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ROADMASTER INDUSTRIES SIGNS LETTER OF INTENT FOR $30 MILLION FINANCING

 ENGLEWOOD, Colo., March 1 /PRNewswire/ -- Roadmaster Industries Inc. ("RMI" or the "company") (NASDAQ: WHEL) announced today that it had entered into a Letter of Intent with certain underwriters for a $30 million public offering of securities by the filing of a Registration Statement with the Securities and Exchange Commission.
 The Letter of Intent calls for the securities to be 10 year Convertible Subordinated Notes carrying an interest rate of 8 percent and will be convertible into shares of the company's Common Stock at a price equivalent to between 120 percent and 130 percent of the market price of a share of RMI's Common Stock on the effective date of the Registration Statement. The Notes will be redeemable by the company at their principal amount plus accrued but unpaid interest at any time commencing 24 months after the effective date subject to certain redemption requirements.
 The company said it will file with the Securities and Exchange Commission a Registration Statement on Form S-1 and complete the offering as soon as possible after the Registration Statement becomes effective. Part of the proceeds of the offering will be utilized to reduce the outstanding balances of certain term loans and revolving lines of credit of RMI's wholly-owned subsidiary, Roadmaster Corp. The remaining proceeds will be utilized for the expansion and capital improvement of the company's business, for possible acquisitions of complimentary product lines or companies and other general corporate purposes.
 Roadmaster Industries operates through its two wholly owned subsidiaries, Roadmaster Corp. and Hamilton Lamp Corp. as well as its majority-owned subsidiary, International Sports and Fitness Inc. Roadmaster Corp. is a leading designer and manufacturer of Roadmaster junior wheel goods, Roadmaster bicycles and Vitamaster fitness equipment. Hamilton Lamp Corp. is a leading manufacturer of lamps and replacement shades. International Sports and Fitness Inc. through its wholly-owned subsidiary, Roadmaster Leisure Inc., markets and distributes a broad range of sporting goods and recreational products, including Roadmaster Corp. products, in Canada.
 -0- 3/1/93
 /CONTACT: Thomas B. Olson of Roadmaster Industries, 303-290-8150/
 (WHEL)


CO: Roadmaster Industries Inc. ST: Colorado IN: SU:

MC -- DV002 -- 1213 03/01/93 08:33 EST
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Publication:PR Newswire
Date:Mar 1, 1993
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