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BURLINGTON ANNOUNCES CAPACITY EXPANSION PROGRAM IN APPAREL PRODUCTS SEGMENT

 GREENSBORO, N.C., Feb. 10 /PRNewswire/ -- Burlington Industries Equity Inc. (NYSE: BUR) announced today major new capital investments in four divisions of its highly successful apparel products segment. The investments are expected to increase capacity in these divisions by more than 10 percent by 1995. Over $70 million will be invested in the expansion program, primarily in new equipment that will also enhance the diversity of product offerings.
 Frank Greenberg, chairman and chief executive officer, said, "Demand for our value-added specialty products is strong and there is substantial opportunity for growth and additional diversity in this product area. The planned capital investments will relieve capacity constraints and allow us to meet our customers' increasing needs for new, innovative products. The investments are expected to produce additional profit contribution in 1994 but reach full potential in 1995, when the investments are complete."
 Greenberg also noted that funds for the expenditures are expected to be supplied from internally generated sources and will not affect the company's ability to meet scheduled debt repayments. The capital expenditures will be spread over a two year period, beginning in the Spring of 1993.
 The capacity expansion program involves four divisions: Burlington Denim, Burlington Menswear, Burlington Klopman Fabrics, and Burlington Madison Yarn Company.
 Burlington Denim, a leading producer of specialty value-added denim, will continue to modernize its existing plants with state-of-the-art high speed looms which will produce the ultimate in quality for its customers. Capacity will be increased by utilizing a plant formerly used by the carpet division.
 Burlington Menswear, the nation's leading manufacturer of worsted fabrics for men's and women's tailored clothing, will expand its weaving and finishing capacity with the installation of specially designed equipment. The new investments will be focused on producing a new generation of women's and men's fashion fabrics that have not been traditionally available in the tailored clothing market.
 Expenditures for Burlington Klopman Fabrics will increase its dyeing and finishing capacity and also its weaving capacity, making it possible to continue broadening the division's product line in order to meet its customers' needs for fashion, function and value.
 Burlington Madison Yarn Company will install new synthetic spun yarn equipment permitting the division to upgrade product mix, increase volume and improve quality.
 Burlington Industries Equity Inc. is the parent of Burlington Industries, Inc., one of the largest and most diversified manufacturers of textile products in the world. Sales of the company's apparel products segment totaled $1.3 billion in the 1992 fiscal year, representing 64 percent of Burlington's overall sales valume. The interior furnishings products segment accounted for the remaining 36 percent of sales.
 -0- 2/10/93
 /CONTACT: Bryant Haskins of Burlington Industries, 919-379-2512, or Tom Daly of Kekst & Co., 212-593-2655/
 (BUR)


CO: Burlington Industries Equity Inc. ST: North Carolina IN: TEX SU:

SB -- CH002 -- 5027 02/10/93 09:24 EST
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Publication:PR Newswire
Date:Feb 10, 1993
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