Marcia Burel, 203/335-2925

      UDC Homes announces resignation of Richard Kraemer as president and CEO

                  TEMPE, Ariz. -- March 11, 1996 -- UDC
      Homes Inc.

              Monday announced the resignation of Richard C. Kraemer as president
              and chief executive officer.

                  UDC Chairman Drew Brown will serve as interim president and
              chief executive officer until a replacement is found for Kraemer,
              who will work with the company through June to assist in the
              transition.  He will then continue as a consultant through the end
              of the year.

                  UDC successfully restructured and emerged from bankruptcy last
              year.  DMB Property Ventures Limited Partnership, a Phoenix-based
              real estate investment and development company, was instrumental in
              the restructuring, purchasing all of the company's equity and
              investing $108 million.

                  "With Rich Kraemer's departure, we will conduct a national
              search for a new president and chief executive officer.  Rich has
              built an excellent management team that remains in place and we look
              forward to continuing to work with them," Brown said.

                  "I was committed to seeing the company through the restructuring
              and moving it forward as one of the leading home builders in the
              Southwest," said Kraemer.  "UDC is now well positioned to succeed in
              the years to come.  After 20 years with the company, which has
              become quite large, I look forward to working on some different
              entrepreneurial opportunities," he said.

              CONTACT:  DMB Property Ventures Limited Partnership, Phoenix
                        Drew Brown, 602/956-7877


                  DAYVILLE, Conn. -- March 11, 1996 -- American White
              Cross, Inc. (Nasdaq:AWCI) today announced operating results for the
              fourth quarter and year ended December 31, 1995.  

                  Sales for the fourth quarter of 1995 were $20,075,000 compared
              to $19,525,000 for the same period in 1994.  The Company's net loss
              for the quarter was $1,868,000 or $0.28 per share, excluding the
              after-tax effect of fourth quarter non-recurring items, including
              restructuring charges of $355,000 or $0.05 per share related to the
              completion of its facilities relocation plan and $124,000 or $0.02
              per share related to the settlement of a union pension dispute.
              This compares to a net loss of $2,502,000, or $0.37 per share in the
              fourth quarter of 1994.  Weighted average shares of 6,676,000 were
              outstanding in the fourth quarters of 1995 and 1994.  

                  For the year ended December 31, 1995, sales were $87,351,000
              compared to $90,005,000 for the same period in 1994.  The net loss
              including 1995 non- recurring charges was $4,694,000, or $0.70 per
              share, on 6,676,000 weighted average shares outstanding.  This
              compares to a net loss of $4,758,000, or $0.81 per share on
              5,843,000 weighted average shares outstanding in the 1994 period,
              which included the after-tax effect of a facilities restructuring
              charge of $3,448,000.  

                  Sales in 1995 were impacted by the loss of volume related to
              bringing the new Houston factory up to the Company's historical
              operating capacity and efficiency.  Sales were also impacted by the
              Company's decision to forego certain promotional volume in order to
              support higher net pricing in the longer term.  Both gross profit
              and operating margins improved in the fourth quarter in 1995 versus
              the comparable prior year quarter, but compared unfavorably for the
              full year 1995 compared to the prior year primarily due to
              significant raw material cost increases, volume losses and a change
              in the product mix toward less profitable cotton products.  The 1995
              non-recurring charges include costs of approximately $886,000
              related to the Company's facility restructuring plan above those
              accrued in the second quarter of 1994.  Fourth quarter and annual
              results in 1995 were also negatively impacted, compared to the prior
              year, by a reduction of the Company's income tax benefit resulting
              from reserves established related to the expiration of certain state
              operating losses.  

                  Commenting on the results, Howard Koenig, Chairman and Chief
              Executive Officer, stated, "We continue to make progress on the
              fundamentals of our profit recovery, while at the same time focusing
              on our long term growth.  The facilities relocation to Houston and
              Mexico is now complete, and contributed to 1995 year over year
              fourth quarter gross profit margin improvement."  

