/raid1/www/Hosts/bankrupt/TCR_Public/961017.MBX




InterNet Bankruptcy Library - News for October 17, 1996






Bankruptcy News For October 17,
1996



  1. Ladd Reports $1.8 Million Profit For Third Quarter

  2. Zeigler Reports Third Quarter 1996 Earnings

  3. 50-OFF Stores Announces Current Plans in Bankruptcy

  4. County Seat to Restructure Under Chapter 11; Says it Will Close 200
    Unprofitable Stores, Implement Strategy Aimed at Redefining Market and
    Improving Operations

  5. Sybase, Inc. Posts Third Quarter Operating Profit Before Restructuring Charge

  6. Integrated Health Services Acquires First American Health Care




Ladd Reports $1.8 Million Profit For Third Quarter


HIGH POINT, N.C., Oct. 17, 1996 - LADD Furniture, Inc. today reported net
earnings of $1.8 million or $0.23 per share for this year's third quarter, up from
1996's second quarter net earnings of $1.2 million or $0.15 per share. In the third
quarter of 1995, the company earned $1.9 million or $0.24 per share. Net sales for
this year's third quarter totalled $124.1 million, down from $159.1 million in the
same period of fiscal 1995, with most of the decline resulting from LADD's
divestiture of several of its business units in late 1995 and early 1996.


LADD president and CEO Fred L. Schuermann, Jr. said, "Excluding the divestiture
companies, our 1996 third quarter net sales increased slightly compared to those of
the prior quarter." He noted, "We have had several nonrecurring transactions during
the past two quarters which make LADD's reported results difficult to evaluate. In
this year's second quarter, we recorded a substantial nonrecurring gain resulting
from the curtailment of the company's retiree health care plan, and then during the
September quarter we recorded a gain of $1.7 million in conjunction with the
settlement of a long-standing insurance claim. When our results are adjusted to
exclude these two nonrecurring items, along with the operations of our divested
companies and the various restructuring costs we have incurred, LADD's pretax
profit was $3.7 million higher in the third quarter of this year than in the second
quarter of fiscal 1996."


Schuermann added, "I am encouraged that this increase in LADD's profitability was
accomplished despite an overall flat sales environment, and I am particularly
pleased with the continuing progress this management team is achieving during 1996
throughout the company. In addition," he concluded, "the general tone of business in
the residential furniture industry has improved in the last month or so. This should
bode well for the International Home Furnishings Market which began here in High
Point today. We are very excited with the products we will be presenting during the
market this week and next."


LADD executive vice president and chief financial officer William S. Creekmuir
said he was pleased to report that the company's total debt was reduced by $9.8
million during the third quarter, to $143.4 million as of September 28, 1996.
Creekmuir noted that during the second and third quarters combined, the total debt
reduction was $13.9 million. "Equally important," he said, "our inventories declined
by $8.0 million in the third quarter." He said total inventories were $86.4 million as
of September 28, 1996, down from $94.4 million three months earlier.


Headquartered in High Point, NC, LADD is one of the largest North American
manufacturers of residential furniture. The company markets its wide range of
residential wood and upholstered furniture domestically under the major brand
names American Drew, American of Martinsville, Barclay, Clayton Marcus,
Kenbridge, Lea, Pennsylvania House and Pilliod, and exports these same brand
name products worldwide through LADD International. Under the American of
Martinsville name, LADD is also one of the world's leading suppliers of guest room
furniture to the hotel/motel industry, as well as to health care facilities, retirement
homes and governmental and university dormitory markets. LADD also owns and
operates LADD Transportation, a support company. LADD's stock is traded on the
Nasdaq National Market under the symbol LADF.


