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USTRAILS INC. ANNOUNCES RECORD DATE FOR WAIVER SOLICITATION

 DALLAS, Aug. 25 /PRNewswire/ -- USTrails Inc. (OTC: USTQ) announced today that it has set the close of business on Aug. 26, 1993 as the record date for consents from holders of its 12 percent Secured Notes for an Indenture amendment that will waive compliance until Dec. 1, 1993 with a financial covenant measured as of Sept. 30, 1993.
 USTrails has been negotiating with a Committee of certain Secured Noteholders concerning a more comprehensive amendment to the Indenture that would modify or eliminate certain financial covenants and make the terms of the Indenture more compatible with its long-term business strategy. USTrails believes it is making progress towards an agreement with the Committee, but no assurance exists that such an agreement will be reached.
 As previously reported, however, USTrails believes that it will likely not comply with an Indenture financial covenant as of Sept. 30, 1993. As the more comprehensive amendment to the Indenture may not be effected by Sept. 30, 1993, USTrails is seeking the waiver to allow sufficient time to reach an agreement with the Committee and solicit the consents required to consummate an amendment.
 The waiver will waive compliance until Dec. 1, 1993 with a financial covenant measured as of Sept. 30, 1993. A Steering Committee comprised of members of the Committee may also extend the waiver until Feb. 1, 1994, in which case it would also temporarily waive compliance with the financial covenant on the Dec. 31, 1993 measurement date. The waiver will permanently waive compliance with the financial covenant as of the Sept. 30, 1993 and Dec. 31, 1993 measurement dates if the company announces a binding agreement for a comprehensive amendment and related transactions acceptable to the Committee and begins the solicitation process for the more comprehensive amendment before Nov. 30, 1993, or if the Steering Committee has extended the waiver, Jan. 31, 1994.
 The company intends to seek consents to the waiver from the Committee members and other selected Secured Noteholders during the next week. If during this process the company does not obtain consents to the waiver from Secured Noteholders owning the required 66-2/3 percent of the principal amount of the Secured Notes, the company will make a general solicitation of all Secured Noteholders.
 USTrails, through its subsidiaries National American Corporation and Thousand Trails, Inc., owns and operates a system of 65 membership-based campgrounds, which is one of the largest campground systems in the United States. USTrails also manages timeshare facilities and owns certain real estate at eight full service resorts and provides a reciprocal use program for members of approximately 300 recreational facilities.
 -0- 8/25/93
 /CONTACT: William F. Herzog, 214-243-2228, or Walter B. Jaccard, 206-455-3155, both of USTrails Inc./
 (USTQ)


CO: USTrails Inc. ST: Texas IN: SU:

WB -- NY069 -- 5876 08/25/93 16:46 EDT
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Publication:PR Newswire
Date:Aug 25, 1993
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