Cal-Maine Foods, Inc. Reports Second Quarter Results.

JACKSON, Miss.--(BUSINESS WIRE)--Dec. 21, 1998--Cal-Maine Foods, Inc. (NNM:CALM) today reported results for the second quarter and six months ended November 28, 1998. Net sales for the second quarter of fiscal 1999 were $77.9 million compared with net sales of $79.4 million for the same quarter of fiscal 1998. The Company reported a net profit of $4.3 million, or $.32 per basic share, compared with a net profit of $4.2 million, or $.32 per basic share, a year ago.

For the first six months of fiscal 1999, net sales were $146.7 million compared with net sales of $143.2 million for the first half of 1998. Net income was $2.2 million, or $.17 per basic share, compared with $2.5 million, or $.19 per basic share, for the same period last year.

Fred Adams, Jr., chairman and chief executive officer of Cal-Maine Foods, stated, "Revenues and profits were essentially flat for the second quarter compared with the same period last year. Dozens of eggs sold were up four percent, while the average selling price was down 5.72 cents per dozen sold. Lower feed cost and improved efficiencies kept our net margin the same as the year-earlier period despite lower egg prices.

"Domestic demand for eggs remains at a good level, while export demand continues to be slow. Feed costs are relatively low and the current outlook calls for continuing favorable feed prices."

Cal-Maine Foods, Inc. is primarily engaged in the production, cleaning, grading, packing and sale of fresh shell eggs. The Company, which is headquartered in Jackson, Mississippi, currently is the largest producer and distributor of fresh shell eggs in the United States and sells the majority of its shell eggs in approximately 26 states across the southwestern, southeastern, midwestern and mid-Atlantic regions of the United States.

Statements contained in this press release which are not historical facts are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties (contained in the Company's SEC filings) which could cause actual results to differ materially from those projected. SEC filings may be obtained from the SEC or by contacting the Company. -0-

                CAL-MAINE FOODS, INC. AND SUBSIDIARIES
              Condensed Consolidated Statements of Income
                              (Unaudited)
                 (In thousands, except per share data)


                                 13 Weeks Ended       26 Weeks Ended
                               Nov. 28,  Nov. 29,  Nov. 28,   Nov. 29,
                                 1998     1997       1998       1997
                               -------   -------   --------   --------
Net sales                      $77,948   $79,435   $146,733   $143,158

Gross profit                    17,303    15,436     23,384     20,905

Operating income                 8,017     7,314      5,162      5,323

Income before income taxes       6,796     6,688      3,516      3,878

Net income                     $ 4,254   $ 4,244   $  2,167   $  2,507

Net income per common share:
  Basic                        $   .32   $   .32   $    .17   $    .19
  Diluted                      $   .32   $   .32   $    .16   $    .19

Weighted average shares
  outstanding:
  Basic                         13,115    13,194     13,131     13,191
  Diluted                       13,252    13,435     13,284     13,443