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HUFFY CORPORATION ANNOUNCES SECOND QUARTER RESULTS

 HUFFY CORPORATION ANNOUNCES SECOND QUARTER RESULTS
 DAYTON, Ohio, July 15 /PRNewswire/ -- Huffy Corporation


(NYSE: HUF) announced today net sales of $180.9 million for the quarter ended June 30, 1992, down from last year's record of $189.3 million. Net earnings for the quarter were $4.9 million, or $.35 per fully-diluted share, compared to last year's results of $7.2 million, or $.50 per fully-diluted share. As previously announced, the decline in sales and earnings was anticipated and due primarily to recent business conditions at the Huffy Bicycle Company.
 Net sales for the six months ended June 30, 1992, set a new record at $360.5 million, up from the $357.9 million reported for the same period last year. Net earnings for the first six months of 1992 were $10.8 million, down from the $13.3 million reported for the first six months of 1991. Fully-diluted earnings per share for the six month period were $.76 compared to $.93 per fully-diluted share earned in the same period one year ago.
 Harry A. Shaw III, chairman of the board and chief executive officer, said, "This has been a difficult quarter for us. The recent disappointment with our Cross Sport bicycle introduction, combined with a move toward lower priced mountain bikes, has presented many challenges and has had a major impact on our profitability. However, these issues have been addressed and actions have been taken to put the Huffy Bicycle Company back on track. Among those actions are implementation of overhead cost and expense reductions, acceleration of new product introduction, and replacement of production capacity designated for the Cross Sport model with lower margin product."
 Commenting further on operating results, Richard L. Molen, president and chief operating officer said, "At the end of the first six months of 1992, in the Recreation and Leisure Time Products segment, True Temper Hardware Company has stabilized the margin deterioration experienced in the first quarter as a result of a shift in product mix and competitive pricing pressure, and continues to make substantial market share gains in both the retail and wholesale distribution channels. Huffy Sports Company reported a solid performance for the fist six months with sustained profitability.
 "Our Juvenile Products segment reported continued sales growth for the first half of the year, benefiting from positive demographics and successful product introductions. In the Services for Retail segment, Washington Inventory Service continues to show improved profitability as a result of management's focus on team culture and improving operating efficiency. Huffy Service First continues its revenue growth driven by a successful merchandising business."
 Shaw concluded, "We will be impacted by margin pressures at Huffy Bicycles throughout 1992. However, all of our other operating companies are performing well and are expected to meet or exceed 1991 performance. We remain cautious with our earnings expectations for the remainder of this year due to the uncertainty in the markets we serve."
 Huffy Corporation is a major supplier of bicycles, basketball, hardware and juvenile products, and a nationwide supplier of assembly, merchandising and inventory services to high volume retailers.
 CONSOLIDATED STATEMENTS OF EARNINGS
 (Dollars in thousands, except per share data)
 Quarter Ended
 June 30,


Percent
 1992 1991 Change
 Net Sales $180,910 $189,254 (4)
 Gross Profit $ 34,263 $ 37,423
 Percent to Net Sales 18.9 pct. 19.8 pct.
 Selling, general and
 administrative expenses $ 23,786 $ 24,095
 Other income (expenses) $ 87 $ 456
 Earnings before interest
 and taxes $ 10,564 $ 13,784 (23)
 Interest expense, net $ 2,675 $ 2,394
 Earnings before income taxes $ 7,889 $ 11,390 (31)
 Income taxes $ 3,012 $ 4,221
 Net earnings $ 4,877 $ 7,169 (32)
 Earnings Per Common Share:
 Primary(A) $ 0.37 $ 0.55 (33)
 Fully Diluted(A) $ 0.35 $ 0.50 (30)
 Fully Diluted Common Shares(A) 15,080,665 15,032,704
 Six Months Ended
 June 30,


Percent
 1992 1991 Change
 Net Sales $360,525 $357,929 1
 Gross Profit $ 72,084 $ 72,375
 Percent to Net Sales 20.0 pct. 20.2 pct.
 Selling, general and
 administrative expenses $ 49,875 $ 47,095
 Other income (expenses) $ 139 $ 340
 Earnings before interest
 and taxes $ 22,348 $ 25,620
 Interest expense, net $ 5,054 $ 4,301
 Earnings before income taxes $ 17,294 $ 21,319 (19)
 Income taxes $ 6,536 $ 8,060
 Net earnings $ 10,758 $ 13,259 (19)
 Earnings Per Common Share:
 Primary(A) $ 0.82 $ 1.02 (20)
 Fully Diluted(A) $ 0.76 $ 0.93 (18)
 Fully Diluted Common Shares(A) 15,098,263 15,027,484
 (A) All earnings per share data, number of Common Stock and Common Stock equivalents outstanding and equity per common share have been adjusted to reflect the three-for-two stock split effective July 12, 1991.
 -0- 7/15/92
 /CONTACT: Pamela J. Whipps, assistant treasurer and manager, investor relations of Huffy Corporation, 513-866-6251/
 (HUF) CO: Huffy Corporation ST: Ohio IN: LEI SU: ERN


BM -- CL019 -- 9774 07/15/92 17:54 EDT
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