                  Commenting on the Company outlook, Mr.  Koenig stated "Although
              we are obviously disappointed with our 1995 operating results, we
              are positioning our Company as one of very few in our industry which
              has extensive distribution in both the consumer and healthcare
              markets.  Our major cost restructuring efforts are now behind us and
              will reap benefits far into the future.  We are now able to begin a
              continuous improvement process while turning our focus to leveraging
              our unique distribution network.  With the combination of
              unprecedented raw material increases and completion of our major
              facilities moves behind us, and expected growth momentum from new
              product and category introductions, our management team is working
              diligently on turning the corner on profitability."  

                  American White Cross, Inc.  manufactures and markets a wide
              variety of health and personal care products.  The Company's
              principal products include adhesive bandages, cotton swabs, cosmetic
              puffs, rounds and squares, waterproof tape, sterile cotton balls,
              first aid kits, footcare products, liquid nutritional supplements
              and cotton coil used in the packaging of drugs and vitamins in
              bottles.  The Company also sells adhesive bandages under its own
              national brands, including Looney TunesTM (marketed under license
              from the Warner Bros.  Division of Time Warner Entertainment Company
              L.P.) and STAT- STRIP (easy opening bandages).

                               Consolidated Results of Operations
                            (In thousands, except per share amounts)
                                    Quarter Ended           Year Ended      
                               12/31/95    12/31/94      12/31/95    12/31/94
              Sales                $20,075     $19,525       $87,351     $90,005
              Income (loss) from
               operations         $(1,719)(1)  $(3,459)      $(3,018)(2)
              Income (loss) before
               benefit from income
               taxes              $(2,699)     $(3,900)      $(6,365)    $(7,401)
              Benefit from income
               taxes              $(352)       $(1,398)      $(1,672)    $(2,643)
              Net income (loss)   $(2,347)     $(2,502)      $(4,694)    $(4,758)
              Net income (loss)
               per share         $(0.35)       $(0.37)       $(0.70)     $(0.81)
              Weighted average shares
               outstanding       6,676          6,676         6,676       5,843
              (1) Includes pretax charges of $409,000 and $142,000 for spending
              overruns related to the restructuring charge taken in 1994 and the
              settlement of a pension dispute, respectively.  
              (2) Includes pretax charges of $886,000 and $142,000 for spending
              overruns related to the restructuring charges taken in 1994 and the
              settlement of a pension dispute, respectively.  
              (3) Includes a pretax charge of $5,328,000 related to the
              restructuring of the Company's facilities.  

                       Scott Vertrees
                       Vice Chairman
                       (714) 248-8900
                       Tom Rallo
                       Sr. Vice President, Finance
                       and Administration
                       (203) 779-4114
                       IR CONTACT: June Filingeri/Melissa Garelick
                       PRESS: Suzanne Miller
                       Morgen-Walke Associates
                       (212) 850-5600


                  NEW YORK, March 11, 1996 - A federal judge in Manhattan
              today issued a preliminary injunction against Raytheon Corp (NYSE:
              RTN) and its Seiscor subsidiary enjoining them from placing the
              subsidiary into bankruptcy pending post-trial motions from a twenty-
              seven million dollar jury verdict handed down Wednesday evening.

                  The judge, Hon. Denny Chin, held that plaintiffs, since they had
              prevailed, should not be prejudiced by a bankruptcy filing prior to
              the entry of a final judgment.  Plaintiffs' counsel, Steven Kramer
              of New York City, had argued that without an injunction, the
              plaintiffs would be an unsecured creditor in the event of a
              bankruptcy filing.

                  The case arose out of the break up of AT&T in 1984, when Seiscor
              sold what turned out to be, according to the jury, thousands of
              defective coin phones to the plaintiffs, two distributors based in
              NYC and New Jersey respectively.

              The case was filed in 1988.

              CONTACT:  Steven Kramer, 212-586-0707 or, Martin Fabrikant of
              Paytel Sys. Inc. 212-462-8500 ext. 600

      Holly Products wins approval for $5
      million financing of casino property

                  BALA CYNWYD, Pa. -- March 11, 1996 -- William
              Patrowicz, president of Holly Products Inc. (NASDAQ: HOPR, HOPRW,
              HOPRP; BSE: HOP, HOPP) announced today that the U.S. Bankruptcy
              Court, District of Colorado issued a formal order approving $5
              million of financing for Holly's subsidiary, href="">Country World Casino
      , to complete the purchase of its site for a new casino and
              hotel complex in Blackhawk, Colo.

