Moore-Handley: Quarterly Earnings

FOR IMMEDIATE RELEASE

For:  Moore-Handley, Inc.               Contact: L. Ward Edwards
      P.O. Box 2607                     (404) 577-5532
      Birmingham, Al. 35202

                MOORE-HANDLEY REPORTS RESULTS OF OPERATIONS
                    FOR THE QUARTER ENDED JUNE 30, 1998

   BIRMINGHAM, Al., July 14 - Moore-Handley, Inc. (NASDAQ - MHCO) reported net 
   sales of $38,012,000 and net income of $58,000 or $.03 per share for the 
   quarter ended June 30, 1998.  This compares to a net loss of $(561,000) 
   or $(.26) per share in the same quarter last year, an improvement of $.29 
   per share. 

     Summary results of operations follow:

                                           Summary Statement of Operations
                                        (in thousands, except per share data)

                                        Quarter Ended       Six Months Ended
                                          June  30             June 30    
                                      1998      1997      1998        1997

Sales                                $38,012   $35,424     $78,484     $73,266 

Total gross margin                     6,037     5,394      12,103      10,905 
Warehouse & delivery expense           2,220     2,470       4,473       4,764 
Gross profit                           3,817     2,924       7,630       6,141 
Selling & administrative expense       3,367     3,528       6,742       7,025 
Operating income (loss)                  450      (604)        888        (884)
Interest expense                         354       217         719         498 
Income (loss) before provision
  for income tax (benefit)                96      (821)        169      (1,382)
Income tax (benefit)                      38      (260)         62        (440)
Net income (loss)                    $    58   $  (561)      $ 107    $   (942)

Net income (loss) per share           $  .03    $ (.26)      $ .06      $ (.44)
Weighted average 
 common shares outstanding         1,855,000 2,154,000   1,855,000   2,154,000 

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071498
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