TCR_Public/960806.MBX BANKRUPTCY CREDITORS' SERVICE, INC.


Bankruptcy and Troubled Company News


August 6, 1996



  1. Drypers Corp. reports 40% increase in net sales and records quarterly profit
  2. BiltBest Products to purchase Keller Industries' window product assets
  3. Ascent Entertainment's Acquisition of SpectraVision Advances
  4. Aqua Vie Beverage's Plan of Reorganization Set by Bankruptcy Court
  5. General Nutrition Companies, Inc. Reports Results for Second Quarter
  6. Seven-Up/RC Bottling Co. Of S. California's Plan Of Reorganization Confirmed





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Drypers Corporation reports 40% increase in net sales and records quarterly profit


        


            HOUSTON, TX  --  August 6, 1996  --  As a result of strong
        sales increases in its domestic and international markets, Drypers
        Corporation (Nasdaq: DYPR) today reported improved results for the
        second quarter and six months ended June 30, 1996.  
        


            For the quarter, net sales increased 40% to $52.8 million
        compared with $37.8 million for the same period of 1995.  The
        Company recorded net income for the recent quarter of $348,000
        compared with a net loss of $6.2 million in the second quarter of
        1995.  The Company reported earnings per share of $0.02 on
        15,995,725 common and common equivalent shares outstanding versus a
        loss of $0.95 per share on 6,565,711 shares outstanding in the year-
        ago period.  Common and common equivalent shares outstanding
        increased significantly as a result of the Company's refinancing in
        the first quarter of 1996.  
        


            For the first half of 1996, net sales increased 32% to $97.9
        million compared with $74.1 million for the same period of 1995.
        The Company recorded a net loss for the six months of $2.6 million,
        or $.42 per share, compared with a net loss of $9.4 million, or
        $1.43 per share, in the comparable 1995 period.  There were
        6,635,401 equivalent shares outstanding in 1996 versus 6,560,894
        shares in 1995.  
        


            Walter V.  Klemp, Chairman and Co-Chief Executive Officer,
        noted, "Second quarter results, which were significantly better than
        our internal plan, represent a return to profitability for our
        Company and reflect the strength of our premium diaper and training
        pant business, in both domestic and international markets."  
        


            Mr. Klemp continued, "In the United States, our increase in same-
        store sales has attracted the interest of grocery accounts who,
        until now, haven't carried Drypers.  Their interest was also fueled
        during the quarter by media and consumer attention generated through
        our introduction of Drypers with baking soda, an innovative product
        in the premium diaper category.  As a result, we anticipate
        significant new account openings for the second half of this year."
        


            Mr. Klemp added, "In our current operating environment of lower
        raw material and diaper conversion costs, we have been able to raise
        gross margins above the 40% level.  Additionally, we have been able
        to reduce selling, general and administrative expenses as a
        percentage of sales by gaining leverage on our fixed cost base and
        by decreasing the variable hard dollar expenses related to the sale
        of each diaper pad."  
        


            Mr. Klemp concluded, "We look forward to our third quarter and
        anticipate that our sales of premium diapers in the domestic grocery
        store market and internationally will continue to grow.  We believe
        that gross margin will continue to be strong and we remain committed
        to reducing per-pad selling expenses, further increasing the
        opportunity for profit in the second half of 1996.  Our optimism for
        the future of our Company is quite strong."  
        


            This press release contains forward-looking information that is
        subject to certain risks and uncertainties that could cause actual
        results to differ materially from those projected.  Some of the more
        significant factors noted in the Company's Reports on Form 10-K and
        10-Q, include changes in raw material prices for diaper components,
        price reductions initiated by the Company's major competitors, and
        fluctuations in economic conditions in international markets.  
        


            Drypers Corporation manufactures and markets disposable baby
        diapers and related products under the Drypers brand name.  The
        Company's products are sold through grocery stores and mass
        merchants throughout the United States, Latin America and other
        international markets.  The Company also produces price value
        branded and private label diapers and related products.

        

                                DRYPERS CORPORATION
                        CONSOLIDATED STATEMENTS OF EARNINGS

                     (In Thousands, Except Per Share Amounts)
                                      (Unaudited)
        
                                   Three Months Ended      Six Months Ended   
                                   June 30,    June 30,    June 30,  June 30,
                                      1996      1995       1996          1995  
        
        NET SALES                      $ 52,821   $ 37,758    $ 97,864   $
        74,098
        
        COST OF GOODS SOLD               31,301     27,306      60,115
        52,436
        
         Gross profit                21,520     10,452      37,749     21,662
        
        SELLING, GENERAL                           
           & ADMINISTRATIVE EXPENSES     18,605     13,627      35,716
        25,822
        
        UNUSUAL EXPENSE
        --         --          --      2,358
        
        RESTRUCTURING CHARGE                 --      2,972
        --      2,972
        
         Operating income (loss)      2,915     (6,147)      2,033     (9,490)
        
