ROADMASTER INDUSTRIES, INC. ANNOUNCES SECOND QUARTER AND SIX-MONTH RESULTS - Second Quarter Revenues Increase 68%, Six-Month Revenues Up 73% - - Management Institutes Measures Which Should Enhance Future Sales and Earnings -.

ATLANTA--(BUSINESS WIRE)--JULY 28, 1995--Roadmaster Industries, Inc. (NYSE Symbol: RDM) today announced results for the second quarter and six months ended July 1, 1995.

Revenues for the quarter ended July 1, 1995 increased 68% to $172.7 million, compared to $102.6 million for the quarter ended July 2, 1994. Revenues for the six months ended July 1, 1995 increased 73% to $348.3 million, up from $200.9 million in the same year ago period .

The Company's impressive revenue growth reflects continued strong performance from the core Roadmaster, Vitamaster, and Flexible Flyer brands. Revenues in the Company's bicycle division were flat despite industry wide softness signaling that Roadmaster's brand of best-value products continues to gain market share. In addition, the sporting goods subsidiaries acquired from Actava Group in December 1994 contributed significantly to revenues during both periods. Revenue increases are particularly noteworthy given that they occurred during a period in which the general retail environment experienced a slowdown. The combination of these factors supports that the Company is running at a rate that will exceed its original projections of $750 million in revenues for the year.

Consistent with remarks made in the Company's March 1, 1995 and May 2, 1995 announcements concerning market and cost factors negatively impacting the first half of this year, the net loss for the second quarter was $5.6 million, or $0.11 per share, compared to net income of $1.1 million, or $0.03 per share, for the quarter ended July 2, 1994. The net loss for the six-month period was $7.1 million, or $0.14 per share, compared to net income of $1.8 million, or $0.06 per share, for the same year ago period. As anticipated, results were adversely impacted by market pricing pressures in bicycle and fitness products, high material costs related to cardboard, plastics and steel, and elevated interest expenses.

In anticipation of Roadmaster's growth plans in the last half of this year, the Company's primary lenders are implementing a $15 million increase in its existing credit facility. This increase is designed as an interim step toward the completion of a $300 million credit facility and structured financing which is expected to meet Roadmaster's needs through 1996 and beyond. The Company expects that it has the products, programs and financing necessary to restore profitability in the last half of this year.

During the second quarter, the Company implemented a series of actions that management anticipates will positively impact results beginning in the latter half of this year. A second round of price increases on Roadmaster's bicycle line was effective July 24, 1995. Effective August 15, 1995, the Company will implement price increases on the lowest margin fitness product lines. Lastly, the addition of the new, innovative, higher price point swing set lines should offset competitive pressures in this segment late this year and into 1996.

Revenue from the Roadmaster camping subsidiary, Nelson/ Weather-Rite (NWR) increased a strong 49% for the quarter, and 43% for the six-month period. NWR's core camping business, excluding the MZH acquisition completed on March 1, 1995, experienced double digit growth.

The "Body by Jake Ab and Back Plus" infomercial, which to date has sold over 250,000 units, has been introduced to the retail marketplace and is expected to make a significant margin contribution in the second half of this year. Two additional fitness infomercials, which were originally scheduled for introduction in 1996, will be released in the fourth quarter of this year in addition to three other infomercials expected to be in place by that time.

Henry Fong, Chief Executive Officer of Roadmaster, stated, "In addition to the measures already discussed, we continue to focus on improving productivity and manufacturing efficiencies. During the second quarter, the operations of Willow Hosiery were merged with those of Hutch Sports, Inc., and we realigned certain fitness operations at our Tyler, Texas facility. Both of these initiatives will result in manpower savings beginning in the second half of this year."

Mr. Fong continued, "Management anticipates that price increases, coupled with the expectation for lower raw material costs and higher unit volume, will contribute to improved performance in the second half of this year. Also, MZH, Inc. is expected to make significant contributions going forward. For the long term, we believe that Roadmaster's fundamentals are extremely sound, and that all of our product categories are poised for further growth as we complete the current cost inflation cycle."

Roadmaster is one of the largest manufacturers of bicycles and is a leading producer of fitness equipment, toys, team sports, and camping equipment. The trademarks or brand names under which Roadmaster sells its products include Roadmaster, Flexible Flyer, Vitamaster, MacGregor, Weather- Rite, American Camper, Remington, DP, Hutch, Reach, Forster, and the newly acquired sleeping bag lines of Cloud Nine, American Trails, and Expedition Trails. -0-

               ROADMASTER INDUSTRIES, INC. AND SUBSIDIARIES
                  Consolidated Statements of Operations
                  (In thousands, except per share data)
                              (unaudited)

                     Three Months Ended              Six-months Ended
                July 1, 1995    July 2, 1994    July 1,1995     July 2, 1994

Net sales       $   172,713    $   102,566      $   348,259     $   200,854
Cost of sales       152,935         86,943          304,524         172,079
  Gross profit       19,778         15,623           43,735          28,775

Selling, general and
 administrative
 expenses            18,921          8,231           36,239          15,219
Operating income        857          7,392            7,496          13,556
Other expense, net:
Interest expense      9,185          4,848           17,103           9,657
Other, net              857            845            1,970             938
                     10,042          5,693           19,073          10,595

Earnings before income
 tax expense         (9,185)         1,699          (11,577)          2,961

Income tax expense   (3,606)           646           (4,521)          1,126
Net earnings     $   (5,579)     $   1,053       $   (7,056)      $   1,835
Earnings per common share:
  Primary and fully
   diluted       $    (0.11)     $    0.03       $    (0.14)      $    0.06

Weighted average
 common shares
 outstanding and
 common stock
 equivalents:
   Primary and fully
    diluted          49,083         30,904            48,866         30,403
-0-

The information contained herein was obtained from the management of
ROADMASTER INDUSTRIES, INC. and other sources deemed to be reliable.
This does not constitute the solicitation of the purchase or sale of
securities.  Lippert/Heilshorn & Associates, Inc. is employed by the
Company as its investor relations firm.

CONTACT: Jeff Hinton

Chief Financial Officer

ROADMASTER INDUSTRIES, INC.

404-586-9000

or

LIPPERT/HEILSHORN & ASSOCIATES

Richard Foote, 212/838-3777 ext. 119