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ALBARA CORP. REPORTS SUBSIDIARY FILES CHAPTER 11

 CONROE, Texas, Sept. 7 /PRNewswire/ -- Albara Corp. (NASDAQ: ALAB) reports that its operating subsidiary, Micro Business Solutions Inc., d/b/a Hardware That Fits, on Aug. 25, 1993, filed a petition seeking protection under the U.S. Bankruptcy Laws with a Chapter 11 reorganization. The petition was filed in the United States Bankruptcy Court for the Southern District of Texas and is identified by case number 93-46428-H2-11. The Bankruptcy Court has assumed jurisdiction over all of the assets and business of Hardware That Fits by leaving the existing officers and directors in possession subject to the supervision and orders of the court for matters outside the ordinary course of business. The bankruptcy filing does not affect either Albara Corp. or its other operating subsidiary, NorthCon Technologies Inc., d/b/a Helix Technologies, which continue to operate outside of bankruptcy.
 Recently, Hardware That Fits has found it increasingly difficult to pay its vendors in a timely fashion. The company has exhausted previous sources of working capital and creditors have been increasingly reluctant to extend trade credit to Hardware That Fits. Certain vendors have placed Hardware That Fits on a C.O.D. basis. These actions have dramatically impacted the ability of Hardware That Fits to purchase inventory and fulfill sales orders. In addition, as previously reported, Hardware That Fits has been vigorously defending itself in litigation with Dataproducts Corp., a former supplier of printer products. The working capital shortfall, coupled with the actions of Dataproducts Corp. in its litigation, has resulted in this decision by Hardware That Fits to pursue protection under the U.S. Bankruptcy Laws with a Chapter 11 reorganization. Now that Hardware That Fits has filed its petition, it is actively seeking new sources of working capital financing that are traditionally available to companies in these circumstances.
 Albara, through its two operating subsidiaries, "Hardware That Fits" and "Helix Technologies," develops, publishes and markets computer hardware, software and peripherals for the Apple Macintosh micro computer. Marketing of its products is accomplished via direct response marketing, authorized dealers and value added resellers. Hardware That Fits sells computer hardware peripherals and mass storage products for the Macintosh micro computer via the direct response market. In addition, the company markets its own line of hardware products that includes laser printers, a color printer, a color scanner and both gray scale and color monitors under the "RealTech" tradename. Helix Technologies is a software publisher and currently markets several software products as well as the company's flagship product "Helix Express," a relational database for use on the Apple Macintosh computer. Helix Technology sells software through authorized dealers, distributors and direct to its client base.
 The common stock of Albara is traded under the symbol ALAB on the National Association of Securities Dealers Inc. NASDAQ small capital market.
 -0- 9/7/93
 /CONTACT: Holly Arbuckle, investor relations, 409-539-2992/
 (ALAB) CO: Albara Corp.; Micro Business Solutions Inc.; Hardware That Fits ST: Texas IN: CPR SU: BCY


MF-LM -- LA008 -- 9216 09/07/93 09:32 EDT
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Publication:PR Newswire
Date:Sep 7, 1993
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