                            LADD FURNITURE, INC. AND SUBSIDIARIES CONDENSED
        CONSOLIDATED STATEMENTS OF OPERATIONS (PRELIMINARY AND UNAUDITED)
        

                                              13 Weeks Ended
                                      Sept. 28, 1996   Sept. 30, 1995
        

        Net sales                       $124,094,000      159,144,000
        Earnings before interest
          and income taxes                 6,461,000        5,030,000
        Interest expense                   3,182,000        2,997,000
        Earnings before income taxes       3,279,000        2,033,000
        Income tax expense                 1,477,000          142,000
        Net earnings                    $  1,802,000        1,891,000
        Net earnings per common share   $       0.23             0.24
        Weighted average number of
          common shares outstanding        7,721,165        7,725,805
        

                                              39 Weeks Ended
                                    Sept. 28, 1996(a)   Sept. 30, 1995(b)
        

        Net sales                       $390,034,000      461,521,000
        Earnings (loss) before
          interest and income taxes        1,577,000      (33,353,000)
        Interest expense                   8,900,000        8,646,000
        Loss before income taxes          (7,323,000)     (41,999,000)
        Income tax benefit                 3,295,000       16,591,000
        Net loss                         $(4,028,000)     (25,408,000)
        Net loss per common share        $     (0.52)           (3.29)
        Weighted average number of
          common shares outstanding        7,722,924        7,718,722
        

        NOTES:
        (a) The 1996 nine-month results include a pretax restructuring charge of
            $4.0 million.
        (b) The 1995 nine-month results include a pretax restructuring charge of
            $25.7 million and a non-cash charge of $10.2 million.
        

SOURCE LADD Furniture, Inc./CONTACT: John J. Ong of LADD Furniture, Inc.,
910-888-6353, or ongnr.infi.net /(LADF)




Zeigler Reports Third Quarter 1996 Earnings


FAIRVIEW HEIGHTS, Ill., Oct. 17, 1996 - The following was issued today by
Zeigler Coal Holding Company:


                             ZEIGLER COAL HOLDING COMPANY
                               Financial Summary Table
                         (In millions, except per share data)
        

                                  Quarter ending                 Nine Months
                               9/30/96      9/30/95           1996         1995
        Total Revenues         $ 193.2       $198.1         $556.9        $591.5
        Net Income                17.0         12.4           39.8          39.6
        Net Income Before
             Special Items..           17.3         12.2           41.1
        29.8
        

        Earnings Per Share         .60          .44           1.40          1.40
        Earnings Per Share
             Before Special Items..     .61          .44           1.45
        1.05
        

        EBITDA                    41.4         40.2          110.3         124.5
        EBITDA Per Share          1.46         1.42           3.89          4.39
        

            ..  Excludes 1996 stock appreciation unit (SAU) revaluation and
        1995 contract gain and SAU revaluation.
        

The following release contains forward-looking statements which are subject to
risks and uncertainties inherent in the company's business. The company's actual
results could differ materially from those anticipated in those forward-looking
statements as a result of certain factors, including those set forth in documents filed
with the Securities and Exchange Commission, within the company's Forms 10-K
and 10-Q.


Zeigler Coal Holding Company (NYSE: ZEI) today reported third quarter 1996 net
income of $17.3 million, or 61 cents per share, a 39% earnings-per-share increase
over third quarter 1995 net income of $12.2 million, or 44 cents per share, absent
special items.


Third quarter 1996 earnings included an after-tax charge of $0.3 million, or 1 cent
per share, relating to the periodic revaluation of the company's stock appreciation
units (SAUs). In the third quarter of 1995, the company reported net income of $12.4
million, or 44 cents per share, which included an after-tax SAU benefit of $.2
million.


For the nine months ended September 30, earnings increased 38% from 1995. 1996
earnings for the period totaled $41.1 million, or $1.45 per share compared to $29.8
million, or $1.05 per share, for the first nine months of 1995, excluding the special
items.


"I am pleased by Zeigler's earnings performance, highlighted by our continued
margin expansion in our coal segment," said Zeigler President and Chief Executive
Officer Chand B. Vyas. "Perhaps more importantly, this quarter we sowed the seeds
for greatly enhanced long-term growth prospects via our emerging Technology and
Power segments."


"As a result, I expect Zeigler's earnings to beat the consensus analyst estimates of
$1.97 for 1996 by 3 to 5 cents," said Vyas. "I also would not quarrel with the 1997
earnings consensus of $2.21, which may in fact prove to be conservative."


Expanded coal margins highlight performance For the third quarter, Zeigler's coal
segment improved operating earnings by 27% to $30.3 million over the same period
in 1995. Average per-ton margins improved 58% to $2.12. This improvement was
driven primarily by higher pricing and a strategic shift toward lower sulfur and
higher margin coal.