        INTEREST EXPENSE, net             2,421      2,078       4,403
        3,792
        
        Income (loss) before
         taxes                              494     (8,225)     (2,370)
        (13,282)
        
        Income taxes (benefit)              146     (2,019)        201
        (3,867)
        
        Net income (loss)                   348     (6,206)     (2,571)
        (9,415)
        
        Preferred stock dividend           (165)                  (220)
        
        Net income (loss) available
          to Common Stockholders         $  183 $   (6,206)    $(2,791)
        $(9,415)
        
        Common and common equivalent
          shares outstanding         15,995,725(a) 6,565,711 6,635,401
        6,560,894
        
        Net income (loss) per
          common share                   $  .02  $   (.95)       $(.42)
        $(1.43)
        
        (a) Common and common equivalent shares for the three months ended
        June 30, 1996, includes 9,000,000 common shares issuable upon
        conversion of 90,000 shares of convertible preferred shares issued in
        February, 1996.  Given the loss for the six months ended June 30,
        1996, such common stock equivalents have not been included since the
        impact would be antidilutive.  

                 
                              DRYPERS CORPORATION
                          CONSOLIDATED BALANCE SHEETS

                                 (In Thousands)
        
                                                June 30,    December 31,
                                                  1996         1995     
                                                (unaudited)  (audited)
        
        ASSETS:
        CURRENT ASSETS                                 44,230       40,625
        PROPERTY AND EQUIPMENT, net of
        depreciation and amortization              36,582       36,375
        OTHER ASSETS                                   59,684       60,420
        
                                                 $140,496     $137,420
        
        LIABILITIES AND STOCKHOLDERS' EQUITY:
        
        CURRENT LIABILITIES                            41,616       44,222
        TERM LOAN                                         875        1,000
        SENIOR TERM LOAN                               44,036       43,950
        LONG-TERM SUBORDINATED DEBT                     2,400        2,400
        OTHER LIABILITIES                               3,715        4,026
        STOCKHOLDERS' EQUITY                           47,854       41,822
        
                                                 $140,496     $137,420


        CONTACT:  Drypers Corporation
                  Walter V. Klemp
                  Chairman & Co-Chief
                  Executive Officer
                  (713) 682-6848
                          or
                  Morgen-Walke Associates
                  Howard Zar/Melissa Garelick
                  Press: Leslie Feldman/
                  Suzanne Miller
                  (212) 850-5600



BiltBest Products, Inc. announces the purchase of Keller Industries' window product assets -- $1 million transaction


        


            STE. GENEVIEVE, MO.  --  Aug. 6, 1996  --  BiltBest
        Products, Inc., Ste.  Genevieve, Missouri, announced today the
        purchase of the tooling and other equipment of Keller Industries,
        Inc.'s
Merced, California, window operations.  Total purchase price
        will approximate $1 million for the assets and will not include the
        assumption of any liabilities or obligations of Keller Industries.  
        


            BiltBest, a national manufacturer of wood and aluminum clad
        windows, markets their products through millwork distributors along
        with building supply wholesalers and retailers.  
        


            John F. Bendik, Chairman and Chief Executive of BiltBest,
        stated, "We are excited about the product line extension of vinyl
        and aluminum windows and patio doors to our wood and aluminum clad
        product offering.  This investment allows us to offer a complete
        line of windows and patio door products to our customers.  In
        addition, this purchase will enhance the West Coast distribution for
        all our products."  
        


            Keller, a privately-held company based in Fort Lauderdale,
        Florida, has been under the supervision of the United States
        Bankruptcy Court for the District of Delaware, under whose
        supervision it has been operating in Chapter 11 since April 2, 1996.
        


        CONTACT:  BiltBest Products Inc., Ste. Genevieve
                  John Bendik,  573/883-3571



Ascent Entertainment's Acquisition of SpectraVision Advances


        


            DENVER, CO  --  Aug. 6, 1996  --  Ascent Entertainment Group, Inc.
        (Nasdaq: GOAL) announced today that the bankruptcy court for the
        district of Delaware has approved the First Amended Disclosure
        Statement concerning Ascent's proposed acquisition of SpectraVision
        (AMEX: SVN), which is currently operating in bankruptcy, and
        authorized its distribution to SpectraVision's creditors.
        


            SpectraVision expects to mail the Disclosure Statement to its
        creditors and other parties in interest on August 9, 1996.  The
        court set September 4, 1996 as the date by which creditors must vote
        on the reorganization plan described in the disclosure statement,
        and set 11:00 a.m. September 11, 1996 for a hearing to approve the
        plan.
        


