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CHIPWICH REPORTS DIVERSIFICATION

 CHIPWICH REPORTS DIVERSIFICATION
 NEW YORK, Dec. 17 /PRNewswire/ -- Chipwich, Inc. (OTC-NASDAQ: CHIPA)


reported that the company has entered into an agreement with Robert Peltz, whereby Peltz will purchase the company's Peltz Food Division. Peltz was formerly the sole shareholder of Peltz Food Corporation which merged with Chipwich, Inc. in February 1989.
 Sam Metzger, president of Chipwich noted that the Peltz Food transaction, unanimously approved by the company's board of directors was consistent with plans for diversification. In October, the company announced its agreement to acquire approximately 50 percent of Best of the Best, Inc. and Diner Express, Inc. Best of the Best has created, test marketed and introduced a line of private label frozen meals approaching restaurant quality at reasonable prices targeted for major supermarket chains. Diner Express presently operates one commissary and three depots serving the mobile catering industry and is currently negotiating to purchase two additional companies, all of whom are operating in the Northeast Corridor. Metzger added that the Peltz transaction would improve Chipwich, Inc.'s, liquidity, eliminate existing bank debt and better enable the company to concentrate its management efforts and resources on its new businesses.
 The Peltz transaction is subject to the satisfaction of certain conditions including shareholder approval. The agreement provides for Chipwich, Inc. to receive $1.7 million; $600,000 at closing, $500,000 (15) months after closing and $600,000 (5) years after closing and to be relieved of all existing bank debt. In addition, Peltz will surrender 1,950,000 common shares and 350,000 preferred shares.
 Peltz has been succeeded as chairman and chief executive officer of Chipwich, Inc. by Richard E. LaMotta, the company's founder.
 -0- 12/17/91
 /CONTACT: Samuel Metzger of Chipwich, Inc., 212-688-8890/
 (CHIPA) CO: Chipwich, Inc. ST: New York IN: FOD SU: TNM


PS-KW -- NY003 -- 2816 12/17/91 08:30 EST
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Publication:PR Newswire
Date:Dec 17, 1991
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