                  The financing will permit Country World to own the Blackhawk
              casino and hotel site, subject only to the first lien of the new
              lender.  In addition, the formal order will permit Country World to
              emerge from its Chapter 11 proceeding.  Holly Products Inc. looks
              forward to closing the loan shortly.  The judge's order also
              requires disputes concerning prior secured financing to be settled
              by agreement within 10 days of the closing of the new financing
              while providing a mechanism to deliver the property to the company
              free of any disputed claims while the court determines such

                  William Patrowicz said, "This decision brings our plans to build
              the largest hotel and casino complex in the State of Colorado closer
              to realization while positioning our subsidiary, Country World
              Casinos Inc., to emerge from Chapter 11.  We are very encouraged by
              the court's sensitivity to Country World's present and future needs
              in connection with funding and beginning construction as soon as

              CONTACT: Holly Products Inc.,
                       William Patrowicz, 610/617-0400/
                            or /
                       Martin E. Janis & Co. Inc., Chicago
                       Elliott Jacobson, 312/943-1100


                  FORT LAUDERDALE, Fla., March 11, 1996 - Following upon
              its recently announced transaction for the LaCroix water brand,
              National Beverage Corp. (AMEX: FIZ) announced today that approval
              had been obtained from the bankruptcy court for the Southern
              District of New York for EB Acquisition Corp., a wholly owned
              subsidiary of National Beverage Corp., to acquire substantially all
              of the assets of Everfresh
      Beverages, Inc.
      out of a Chapter 11 plan
              for an undisclosed purchase price.  The assets include a hot-packing
              beverage facility in Warren, Michigan, the "Everfresh", "Sundance"
              and "Rich n' Ready" trademarks, receivables, inventory, and certain
              other tangible assets. It is anticipated that the closing will occur
              on Friday, March 15, 1996.

                  The Everfresh brand represents a variety of juice products
              available in various package sizes and flavors, and is principally
              distributed through independent distributors throughout most of the
              United States. Prior to the reorganization, Everfresh had sales in
              excess of $40 million.

                  Nick A. Caporella, chairman and chief executive officer of
              National Beverage, stated, "We are extremely pleased to have
              received final court approval to acquire Everfresh and enter the
              juice segment of the beverage industry.  The Everfresh brand has a
              strong presence in the Midwest and certain metropolitan markets in
              the Northeast and further complements our plan to enhance our
              Regional Share Dynamics and affirm our commitment as a total
              beverage company."  Mr. Caporella continued, "With the existing
              sales team, the continued support of Everfresh's distributors, and
              the dynamics of the National Beverage organization, the Everfresh
              juice acquisition emphasizes National Beverage's commitment to seek
              growth in all segments of the beverage industry."

                  National Beverage serves as a holding company for various
              operating subsidiaries and 13 strategically located manufacturing
              facilities that manufacture, market and distribute its full line of
              cola and multi flavored branded soft drinks and bottled water:
              Shasta(R), Faygo(R), Body Works(R), a Sante(R), Spree(R), Big
              Shot(R), nuAnce(R), Creepy Coolers(TM), St. Nick's(TM) and Kid

              CONTACT:  Grace Keene, Office of the President, National Beverage,
              305-581-0922, or fax, 305-473-4710


                  ATLANTA, March 11, 1996 - With the confirmation of its
              Plan of Reorganization by U.S. Bankruptcy Judge Hugh Robinson on
              March 8, Hayes Microcomputer Products,
      expressed today its
              enormous gratification with the Court's order which permits Hayes to
              emerge from Chapter 11 as an independent company.