            On April 19, 1996, Ascent entered into an agreement to acquire
        SpectraVision.  Ascent, On Command Video and SpectraVision are
        negotiating final terms and conditions of certain agreements that
        must be in place before the transaction is closed.  Ascent
        management continues to believe the transaction will close by the
        end of the third quarter.
        


            SpectraVision and certain of its subsidiaries filed Chapter 11
        proceedings on June 8, 1995 and have operated as debtors-in-
        possession since that time.
        


            Ascent Entertainment Group's principal business is providing pay-
        per-view entertainment and information services.  In addition, it is
        involved in other entertainment-related businesses including
        ownership and operation of the NBA Denver Nuggets and NHL Colorado
        Avalanche, and Beacon Communications, a motion picture and
        television production company.
        


CONTACT: Paul Jacobson, George Sard, Paul Verbinnen, Karen Amrhine,
        303-626-7060, or 212-687-8080, Denny Minami, 303-626-7030, all for
        Ascent Entertainment; Robert Mead, 212-484-6701, or Scott Smith, 214-301-
        9070, both for SpectraVision



Aqua Vie Beverage's Plan of Reorganization Set by Bankruptcy Court


        


            BELLEVUE, WA  --  Aug. 6, 1996  --  It was announced today
        that Tom Gillespie, Founder, and former CEO of Aqua Vie Beverage
        Corporation
(AVBC), will be provided the opportunity to go forward
        with his proposed Plan of Reorganization for the Company.  At a
        hearing held in Idaho, July 31, 1996, the Court ruled that, subject
        to Mr. Gillespie placing an initial $325,000 in trust by August
        27th, his proposed Plan of Reorganization could move forward and be
        distributed to the Company's creditors and shareholders for
        approval. The proposed Plan calls for the funding of $625,000, to be
        available to the Company upon Plan Confirmation, which is
        anticipated to be in October.  The proposed Plan also provides for
        the issuance of stock to creditors, existing shareholders, and new
        investors, and also an issuance of two warrants priced at $1.00, and
        $1.50. Should both warrants be exercised, they would represent
        additional funds to the Company of up to $7,725,000, which far
        exceeds the Company's proposed funding requirements for
        profitability.
        


            Mr. Gillespie's proposed extension was also supported by
        Assistant U.S. Trustee Jeffery Howe, who agreed to extend the
        hearing date on his pending "Motion to Dismiss or Convert," until
        August 28th.  Mr. Howe said that Mr. Gillespie's Plan of
        Reorganization, "represents the last, best hope for creditors and
        shareholders of Aqua Vie Beverage Corporation."
        


            Mr. Gillespie's proposal was also supported by counsel for the
        "Wilson Group," comprised of former Aqua Vie Directors Ian Wilson
        (former Vice Chairman of Coca Cola), Mark Stevens (former Founder
        and CEO of Sunkist Beverages), Gordon Sim (former Director of
        Clearly Canadian), and Cary Fitchey (former VP of Business Planning
        for PepsiCo Inc.), who said, "Mr. Gillespie's Plan of Reorganization
        is in the best interest of the Company's creditors and
        shareholders".
        


            The Chapter 11 Trustee, represented by Counsel, moved to
        continue to support the Chapter 11 Trustee's Plan of Liquidation,
        also continued for hearing on August 28th, 1996.  The Chapter 11
        Trustee filed a Plan of Liquidation on June 20, 1996 that strongly
        suggests no funds will be available for the benefit of Aqua Vie's
        creditors and shareholders.
        


            In commenting, Mr. Gillespie said, "this Plan of Reorganization
        should be embraced by all legitimate creditors and shareholders,
        because it can effectively jump start the Company into
        profitability, and quickly return substantial value back to all
        parties involved."
        


            Additional information about Aqua Vie can be found on the
        Internet at; " target=_new>http://ourworld.compuserve.com/homepages/aquavie/aviea.htm">http://ourworld.compuserve.com/homepages/aquavie/aviea.htm
        


CONTACT:  Tom Gillespie of Aqua Vie Beverage Corp., 206-990-6411



General Nutrition Companies, Inc. Reports Results for Second Quarter


        


            PITTSBURGH, PA  --  Aug. 6, 1996  --  Reflecting a previously
        announced charge of $0.79 per share, net of income tax benefit, for
        restructuring costs, General Nutrition Companies, Inc. (Nasdaq:
        GNCI) today reported a net loss per share for the second quarter
        ended July 20, 1996 of $0.60.  Earnings per share from operations,
        absent the one-time charge, were $0.19, up from $0.18 per share in
        the second quarter of last year and in line with estimates for the
        quarter.  Driven by strong performance by the Franchising and
        Manufacturing divisions, revenues in the quarter increased by 12%,
        to $217.8 million.  As previously discussed, comparable store sales
        in company-owned locations decreased by 4.4% while franchise-store
        comparables increased by 4.5%.  The Company posted systemwide retail
        sales of $236 million, an increase of 9% over the year-earlier
        period.
        