Year-to-date, the coal segment improved operating earnings by 12% to $73.3
million over the first nine months of 1995. The average per-ton margins for the first
nine months of 1996 increased by 25% to $2.71, reflecting continued cost
improvements and firm prices.


Zeigler's Americoal Development Company subsidiary experienced a decrease in
operating earnings of $1.6 million for the third quarter 1996 over the same period in
1995, largely due to the scheduled expiration of Department of Energy cofunding for
ENCOAL Corporation's clean coal demonstration plant, along with timing
differences related to receipts for farm, timber and asset sales. For the first nine
months of 1996, non-mining operating income increased 8% to $7.3 million over the
same period of 1995.


Zeigler continued to generate strong cash flow in the third quarter, producing $41.4
million, or $1.46 per share, of earnings before interest, taxes, depreciation,
depletion and amortization (EBITDA). Net interest expense decreased $.9 million,
or 14%, reflecting $13.0 million in lower debt from the third quarter of 1995.


Growth projects advanced in Coal, Technology and Power Segments During the
third quarter, Zeigler made progress in advancing growth projects within the Coal
segment as well as the emerging Technology and Power segments.


"With electric utility deregulation, we are faced with an astounding array of growth
opportunities," said Vyas. "Earlier this year I articulated Zeigler's strategies of
greater customer alignment and growth along a chain of economic value for
electricity that includes a number of core activities: fuel, transportation, clean air
technologies, and power generation, marketing, transmission and distribution. We
are making significant progress toward implementing these strategies through our
Coal segment and our emerging Technology and Power segments, either of which
could eventually outgrow our successful core business of coal."


COAL SEGMENT


Consistent with Zeigler's objective of preserving or enhancing contract value while
assisting customers in their positioning for a deregulated environment, Zeigler
announced in July that it had forged comprehensive new coal supply agreements with
Carolina Power & Light Company. The new agreements were designed to improve
the customer's competitive position, enhance contract flexibility and extend the two
companies' business relationship. In addition to further aligning with the company's
largest customer, Zeigler foresees the potential to improve revenues, earnings and
cash flows as a result of the new agreements.


In the third quarter, Zeigler's coal segment continued to implement its previously
announced strategy of transitioning away from lower-margin operations and
uncommitted high sulfur coal. Development of the North Rochelle Mine in Wyoming
continues with full scale production expected to begin in the second half of 1998.


TECHNOLOGY SEGMENT


Zeigler's Liquids from Coal (LFC) investment continues to move toward full
commercialization. The proprietary technology, demonstrated at ENCOAL
Corporation's LFC demonstration plant, takes low sulfur, low BTU coals and
converts them into higher-grade solid and liquid products.


A Zeigler subsidiary has begun preliminary engineering work for a potential
full-scale LFC plant in Wyoming that would process approximately 6 million tons of
coal feedstock per year, and is in discussions with potential customers for the
products. The company is also in discussions regarding a similarly-sized potential
plant in Indonesia.


POWER SEGMENT


Discussions with prospective customers are already taking place through Zeigler's
new energy trading and marketing subsidiary, EnerZ Corporation, which was
launched to take advantage of emerging market opportunities growing out of utility
deregulation. EnerZ Corporation has filed an application with the Federal Energy
Regulatory Commission (FERC) for status as a wholesale power marketer. EnerZ
expects to receive its approval from FERC later this fall, and has already set up an
office in the New York area under the leadership of President Tayeb Tahir, an
experienced leader in the power and gas industries.


In the third quarter, a Zeigler subsidiary aligned with an affiliate of another major
customer. Southern Electric International joined in the offer by NRG Energy and
Zeigler to purchase the non-nuclear assets of Cajun Electric Power Cooperative of
Baton Rouge, La. The newly combined offer was incorporated in an amended
reorganization plan filed by the Cajun trustee with the bankruptcy court. Under the
plan, which is subject to confirmation by the bankruptcy court, the assets would be
acquired by Louisiana Generating, LLC, which would be owned by affiliates of
Southern Electric, NRG Energy and Zeigler. SEI is an affiliate of Southern
Companies, one of the largest coal- fired utilities in the United States and an
important existing customer.


