Moore-Handley: Quarterly Earnings

FOR IMMEDIATE RELEASE
For: Moore-Handley, Inc.                              Contact:  Peter B. Covert
P.O. Box 2607                                                   (205) 663-8408
Birmingham, AL  35202

             MOORE-HANDLEY REPORTS RESULTS OF OPERATIONS
                FOR THE QUARTER ENDED JUNE 30, 1999

     BIRMINGHAM, AL. August 2 - Moore-Handley, Inc. (NASDAQ-MHCO) a Birmingham,
Alabama based distributor of hardware and home-center products, announced that
sales for the quarter ending June 30, 1999 were $42,704,000 up 12% from last
year. Net income was 1 cent per share on 1,875,000 average shares outstanding
compared to 3 cents on 1,855,000 average shares outstanding in 1998.

While sales continued strong for the quarter,  the company continues to
experience disproportionately higher warehouse labor costs resulting in lower
earnings 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
                                1999      1998            1999       1998

Sales                          $42,704    $38,012        $87,367    $78,484

Total gross margin               6,826      6,037         13,282     12,103
Warehouse & delivery expense     2,855      2,220          5,548      4,473   
Gross profit                     3,971      3,817          7,734      7,630
Selling & administrative expense 3,620      3,367          7,200      6,742   
Operating income                   351        450            534        888
Interest expense                   318        354            636        719
Income (loss) before provision    
  for income tax (benefit)          33         96           (102)       169
Income tax (benefit)                13         38           ( 38)        62   
Net income (loss)             $     20    $    58        $  ( 64)   $   107 

Net income (loss) per share   $    .01    $   .03        $  (.03)   $   .06

Weighted average common
   Shares outstanding         1,875,000   1,855,000     1,875,000   1,855,000

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