Coleman Reports Progress With Strategy To Focus On Core Businesses, Streamline Operations.

GOLDEN, Colo.--(BUSINESS WIRE)--April 15, 1997--

Actions Will Reduce Costs and Improve Coleman's Competitive

Positioning

Key Measures include Plant Closings, Head-Count

Reductions, SKU Rationalizations

The Coleman Company, Inc. (NYSE: CLN) today reported it has taken several key actions as part of its previously announced strategy to improve profitability.

Jerry W. Levin, who was named Chairman and Chief Executive Officer of Coleman in February of this year, said, "I pledged in February that we would move quickly to improve profitability and cash flow. At the same time, I said we would refocus Coleman on its core businesses and reinforce its fundamental strengths - which include a powerful competitive position in a growing market with leading market shares, high-quality products and the most prominent brand names in the industry."

"The actions we have initiated are significant steps toward improving Coleman's profitability, reducing costs and strengthening our competitiveness," Levin said. "Over the course of this year, we will take additional steps to further enhance our position in the growing market for our Company's wide array of recreational and home products."

Improving Profitability

Among the steps being taken by Coleman to reduce costs and improve efficiency, Mr. Levin said, have been the following:

- Closing corporate and regional headquarters in Golden, Colorado and Geneva, Switzerland and transferring the administrative personnel to existing facilities.

- A permanent reduction of approximately 10 percent in the company's 7,000 person workforce.

- Closing and consolidating three domestic and one international factories.

- Elimination of approximately one-third of the SKU items in the company's product lines, which combined with other activities that should result in a reduction of approximately $100 million of low- or no-profit revenues.

- Initiation of a plan to improve liquidity by $100 million primarily through working capital reduction.

- Divestiture of the company's pressure-washer businesses.

Building Core Businesses

Among the initial steps taken to build the company's core businesses, Mr. Levin said, have been the following:

- Emphasis on consumer-driven advertising with increased ad budgets. The company will target consumers directly through broadcast and print advertising, particularly for products from the company's North American Recreation, Powermate and Eastpak divisions.

- Commitment to the development of new technology and products. Prime examples of such new developments are:

- The lightweight Powermate 1000 Generator, from the

company's Powermate division.

- A liquid fuel withdrawal system for stoves and

lanterns from its North American Recreation group.

- A catalytic heater from the company's Camping Gaz 

operation in Europe.

- Globalization of core brands, particularly Coleman,

Camping Gaz, Powermate and Eastpak, which is now the most

popular name in the pack business in both Europe and Korea.

- International expansion building on, among other

accomplishments, Coleman's successful acquisition in 1996 of

Camping Gaz, the brand leader for family camping in Europe.

"Going forward," Mr. Levin said, "we will further scrutinize every one of our businesses to improve efficiency and reduce costs. At the same time, we will continue working to increase our market share, develop new technologically advanced products and expand globalization with a variety of initiatives. These steps will build on Coleman's fundamental strengths to establish a strong foundation for renewed profitability."

"We are strengthening our organizational structure through consolidation of administrative functions, hiring of new highly talented executives and the establishment of a new management incentive plan which rewards performance based on defined goals for EBIT, working capital and progress with globalization of the company's business."

Coleman is a leading manufacturer and distributor of widely diversified product lines for camping, leisure time, hardware and home safety and security markets in the United States, Canada and more than 100 other countries.

Information in this Press Release includes forward looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All such forward-looking statements involve risks and uncertainties. In addition to factors that are described in the Company's SEC filings, the following factors could cause actual results to differ materially from those expressed in the forward looking statements: (i) difficulties or delays in developing and introducing new products or failure of consumers to accept new product offerings; (ii) difficulties or delays in the Company's continued expansion outside the United States and into new markets; (iii) actions by competitors including business combinations, technological breakthroughs, new product offerings and marketing and promotional successes; and (iv) difficulties or delays in implementing existing plans to strengthen the Company's organizational structure.

CONTACT: Press Contact:

James T. Conroy

[phone]

or

Investor Relations Contact:

Marc R. Shiffman

[phone]