Berger Holdings, Ltd. Reports Six Month Net Income Increases 21% Despite Decrease in Second Quarter.

Business Editors

PHILADELPHIA--(BUSINESS WIRE)--Aug. 8, 2002

Berger Holdings, Ltd. (NASDAQ:BGRH) reported an increase in net income for the six months ended June 30, 2002.

The exceptionally mild winter in its core market adversely affected the second quarter comparisons because of damage caused by the prior year's more normal winter. In addition, the Company reported that revenue and operating margins in 2002 has been affected by the weak economy, increased competition and rising raw material costs.

However, the Company was able to significantly offset reduced revenue by a corresponding reduction of expenses, increased operating efficiencies, and the elimination of goodwill amortization. The Company also reported that since completion of the reorganization of its Sales and Marketing Department in the fourth quarter of 2001, it has opened over 100 new or re-established customers.

Mr. Theodore A. Schwartz, Chairman and CEO of the Company stated, "During the twelve months ended June 30, 2002, our strong cash flow enabled us to reduce our bank debt by approximately $3.4 million. During that same period, the Company also bought back 293,125 shares of common stock on the open market at a cost of $1,086,365."

He further stated, "Berger has grown substantially during the last five years and in order to sustain that growth we are continuing to penetrate new markets while expanding and servicing our current customer base. The Company's management is committed to using every effort to achieve our goals which we believe results in increasing intrinsic shareholder value."

                   Quarter Ended June 30:    Six Months Ended June 30:
                   ----------------------    ------------------------
                   2002           2001          2002          2001
                   -----          ----          ----          ----

Revenue         $12,056,516   $13,870,909   $21,909,687   $24,095,270
Operating
 income         $ 1,160,198   $ 1,491,735   $ 1,451,928   $ 1,557,376

Net income
 before taxes   $   858,821   $ 1,077,631   $   859,901   $   710,179


Provision for
 income tax     $   377,881   $   474,158   $   378,356   $   312,479

Net income      $   480,940   $   603,473   $   481,545   $   397,700

Basic shares      5,039,878     5,354,030     5,053,131     5,347,887

Basic earnings
 per share      $       .10   $       .11   $       .10   $       .07


Diluted shares    6,883,763     6,273,884     6,880,538     6,021,018

Diluted earnings
 per share      $       .07   $       .10   $       .07   $       .07

Berger Holdings, Ltd. is the parent company of Berger Bros Co., which was founded in 1874, and is a manufacturer of the most complete line of roof drainage products specializing in copper as well as residential and commercial snow guards. All of the Company's products are used in new construction, remodeling, and renovation markets.

Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that actual results may differ substantially from such forward-looking statements. Forward-looking statements involve risk and uncertainties including but not limited to, continued acceptance of the company's products in the marketplace, competitive factors, new products and technological changes, the Company's dependence upon third-party suppliers and other risks detailed in the company's periodic reports filing with the Securities and Exchange Commission.