Zeigler coal annually fuels more than 50 billion kilowatt hours of power in the
United States, or nearly 2 percent of all domestic electricity. The Zeigler family of
companies is among the largest coal producers and marketers in the United States,
and controls more than 1.3 billion tons of economically recoverable coal reserves,
including 1 billion tons of low sulfur coal. Zeigler subsidiaries currently operate
underground and surface coal mining complexes in Illinois, Kentucky, Ohio, West
Virginia and Wyoming, which mine primarily steam coal for electricity generation.
Zeigler subsidiaries also operate two East Coast import/export terminals and the
ENCOAL clean coal technology demonstration plant. A Zeigler affiliate has a joint
bid with Southern Electric International and NRG Energy pending to purchase out of
bankruptcy the non-nuclear assets of Louisiana-based Cajun Electric Power
Cooperative. EnerZ Corporation, an energy trading and marketing firm, has been
created to take advantage of opportunities growing out of utility deregulation.


                    ZEIGLER COAL HOLDING COMPANY AND SUBSIDIARIES
                   Condensed Consolidated Statements Of Operations
                   (Amounts in thousands, except per share amounts)
        

                                   Quarter Ended          Nine Months Ended
                                    September 30,           September 30,
                                   1996       1995         1996        1995
                                (Unaudited) (Unaudited) (Unaudited) (Unaudited)
        REVENUES:
         Coal sales                $186,662   $191,248    $533,705    $570,641
         Other revenues               6,560      6,840      23,236      20,813
         Total revenues             193,222    198,088     556,941     591,454
        

        COSTS AND EXPENSES:
         Cost of coal sales         156,402    167,396     460,414     505,040
         Selling, general and
          administrative expenses     4,905      4,238      13,764      12,403
         Revaluation of stock
          appreciation units            455       (188)      1,782         231
         Provision for asset impairments
          and accelerated mine closings  --         --          --      32,262
         Other costs and expenses     5,495      4,198      15,892      13,982
         Total costs and expenses   167,257    175,644     491,852     563,918
        

        OTHER INCOME:
        Proceeds from contract
         settlement                     --          --          --      45,500
        

        INCOME BEFORE INTEREST AND
         INCOME TAXES                25,965      22,444     65,089      73,036
        NET INTEREST EXPENSE         (5,494)     (6,389)   (17,146)    (21,275)
        INCOME BEFORE INCOME TAXES   20,471      16,055     47,943      51,761
        INCOME TAXES                  3,480       3,693      8,165      12,170
        NET INCOME                  $16,991     $12,362    $39,778     $39,591
        WEIGHTED AVERAGE
         SHARES OUTSTANDING          28,361      28,356     28,359      28,356
        EARNINGS PER COMMON SHARE    $ 0.60      $ 0.44     $ 1.40      $ 1.40
        

                    ZEIGLER COAL HOLDING COMPANY AND SUBSIDIARIES
                        Condensed Consolidated Balance Sheets
                   (Amounts in thousands, except per share amounts)
        

                                          September 30,   December 31,
        September 30,
        

                                           1996          1995           1995
                                            (Unaudited)       ..
        (Unaudited)
        

                       ASSETS
        CURRENT ASSETS:
         Cash and cash equivalents       $ 88,704      $ 13,119         $ 22,339
         Receivables (net of allowances
          of $2,583, $2,611 and $2,905)    62,227        72,087           70,501
         Inventories                       41,713        50,359           62,398
         Income taxes receivable            1,773            --               --
         Deferred income taxes              4,712         8,357           16,756
         Other current assets               5,533         3,426            5,177
         Total current assets             204,662       147,348          177,171
        PROPERTY, PLANT AND EQUIPMENT, at
         cost 1,136,605 1,161,3701,218,299
         Less - Accumulated depreciation,
             depletion and amortization      (313,179)     (302,714)
        (297,954)
        

        Property, plant and
         equipment, net                   823,426       858,656          920,345
        OTHER LONG-TERM ASSETS             13,086        19,237           17,300
        TOTAL ASSETS                   $1,041,174    $1,025,241       $1,114,816
        

        .. Condensed from audited financial statements.
        

