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KIRBY CORPORATION ANNOUNCES PURCHASE AGREEMENT

 KIRBY CORPORATION ANNOUNCES PURCHASE AGREEMENT
 HOUSTON, Jan. 27 /PRNewswire/ -- Kirby Corporation (AMEX: KEX)


announced today that it has signed an agreement of purchase and sale with Sequa Corporation for the purchase of assets of Sabine Towing & Transportation Co., Inc., a wholly-owned subsidiary of Sequa, for $37,250,000 in cash, subject to certain adjustments. The purchase will be consummated through Sabine Transportation Company, a wholly-owned subsidiary of Kirby.
 The closing of the transaction is subject to appropriate regulatory filings and approvals, completion of due diligence reviews presently underway and the resolution of certain other issues. The transaction is expected to be consummated by late February 1992. Kirby intends to finance the acquisition with a combination of cash on hand and new financing within Sabine Transportation. Kirby's pro forma studies indicate that the acquisition will produce a favorable impact on Kirby's earnings.
 Sabine, located in Port Arthur, Texas, is engaged in coastal and inland marine transportation of petroleum products and harbor tug services. Sabine recorded total revenues of $66.8 million for the year ended Dec. 31, 1990, and $50.5 million for the nine months ended Sept. 30, 1991. Kirby has previously reported 1990 revenues of $175.8 million and nine months ended Sept. 30, 1991, revenues of $140.0 million. Approximately 65 percent of Sabine's revenues are derived from the coastal tanker division, 25 percent from the inland tank barge division and 10 percent from the harbor tug service division.
 Sabine's tanker division, operating under charter to U.S. oil companies, consists of six owned American-flag tankers of 28,700 to 35,000 dead-weight-tons and one leased barge and tug unit transporting petroleum products in the Gulf of Mexico, to the U.S. East Coast and in the Caribbean Basin. Under the requirements of the Oil Pollution Act of 1990, the six tankers must be retrofitted with double hull cargo tanks or withdrawn from U.S. Coastwise trade in various years from 1995 to 2004. The inland barge division, consisting of 33 owned and five leased split-product tank barges and 11 owned and four leased towboats, operates solely in the transportation of clean petroleum products, along the lower Mississippi River and the Gulf Intracoastal Waterway. Approximately 40 percent of Sabine's inland barge division revenues are derived from long-term contracts and 60 percent derived from the spot market. The harbor tug service division, consisting of eight owned tugboats, provides towing, docking and shifting services to the Port Arthur, Texas, and Lake Charles, La., area ports. In addition, the division provides offshore ship assistance and drill-rig movements off the Texas and Louisiana coasts.
 Kirby is a diversified corporation engaged, through its subsidiaries, in marine transportation, diesel repair and property and casualty insurance. Kirby's marine transportation subsidiary is engaged in the inland transportation of petrochemicals, other petroleum products and liquid fertilizer by tank barge along the Gulf Intracoastal Waterway and Mississippi River Systems and the offshore transportation of dry bulk and liquid cargo by barge primarily in the Gulf of Mexico, the Caribbean Basin and U.S. East Coast. Kirby's diesel repair subsidiary is engaged in the repair and overhaul of large diesel engines and related parts sales, primarily for customers in the inland and offshore marine industry. Kirby's property and casualty insurance subsidiary is engaged in the writing of property and casualty insurance in the Commonwealth of Puerto Rico.
 -0- 1/27/92
 /CONTACT: Steve Holcomb of Kirby, 713-629-9370/
 (KEX) CO: Kirby Corporation ST: Texas IN: TRN SU:


KD -- NY037 -- 3663 01/27/92 10:57 EST
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Date:Jan 27, 1992
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