                  "Our stated intent and primary objective from the very start of
              this case was to put forth a Reorganization Plan that would pay all
              creditors in full and that would permit Hayes to emerge from Chapter
              11 as a strong independent company making superior products backed
              by superior service," said Dennis C. Hayes, Chairman and CEO of
              Hayes.  Continued Hayes, "Confirmation of the Hayes Plan will allow
              Hayes to continue its nearly two decades of leadership in the
              computer communications industry.  We look forward to competing in
              the fast changing computer communications marketplace without the
              specter of Chapter 11 looming in the background."

                  The Hayes Plan of Reorganization calls for payment of all
              creditors' claims in full plus interest.  Proceeds from a combined
              equity investment of $35 million by ACMA Limited and Northern
              Telecom Inc. (Nortel), a $70 million debt facility with the CIT
              Group/Credit Finance, and the sale of surplus land owned by the
              company will be used to cover the company's debts.  In exchange for
              their equity investment ACMA and Nortel will together acquire a 49%
              stake in Hayes.  The remainder of the company's shares (51%) will be
              owned by Dennis Hayes and the Employee Stock Plan.

                  In issuing his order confirming the Hayes Plan rather than the
              competing Plan of Reorganization proposed by the Creditors'
              Committee and Diamond Multimedia Systems, Inc., Judge Robinson
              relied on Section 1129(c) of the U.S. Bankruptcy Code relating to
              the preferences of creditors and equity security holders.  Judge
              Robinson wrote in his order, "The Debtor's Plan (Hayes) is,
              therefore, preferred by at least $34 million of the $43 million in
              outstanding unsecured debt, or approximately 79% of the unsecured
              creditors' claims."  With regard to the preferences of equity, Judge
              Robinson wrote, "In this case, the Debtor's Plan is preferred by
              over 90% of the equity security holders."

                  Summarizing his reasons for confirming the Hayes Plan, Robinson
              wrote, "The Debtor has offered a plan which proposes to pay all of
              its creditors in full plus interest.  The Debtor's minority
     being afforded fair and equitable treatment...The
              majority shareholder and the majority of the creditors have come
              before this Court and expressed their preference for the Debtor's
              Plan.  Moreover, the public policy underlying Chapter 11
              reorganization which serves to further the local economy, maintain
              and create jobs, and preserve the value of an ongoing business is
              clearly fulfilled by confirmation of the Debtor's Plan."

                  Dennis Hayes said, "Over the past 16 months, the employees of
              Hayes around the world focused on our core business, fixed our
              operations problems, and turned the company around to the point
              where we have been consistently generating profits for the past
              year.  We continue to develop and ship new and exciting products and
              remain committed to our customers - past - present - and future.
              With all the confusion caused by the Chapter 11 filing in November
              1994, component shortages and other supply problems in early 1995,
              an aborted merger attempt, two hostile acquisition attempts,
              seemingly endless due diligence requests, frivolous patent
              infringement claims, a dissenting minority shareholder, and numerous
              other challenges and obstacles, the employees of Hayes have fought
              through it all.  Confirmation of the Hayes Plan is confirmation of
              their hard work and success and complete vindication for those who
              stood by the company during its most difficult period."

                  In consultation with ACMA and Nortel, the CIT Group, and legal
              and financial advisors, Hayes expects to soon prepare a schedule for
              completion of the agreements required to comply with the
              Confirmation Order.  Further details on the schedule will be
              forthcoming over the next two weeks.

                  Best known as the inventor of the PC modem, Hayes is recognized
              around the globe as a leader in technical innovations, computer
              communications standards, functional and feature-rich products, and
              superior support and service.  Founded in 1977, Hayes develops,
              manufactures, and markets value-based computer communications
              solutions for software, business, network and consumer market
              segments.  The company maintains an extensive global network of
              authorized distributors, dealers, mass merchants, VARs, system
              integrators and original equipment manufacturers.  Hayes customers
              include Fortune 1000 corporations, mid-size companies and corporate
              branch offices, small and home office businesses, on-line and
              telecommunications network providers, and millions of individual PC
              users around the globe.

              CONTACT:  Andrew W. Dod, Director of Corporate Communications,
              Hayes Microcomputer Products, Inc., 770-840-6808; Fax: 770-441-1238;
              E-mail: or Web: " target=_new>">