            As previously announced, the restructuring costs of $80.2
        million, or $0.79 per share, were associated with the discontinuance
        of the Company's Natures Food Centre concept and the write-off of
        other non-productive assets. The Company recently announced the
        acquisition of Nature's Fresh Northwest and a controlling interest
        in Amphora Company, which led to a strategic decision to discontinue
        Natures Food Centre as a concept.  As a result of these one-time
        charges and the effects of the acquisition, the Company expects an
        increase in earnings per share for the remainder of 1996 and all of
        1997 of $0.01 and $0.04, respectively.
        


            William E. Watts, President and CEO, said,  "Our long-term
        strategy is on track.  We opened 96 new General Nutrition Center
        stores in the second quarter, bringing our year-to-date total to
        211.  This expansion sets the stage for continuing market-share
        gains in our core business, the $5.1 billion dietary supplement
        segment.  We have also made small but important acquisitions in two
        allied self-care segments, natural grocery and aromatherapy, that
        give us access to these fast-growing markets."
        


            General Nutrition Companies, Inc., which is based in Pittsburgh,
        is the only nationwide specialty retailer of vitamin and mineral
        supplements, sports nutrition and herbal products and is also a
        leading provider of personal care, fitness and other health-related
        products.  The Company's products are sold through a network of
        2,734 retail stores operating under the General Nutrition Center,
        Nature Food Centre, Health & Diet Centre and Amphora names, of which
        1,677 are company-owned and 1,057 are franchised.  The Company's
        stores are located in all 50 states, Puerto Rico and 15 foreign
        countries.
        



                             GENERAL NUTRITION COMPANIES, INC.
                           CONSOLIDATED STATEMENTS OF OPERATIONS

                                       (Unaudited)
                           (In thousands, except per share data)
        
                                          12 Weeks Ended        24 Weeks Ended
                                            July 20,   July 22,   July 20,
        July 22,
        
                                          1996       1995       1996        1995
        
            Net revenue                     $217,750   $194,410   $447,917
        $386,412
        
        Cost of sales, including costs
         of warehousing, distribution
             and occupancy                   136,652    118,865    277,984
        234,924
        
        Selling, general
             and administrative               46,889     42,789     96,275
        85,537
        
            Amortization of goodwill           2,170      1,921      4,391
        3,832
        
            Restructuring charge              80,243        ---     80,243
        ---
        
            Operating earnings (loss)        (48,204)    30,835    (10,976)
        62,119
        
            Interest expense                   3,375      5,068      6,323
        10,430
        
        Earnings (loss) before
             income taxes                    (51,579)    25,767    (17,299)
        51,689
        
            Income taxes                         300     10,620     14,402
        21,441
        
            Net earnings (loss)             ($51,879)   $15,147   ($31,701)
        $30,248
        
        Primary earnings (loss)
             per share                        ($0.60)     $0.19     ($0.36)
        $0.37
        
        Average number of shares
             outstanding                      86,681     81,428     88,122
        81,406
        
        Fully diluted earnings (loss)
             per share                        ($0.60)     $0.18     ($0.36)
        $0.35
        
        Average number of shares
             outstanding                      86,681     89,624     88,122
        89,602
        

CONTACT:  Edwin J. Kozlowski, Executive Vice President and Chief
        Financial Officer of General Nutrition, 412-288-4661


Seven-Up/RC Bottling Company Of Southern California's Plan Of Reorganization Is Confirmed By Bankruptcy Court


        


            VERNON, CA  --  Aug. 6, 1996  --  Seven-Up/RC Bottling
        Company of Southern California, Inc.
announced that the Bankruptcy
        Court for the District of Delaware had confirmed the Company's First
        Amended Joint Plan of Reorganization, dated June 19, 1996 (the
        "Plan").  The Plan had been accepted by holders of in excess of
        99.96% of the total dollar amount of the Company's 11.5% Senior
        Secured Notes due 1999 ($140 million principal amount) (the
        "Noteholders") who voted on the Plan.  Consummation of the Plan is
        scheduled to occur on August 12, 1996.
        


            As previously announced, under the Plan approved by the
        Bankruptcy Court, Noteholders receive approximately 98% of the
        Company's equity and $55 million - representing the net proceeds
        from the sale of the Company's Puerto Rico subsidiary.  The Plan
        provides that the Company's trade creditors are to be paid in full
        and that all relationships with franchisors, distributors and
        licensors will continue unaffected.
        


            Seven-Up/RC Bottling Company of Southern California, Inc. is one
        of the largest independent manufacturers and distributors of
        beverage products in the United States.
        


CONTACT:  Edward Whiting of Whitman Heffernan Rhein & Co., Inc., for
        Seven-Up/RC Bottling Company of Southern California, Inc., 213-267-
        6233