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LAMONTS' REGISTRATION OF TRANSFERABLE SUBSCRIPTION RIGHTS EFFECTIVE OCT. 18, 1993

 BELLEVUE, Wash., Oct. 18 /PRNewswire/ -- Lamonts Apparel Inc. (NASDAQ: LMNT) announced that a Registration Statement filed with the Securities and Exchange Commission has been declared effective today. The Registration Statement relates to a Rights Offering to all holders of shares of the company's Common Stock of transferable subscription rights (the "Rights") to subscribe for and purchase for $3.00 one share of Convertible Preferred Stock, liquidation preference $3.00 per share, of the company (the "Preferred Stock") for every two shares of Common Stock held by each such holder at the close of business on Oct. 28, (the Record Date). The gross proceeds of the Rights Offering will be approximately $13.4 million.
 The company's two largest stockholders have agreed, subject to certain conditions, to subscribe for and purchase all of the Preferred Stock available to them pursuant to their portion of the Rights to be distributed to all stockholders. These two stockholders, together with the holders of approximately 90 percent of the company's Senior Notes, have agreed, subject to certain conditions, to purchase any Preferred Stock available after satisfaction of all Rights which are exercised. Therefore, subject to certain conditions, sale of all of the Preferred Stock, is assured.
 The company will use the net proceeds of the Rights Offering to repurchase $13.0 million aggregate principal amount of Senior Notes, at par. After the repurchase, $62.0 million of Senior Notes will remain outstanding. In connection with the Rights Offering, the holders of the Senior Notes have agreed, subject to certain conditions, to amend the Senior Notes to, among other things, reduce the interest rate on the Senior Notes from 11 1/2 percent to 10 1/4 percent and add certain call protection.
 Lamonts, a leading specialty apparel retailer, operates 51 full-line and five Lamonts For Kids stores throughout the Pacific Northwest, Alaska, the Intermountain states, and the upper Midwest.
 -0- 10/18/93
 /CONTACT: Earle Spokane of Lamonts Apparel, 206-644-5800/
 (LMNT)


CO: Lamonts Apparel Inc. ST: Washington IN: REA SU: OFR

RB -- SE005 -- 3295 10/18/93 10:39 EDT
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Publication:PR Newswire
Date:Oct 18, 1993
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