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HARTMARX ANNOUNCES FIRST-QUARTER RESULTS, LOAN AMENDMENT

 HARTMARX ANNOUNCES FIRST-QUARTER RESULTS, LOAN AMENDMENT
 CHICAGO, April 6 /PRNewswire/ -- Hartmarx Corp. (NYSE: HMX) today reported operating results for the first quarter ended Feb. 29. The company also announced an amendment and agreement in principle to reduce the tangible net worth requirement in several of its loan agreements.
 Sales for the quarter were $304,740,000 with a loss of $6,595,000 or $.26 per share compared to sales of $318,935,000 and a loss of $1,215,000 or $.06 per share in 1991.
 The company's $45 million term loan agreement with several insurance companies has been amended reducing its minimum tangible net worth covenant from $300 million to $275 million. A similar amendment relating to the company's $13 million ESOP loan guarantee has been agreed to in principle, subject to the execution of a definitive agreement. Tangible net worth, as defined in these agreements, was $307 million at Feb. 29, 1992, compared to the
new required minimum of $275 million. Other loan agreements presently require a tangible net worth of $250 million.
 Harvey A. Weinberg, chairman and chief executive officer of Hartmarx, commented, "Reduction of our minimum net worth covenant, which was requested by certain factoring firms and other lenders, facilitates the completion of negotiations to extend the company's bank loan agreements or enter into substitute agreements. The company is seeking to extend to Sept. 30, 1993, the $207 million multi-option bank loan facility, expiring on Nov. 30, 1992, and $40 million of term debt, due in October 1992 and January 1993. Discussions are continuing with these 13 lenders and substantial progress towards an extension has recently been made, although an agreement is subject to internal approvals by these lenders and definitive documentation.
 "Operating results for the first quarter were very disappointing, primarily from lower December sales in the company's retail segment. Consolidated sales declined 4.5 percent, entirely in retailing from fewer stores and lower sales in comparable store locations. Wholesale sales to independent customers increased in both menswear and womenswear. The loss for the quarter was attributable to the retail segment from lower sales and lower gross margins. Wholesale segment earnings improved compared to last year, principally from higher sales. Total expenses declined $8 million during the quarter, all in the retail segment, reflecting store closings and the results of the company's expense reduction programs. We expect further expense reductions for the balance of the year as we continue to downsize retailing and implement the consolidation of Hartmarx Specialty Stores and Kuppenheimer support functions.
 "Inventories at the end of the first quarter were $13 million lower than last year. Total debt at Feb. 29 was $26 million higher than the previous year due in part to earlier seasonal requirements. By March 31, debt was $13 million lower than last year and $35 million borrowing capacity was available under committed loan facilities."
 Hartmarx, headquartered in Chicago, is the nation's leading manufacturer and retailer of quality men's and women's apparel.
 HARTMARX CORP.
 First quarter ended 2/29/92 2/28/91
 Net sales $304,740,000 $318,935,000
 Loss before taxes (10,145,000) (1,975,000)
 Tax benefit (3,550,000) (760,000)
 Net loss (6,595,000) (1,215,000)
 Loss per share $(.26) $(.06)
 Average common shares and
 equivalents outstanding 25,363,000 20,188,000
 -0- 4/6/92
 /CONTACT: Frank Brenner of Hartmarx, 312-372-6300/
 (HMX) CO: Hartmarx Corp. ST: Illinois IN: REA SU: ERN


CK -- NY050 -- 5335 04/06/92 11:59 EDT
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Date:Apr 6, 1992
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