Wellco Enterprises, Inc. Announces Action Taken At Annual Meeting and Expected Return to Profitability.

Waynesville, N.C.--(BUSINESS WIRE)--Nov. 18, 1999--

Wellco Enterprises, Inc. (AMEX-WLC) today announced that at the 1999 Annual Meeting of Stockholders, held on November 16, 1999, incumbent directors James T. Emerson, David Lutz and Fred K. Webb, Jr. were reelected as a Class II directors for a term expiring in 2002.

In addition, John D. Lovelace was elected to serve the remaining two years of the unexpired term of deceased director William D. Schubert.

At the subsequent 1999 Annual Meeting of the Board of Directors, the following action was taken: -0-

1.       All present officers of the Company were reelected.

2.       The Board declared a cash dividend of $.10 (ten cents) per
         share to all shareholders of record on December 17, 1999,
         payable on January 7, 2000.

3.       The Board, upon recommendation of the Compensation Committee,
         approved the 1999 Stock Option Plan for Key Employees
         providing for the granting of options to key employees for
         the purchase of an aggregate 82,500 shares of common stock
         of the Company. At a subsequent meeting of the Compensation
         Committee of the Board, options for the purchase of 52,500
         shares at a cost of $8.00 per share were awarded under this
         plan.

4.       The Board, upon recommendation of the Compensation Committee,
         also approved the 1999 Stock Option Plan for Non-Employee
         Directors providing for the granting of options to
         non-employee directors for the purchase of an aggregate
         21,000 shares of common stock of the Company. At a subsequent
         meeting of the Compensation Committee of the Board, options
         for the purchase of 11,000 shares at a cost of $8.00 per
         share were awarded under the plan.

     Management is expecting a significant improvement in future
operating results for two reasons :

1.       The U. S. government's program to reduce its "ready to go to
         war" inventory of combat boots is substantially completed.
         The government's inventory of combat boots in October, 1999
         was approximately 590,000 pairs. Management understands that
         the government has a target inventory of 550,000 to 600,000
         pairs. This means that in the near future the government
         should begin buying pairs of combat boots equal to
         consumption. In the last fiscal year ended July 3, 1999,
         Wellco sold 131,000 pairs of combat boots to the U. S.
         government. If Wellco had sold its contracted percentage of
         total boot consumption, these pairs would have been
         approximately 250,000.

2.       In February, 1999 Wellco announced a plan to transfer the
         majority of its boot bottoming and finishing operations from
         Waynesville, North Carolina and consolidate these operations
         with its existing boot upper manufacturing in Puerto Rico.
         Since 1956, Wellco has had footwear manufacturing operations
         in Puerto Rico and, for the last 20 years, has made all of
         its combat boot uppers in Puerto Rico.

         This transfer and consolidation is substantially complete.
         Operating results for the fiscal year ended July 3, 1999 and
         for the ensuing fiscal quarter ended October 2, 1999 included
         costs related to this action totaling $1,436,000. While some
         costs are yet to be incurred, management estimates that they
         will not be significant. In addition, the lower operating
         cost and income tax rate structure in Puerto Rico will start
         being reflected in future operating results.

Management believes that the increase in future combat boot sales and the soon-to-be realized lower cost structure of increased Puerto Rico operations will in the near future return the Company to a healthy level of profitability.

Except for historical information, this announcement includes forward looking statements that involve risks and uncertainties, including, but not limited to, the receipt of contracts from the U. S. government and the performance thereunder, the effect of customers and vendors not being timely in Year 2000 compliance, the ability to control costs under fixed price contracts, the cancellation of contracts, and other risks detailed from time to time in the Company's Securities and Exchange Commission filings, including Form 10-K for the year ended July 3, 1999. Actual results may differ materially from management expectations.