                    ZEIGLER COAL HOLDING COMPANY AND SUBSIDIARIES
                        Condensed Consolidated Balance Sheets
                   (Amounts in thousands, except per share amounts)
        

                                          September 30,   December 31,
        September 30,
        

                                         1996             1995          1995
                                          (Unaudited)          ..
        (Unaudited)
        

        LIABILITIES AND SHAREHOLDERS' EQUITY
         CURRENT LIABILITIES:
          Accounts payable - trade     $ 36,706         $ 44,434       $ 34,001
          Accrued payroll and
           related benefits              24,303           25,264         31,397
          Deferred revenue                7,610               --         10,204
          Other accrued expenses         68,429           47,870         54,209
         Total current liabilities      137,048          117,568        129,811
         LONG-TERM DEBT                 344,770          344,770        357,770
         ACCRUED POSTRETIREMENT
          BENEFIT OBLIGATIONS           245,088          255,839        250,821
         ACCRUED PNEUMOCONIOSIS BENEFITS 48,057           49,424         56,907
         ACCRUED MINE CLOSING COSTS      77,175          105,676         95,964
         DEFERRED INCOME TAXES            9,400               --         25,981
         OTHER LONG-TERM LIABILITIES     63,266           70,478         63,854
        

        COMMITMENTS AND CONTINGENCIES        --               --             --
        Total liabilities               924,804          943,755         981,108
        

        SHAREHOLDERS' EQUITY:
        Common stock - $0.01 par value
         - 50,000 shares authorized; 28,362
         shares issued at September 30, 1996,
         and 28,356 at December 31, 1995,
         and September 30, 1995             284              283            283
        Preferred stock                      --               --             --
        Capital in excess of par value   72,013           71,945         71,945
        Retained earnings                44,073            9,258         61,480
        Total shareholders' equity      116,370           81,486        133,708
        

        TOTAL LIABILITIES AND
         SHAREHOLDERS' EQUITY        $1,041,174        $1,025,241    $1,114,816
        

        .. Condensed from audited financial statements.
        

                    ZEIGLER COAL HOLDING COMPANY AND SUBSIDIARIES
                   Condensed Consolidated Statements Of Cash Flows
                                (Amounts in thousands)
        

                                                     Nine Months Ended
                                                       September 30,
                                                    1996            1995
                                                (Unaudited)      (Unaudited)
        

        OPERATING ACTIVITIES:
         Net income                               $39,778          $39,591
         Adjustments for differences between
          net income and cash flows from
          operating activities:
          Depreciation, depletion and
           other amortization                      45,791           52,131
         Gain on property, plant and equipment     (2,308)            (979)
         Deferred income taxes                     15,287            2,840
         Prepaid pension costs                      2,868            2,235
         Postretirement benefits                  (10,751)           1,500
         Pneumoconiosis benefits                   (1,367)         (14,133)
         Mine closing costs                        (5,027)          (7,842)
         Workers' compensation                      6,541            5,766
         Postemployment benefits                      457            1,702
         Stock appreciation units                 (10,732)            (383)
         Cash paid for sale of Indiana assets      (7,000)              --
         Proceeds from contract settlement             --           45,500
         Net gain on contract settlement               --          (13,238)
         Other noncash items                       (5,842)          (1,670)
         Net decrease in working capital           27,536           25,211
             Total adjustments to net income       55,453           98,640
         Net cash provided by
          operating activities                     95,231          138,231
        

        CASH FLOWS FROM INVESTING ACTIVITIES:
         Additions to property, plant
          and equipment                           (19,867)        (37,895)
         Proceeds from sales of property,
          plant and equipment                       4,407           2,962
         Net cash used in investing activities    (15,460)        (34,933)
        

        CASH FLOWS FROM FINANCING ACTIVITIES:
         Proceeds from common stock issued
          under stock option plan                      68              --
         Repayment of long-term debt                   --         (92,288)
         Payment of dividends                      (4,254)         (4,254)
         Net cash used in financing activities     (4,186)        (96,542)
         NET INCREASE IN CASH AND CASH EQUIVALENTS 75,585           6,756
        

        CASH AND CASH EQUIVALENTS, BEGINNING       13,119          15,583
        CASH AND CASH EQUIVALENTS, ENDING         $88,704         $22,339
        

        SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
         Cash paid (received) during period for:
          Interest                                $12,826         $15,700
          Income taxes, net of refunds             (3,078)          8,063
        

SOURCE Zeigler Coal Holding Company/CONTACT: Vic Svec, 618-394-2430, or
Jacqueline E. Burwitz, 618-394-2570, both of Zeigler Coal Holding Company/




50-OFF Stores Announces Current Plans in Bankruptcy


SAN ANTONIO, Texas, Oct. 17, 1996 - 50-OFF Stores, Inc., currently operating in
a Chapter 11 bankruptcy proceeding, is formulating a reorganization plan which it
expects to file by year end. There are a number of alternatives that are being
considered, including, but not limited to, a financial reorganization around 40- 50
stores (with annual revenues of $70-90 million) and a merger or sale of all or a part
of the company. 50-OFF expects to operate about 55 stores (located in Texas,
Louisiana, Oklahoma, New Mexico, Tennessee and Florida) through the holiday
season. The company has been implementing a business plan focused on the
conversion of its primary locations to a new concept called "LOT$OFF," and 19 of
its stores have been converted as of the filing of the bankruptcy petition on Oct. 9,
1996. While plans are in place to convert additional locations, the conversion
schedule is being reviewed given the bankruptcy filing.


50-OFF is currently exploring the interest of third parties in: 1) providing capital for
a reorganization plan; 2) a merger or strategic affiliation with the company; 3)
purchasing the company; and 4) purchasing some or all of the company's assets. At
this early stage of the bankruptcy process, the company's first choice is to reorganize
the company with additional capital if that alternative is available in the context of a
reorganization plan which treats the creditors and shareholders fairly. Other
alternatives, however, are going to receive equal and prompt attention to insure that
the reorganization plan contains what management believes is the best alternative for
the creditors and shareholders.


Given the interest of the company in promptly filing a reorganization plan, the
exploration process is being accelerated in order to quickly determine the
opportunities that may exist for 50- OFF. The objectives are to find the highest and
best value for the creditors and shareholders and to preserve jobs for the company's
dedicated employees. With this in mind, the company has engaged the services of
experienced outside professionals to assess the alternatives and to work with the
company during the bankruptcy proceedings.


With respect to those proceedings in the United States Bankruptcy Court, Judge Lief
M. Clark ordered yesterday that Gordan Brothers Partners, Inc. immediately pay in
excess of $1.7 million of cash it was holding to 50-OFF. The cash will be used by
the company along with other monies previously ordered available by the Court to
purchase needed inventories to prepare its 50-OFF and LOT$OFF stores for the
holiday shopping season.


SOURCE 50-OFF Stores, Inc. /CONTACT: Media -- Charles Fuhrmann, CEO,
210-804-4904, or Creditor - 210-804-5357, both of 50-OFF Stores, Inc./




County Seat to Restructure Under Chapter 11; Says it Will Close 200 Unprofitable
Stores, Implement Strategy Aimed at Redefining Market and Improving Operations


DALLAS, TX - Oct. 17, 1996 - County Seat, Inc. said today that while it continues
to implement a program to refocus and recapture its position as the pre-eminent
retailer of brand-name and private- label jeans and casual wear, it has filed to
restructure under Chapter 11 of the Bankruptcy Code. The company said it has
received commitments for $150 million in debtor-in-possession (DIP) financing
from its existing bank group, led by Bankers Trust as agent, that will enable it to
continue to operate during the restructuring period.


In addition, the company said that it has been negotiating with representatives of the
holders of approximately two-thirds of its outstanding 12% Senior Subordinated
Notes due 2002 and, based upon those negotiations, is hopeful that it will be able to
reach an agreement providing for the conversion of such Notes and certain other
unsecured obligations into substantially all of the equity of the reorganized company.


According to Gilbert C. Osnos, chairman of Osnos & Co., Inc., a management
renewal firm, who was named interim chief executive officer of County Seat at the
beginning of August, "The dynamic nature of the market demands that retailers be
prepared to move quickly to capitalize on changing consumer tastes and trends and
to remain competitive. While County Seat continues to have great underlying
strengths and important name recognition in the marketplace, we have developed and
are currently implementing a strategy to transform the company and preserve our
business. At the same time," Mr. Osnos said. "We must restructure the company's
debt to reflect the realities of today's retail environment.


