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, 1997

       BIRMINGHAM, Al., August 13 - Moore-Handley, Inc. (NASDAQ - MHCO) 
  reported net sales of $35,424,000 and a net loss of $(561,000) or $(.26) 
  per share for the quarter ended June 30, 1997.  This compares to a net 
  loss of $(429,000) or $(.20) per share in the same quarter last year. 
       Operations in the second quarter include a charge of $175,000 for 
  severance pay.  The Company noted that personnel and other cost reductions  
  made in the first half of this year will reduce expenses by about 
  $1,000,000 annually.  Some of these cost reductions began to be recognized  
  in the second quarter and the remainder will  begin to be recognized in 
  the balance of the current calendar year.
       The Company also announced completion of a new $15 million revolving 
  loan agreement, an increase of $5 million over its prior line.
       Summary results of operations follow:

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

                                        Quarter Ended     Six Months Ended
                                          June  30            June 30    
                                      1997      1996      1997      1996

Sales                                 $35,424   $35,843   $73,266   $74,523 

Total gross margin                      5,394     5,815    10,905    11,728 
Warehouse & delivery expense            2,470     2,595     4,764     4,798 
Gross profit                            2,924     3,220     6,141     6,930 
Selling & administrative expense        3,528     3,732     7,025     7,071 
Operating loss                           (604)     (512)     (884)     (141)
Interest expense                          217       176       498       375 
Loss before provision
  for income tax (benefit)               (821)     (688)   (1,382)     (516)
Income tax (benefit)                     (260)     (259)     (440)     (195)
Net loss                              $  (561)  $  (429)    $(942) $   (321)

Net loss per share                     $ (.26)   $ (.20)    $(.44)   $ (.15)

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081397
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