Moore-Handley, Inc. Reports Final Operating Results for the Fourth Quarter and Year Ended December 31, 2002

BIRMINGHAM, Ala., March 19, 2003 (PRIMEZONE) -- Moore-Handley, Inc. (Nasdaq:MHCO), a Birmingham, Ala. distributor of hardware and home center products, reported a net loss of 19 cents per diluted share for the quarter ended December 31, 2002 compared to net income of 7 cents per diluted share for the same quarter last year. Annual results showed an income of 18 cents per diluted share for 2002 versus net income of 44 cents per diluted share for the previous year.

Sales for the fourth quarter of 2002 were down 4.5% to $32.2 million from $33.7 million in 2001. For the twelve months ended December 31, 2002, sales were down 1.4% from $152.8 million to $150.6 million in 2001. However, unaudited sales for the first two months of 2003 were up compared to the same period last year.

                         Moore-Handley, Inc.
                   Summary Statements of Operations
                             (UNAUDITED)

                        Quarter Ended         Twelve Months Ended
                          December 31              December 31       
                  ------------------------  --------------------------
                      2002        2001          2002         2001
                  -----------  -----------  ------------  ------------
 Sales            $32,153,000  $33,700,000  $150,621,000  $152,790,000

 Cost of
  merchandise
  sold             26,802,000   28,004,000   126,555,000   128,184,000
 Warehouse and
  delivery
  expense           2,410,000    2,365,000     9,419,000     9,230,000
                  -----------  -----------  ------------  ------------
 Cost of sales     29,212,000   30,369,000   135,974,000   137,414,000
                  -----------  -----------  ------------  ------------

 Gross profit       2,941,000    3,331,000    14,647,000    15,376,000
 Selling and
  administrative
  expense           3,244,000    2,921,000    13,256,000    12,869,000
                  -----------  -----------  ------------  ------------
 Operating income    (303,000)     410,000     1,391,000     2,507,000
 Interest expense,
  net                 226,000      208,000       853,000     1,276,000
                  -----------  -----------  ------------  ------------
 Income  before
  income tax         (529,000)     202,000       538,000     1,231,000
 Income tax          (194,000)      74,000       198,000       443,000
                  -----------  -----------  ------------  ------------
 Net income       $  (335,000) $   128,000  $    340,000  $    788,000
                  ===========  ===========  ============  ============

 Net income per
  share
  - diluted       $     (0.19) $      0.07  $       0.18  $       0.44
                  ===========  ===========  ============  ============

 Weighted average
  diluted common
  shares
  outstanding       1,766,000    1,799,000     1,890,000     1,795,000
                  ===========  ===========  ============  ============
      

Certain of the statements contained in this report (other than the financial statements and other statements of historical fact) are forward-looking statements. Use of words such as "expects" and "believes" indicates the presence of forward-looking statements. There can be no assurance that future developments will be in accordance with management's expectations or that the effect of future developments on us will be those anticipated by management. Among the factors that could cause actual results to differ materially from estimates reflected in such forward-looking statements are the following:

• competitive pressures on sales and pricing, including those from other wholesale distributors and those from retailers in competition with our customers;
  
  
• our ability to achieve projected cost savings from our warehouse modernization program and ongoing cost reduction efforts;
  
  
• changes in cost of goods and the effect of differential terms and conditions available to our larger competitors;
  
  
• uncertainties associated with our national sales initiative or any acquisition we may seek to implement; and
  
  
• changes in general economic conditions, including increases in interest rates.

CONTACT:  Moore-Handley, Inc.
          Carol Temple  
          (205) 663-8316