"Chapter 11 allows us to accelerate our planned improvements to ensure a strong
future for our company. It will enable us to capitalize on opportunities resulting from
improvements in operations and merchandising and allow us to achieve our
restructuring objectives in an orderly, timely manner."


Mr. Osnos announced a number of key elements of the company's restructuring:


Close approximately 200 unprofitable stores and stores that no longer


reflect the company's strategic direction. Reduce working capital requirements for
inventory, improve margins and profitability. Eliminate excess overhead. Refocus
County Seat as a chain of destination stores through expanded


emphasis on private label merchandise, unique styling, selective resourcing and
more directed consumer marketing. Redirect merchandise strategies to assure a
continuous flow of fresh


offerings of fashion merchandise. Broaden the chain's historic emphasis on denim
jeans to include other


classifications of casual apparel. Improve systems to expand the flow of information
and accelerate response time for greater impact on purchasing and marketing
decision.


"Looking ahead, the $150 million financing package we have arranged is more than
adequate to fund our ongoing operations. Our stores are well stocked, and we fully
expect our suppliers to work with us during the restructuring period as they have
with the many other retail companies that have faced similar situations," Mr. Osnos
said.


"With the support of our vendors and the hard work of our employees, we will be
able to earn the continued loyalty of our customers, and we will come through this
process a stronger, more competitive company than ever before," he said.


The company's daily operations will continue as usual, and store hours will remain
the same. The company said that it expects policies regarding returns, exchanges,
layaways, gift certificates and credit cards transactions to remain unchanged.
Similarly, sales associates and other employees will continue to be paid as if no
filing had been made.


County Seat is one of the nation's largest specialty retailers selling both brand name
and private label jeans and casual wear. The company employs approximately 7,000
people in more than 740 stores in 48 states. An additional 700 are employed at
corporate offices in Dallas and Eden Prairie, Minn., and at a distribution center in
Brooklyn Park, Minn.


County Seat, Inc. and its subsidiaries filed Chapter 11 in the U.S. Bankruptcy Court
in Wilmington, Delaware.


SOURCE County Seat, Inc. /CONTACT: Sandra Sternberg of Sitrick and Company,
972-248-5213; or Ann Julsen, 612-829-2006 or 310-788-2850/




Sybase, Inc. Posts Third Quarter Operating Profit Before Restructuring Charge


EMERYVILLE, Calif., Oct. 17, 1996 - Sybase, Inc. (Nasdaq:SYBS) today
announced third quarter results for the period ended September 30, 1996. Third
quarter revenues were $250.2 million, up from $233.1 million recorded in the third
quarter of 1995. Before a $49.2 million charge to cover a restructuring of the
company's operations, third quarter 1996 operating profits totaled $0.6 million, up
from $0.1 million in the same period of 1995. After other income, the restructuring
charge and taxes, the net loss for the third quarter was $52.6 million, or $0.69 per
share.


"The best message we could send our customers was operating profitability - and
we succeeded," said Sybase, Inc. President and CEO, Mitchell Kertzman. "We have
significantly reduced our expense structure, carefully focusing our efforts. We
believe this quarter's results signify an important first step towards improved
financial performance," added Kertzman.


Early in the third quarter, Sybase restructured its operations by eliminating non-core
products and streamlining its organization and infrastructure. These efforts
contributed to a $23.8 million reduction in total operating expenses in the third
quarter as compared with the second quarter of 1996, before a one-time charge to
cover the restructuring costs.


The one-time charge, totaling $49.2 million, included approximately $17.0 million
for severance and related items, $15.7 million for facilities consolidation, $13.9
million for disposition expenses related to discontinued products and write-off of
capitalized software development costs, and $2.6 million for other restructuring
related items.


Complementing expense improvement efforts, marketing was also a key focus in the
quarter. "We are getting out the message that many existing Sybase customers have
known all along - that Sybase is the premier provider of databases, middleware and
tools for distributed computing solutions in heterogeneous environments," Kertzman
said.


