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 BELLVUE, Wash., Dec. 2 /PRNewswire/ -- Lamonts Apparel Inc. (NASDAQ: LMNT) today announced the consummation of the previously announced offering of shares of its Convertible Preferred Stock, liquidation preference $3.00 per share, which offering was made pursuant to transferable subscription rights issued to holders of record of the company's common stock. The company said that approximately 3.3 million shares of preferred stock had been subscribed for pursuant to the exercise of rights, which expired on Nov. 29, 1993.
 The company also said that, pursuant to a previously announced Standby Arrangement, its two largest stockholders, together with the holders of approximately 90 percent of the company's senior notes, purchased on Dec. 1, 1993 approximately 1.2 million shares of preferred stock available after satisfaction of all rights that were exercised.
 The company used the net proceeds of these transactions to repurchase $13.0 million aggregate principal amount of its outstanding senior notes, at par. Subsequent to such repurchase, $62.0 million of senior notes remain outstanding. In connection with these transactions, the terms of the senior notes have been amended to, among other things, reduce the interest rate on the senior notes from 11+ percent, to 10 percent and to add certain call protection.
 In addition, the company announced that it has replaced its existing Working Capital Facility with a new facility with its existing lenders and that it has received a waiver with respect to certain provisions contained in this agreement.
 Additionally, the company announced that it is continuing to pursue alternative working capital facilities which will provide for more flexibility than the replacement facility and that it has entered into a letter of intent with other lenders with respect to such a facility.
 Lamonts, a leading specialty apparel retailer, operates 52 full-line and five Lamonts For Kids stores throughout the Pacific Northwest, Alaska, the Intermountain states, and the Upper Midwest.
 -0- 12/2/93
 /CONTACT: Earle Spokane of Lamonts, 206-644-5800/

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

IC -- SE004 -- 9663 12/02/93 09:20 EST
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Publication:PR Newswire
Date:Dec 2, 1993

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