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HORN & HARDART ACQUIRES ASSETS OF THE COMPANY STORE CATALOG

 WEEHAWKEN, N.J., Aug. 27 /PRNewswire/ -- The Horn & Hardart Company (AMEX: HOR) today announced that it has purchased substantially all of the assets of The Company Store, Inc., a leading direct marketer of down comforters, other down products and home furnishings. The transaction, which has been approved by the U.S. Bankruptcy Court in the Western District of Wisconsin, also includes certain assets of Scandia Down Corporation, trademarks, customer lists, a modern telemarketing facility, office building and state-of-the-art manufacturing facility for the production of comforters and other down products.
 The purchase price of approximately $7 million consisted of 516,824 shares of Horn & Hardart common stock (subject to increase under certain circumstances), and the issuance by subsidiaries of the Company of $4.6 million of mortgages and notes secured by certain acquired assets. The Company is not an obligor under the notes or mortgages.
 "The Company Store is a unique specialty retailer with a strong franchise in the home furnishings market. In its last fiscal year of full operations, The Company Store had revenues of $84 million," said Jack E. Rosenfeld, president and CEO. "It complements our Domestications catalog, the largest home furnishings catalog in the country, which features fashionable home textiles at value prices.
 "This acquisition is another step in our plan to develop or acquire catalogs with stong brand names and leading market positions in clearly defined niches," he said. "We intend to strengthen The Company Store's positioning as a high end domestic catalog. At the same time, our proprietary 16-million-name mailing lists will be enhanced by the addition of The Company Store's 3 million names."
 Hanover Direct, which is the Company's only operating subsidiary, is the largest multi-title direct retailing company in the U.S. Its other catalogs include Colonial Garden Kitchen, serving 1.2 million customers with work-saving and lifestyle-enhancing items for the kitchen; International Male, which targets fashion-conscious young men with private-label goods; and Gump's, the San Francisco landmark specialty retailer and cataloger.
 Hanover Direct is headquartered in Weehawken.
 -0- 8/27/93
 /CONTACT: Michael P. Sherman, executive VP, 201-319-3403, Wayne P. Garten, executive VP, 201-319-3452, both of Horn & Hardart; or Gregory William Miller of Robinson Lake/Sawyer Miller, 212-484-7404/
 (HOR)


CO: Horn & Hardart Company; The Company Store Inc. ST: New Jersey, Wisconsin IN: REA SU: TNM

LG-SH -- NY009 -- 6523 08/27/93 09:47 EDT
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Publication:PR Newswire
Date:Aug 27, 1993
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