During the quarter, Sybase, Inc. also announced it has consolidated worldwide
product businesses under David Litwack, former president of the Powersoft
Business Group, who was named executive vice president of products. "We are
implementing an organization based on entrepreneurial product lines, each charged
with aggressively pursuing its strategic market," said Litwack. "Sybase, Inc. is
strong in many technology areas and I am very confident of the solutions we are
bringing to the market today and in the future."


Adding to its strong base of products, Sybase, Inc. introduced several new offerings
in the third quarter:


.. Sybase IQ(TM) on IBM's AIX platform

.. QuickStart DataMart(TM), an integration of Sybase IQ with services and leading
partner products

.. SQL Anywhere(TM) Professional 5.5, adding break-through functionality
including the ability to extend the corporate Intranet to the mobile workforce


.. Replication Server(R) support for Lotus Notes .. Optima++(TM) Professional and
Enterprise versions, adding enhanced capabilities to the C++ tool for client/server
and Internet/Intranet development.


.. S-Designor(R) 5.1, providing enhanced modeling support for Visual Basic
developers


Also in the quarter, the Powersoft development tools division of Sybase, Inc.
announced a revolutionary industrial-strength web development environment,
NetImpact(TM) Studio. The product provides a sophisticated, "assistant-driven"
interface, database connectivity, script debugging, and other functions that high
productivity users have come to expect from Powersoft tools. NetImpact Studio is a
unique full-featured development tool for creating Web applications with dynamic
database content.


The strength of Sybase, Inc. technology was a critical factor in many significant
deals in the quarter. Important third quarter customers included Baxter Healthcare,
Barnett Bank, NYNEX, France Telecom, and Blue Cross of California, part of the
Wellpoint Health Networks.


"We have strong products and a healthy market," Kertzman stated. "We male as
concerning Sybase, Inc. financial goals, the anticipated impact of the Company and
its technology vision, rapid technological changes, competitive factors,
unanticipated delays in scheduled product availability dates (which could result
from various occurrences including development or testing difficulties, software
errors, shortages in appropriately skilled software engineers and project
management problems), interoperability of the Company's products with leading
software application products, general business conditions and market growth rates
in the client/server and Internet software markets, and other factors described in the
Company's Annual Report on Form 10-K filed with the SEC for the period ending
December 31, 1995 (Part I, Item 5, Future Operating Results) and the Company's
Form 10-Q filed with the SEC for the period ending June 30, 1996.


NOTE: SYBASE, Powersoft, Replication Server, Sybase IQ, Optima++, NetImpact
Studio, QuickStart DataMart, SQL Anywhere, and S-Designor are trademarks of
Sybase, Inc. or its subsidiaries. All other company and product names may be
trademarks of the respective companies with which they are associated.


                                     SYBASE, INC.
                     CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                                     (Unaudited)
                                           Quarter Ended     Nine Months Ended
                                           September 30,        September 30,
        (In thousands, except
          per share data)                1996       1995       1996       1995
        

        Revenues:
        License fees                   $147,219   $145,963   $445,618   $436,494
        Services                        102,994     87,111    298,146    252,842
          Total revenues                250,213    233,074    743,764    689,336
        Costs and expenses:
         Cost of license fees             6,963      6,446     24,847     21,230
         Cost of services                62,906     53,707    178,709    150,069
         Sales and marketing            123,373    118,170    390,863    347,649
         Product development and
          engineering                    39,217     38,412    128,393    110,620
         General and administrative      17,163     17,173     55,625     49,168
         Cost of merger                       0       (980)         0     24,017
         Purchase of in-process technology    0          0          0     19,965
        Cost of restructure              49,232          0     49,232          0
            Total costs and expenses    298,854    232,928    827,669    722,718
            Operating income (loss)         (48,641)       146    (83,905)
        (33,382)
        

        Other income and expense, net     1,112      1,921      5,791      6,717
        Income (loss) before income
             taxes                          (47,529)     2,067    (78,114)
        (26,665)
        

            Provision for income taxes        5,100        925      5,998
        (1,201)
        

            Net income (loss)              ($52,629)  $  1,142   ($84,112)
        ($25,464)
        

            Net income (loss) per share      ($0.69)     $0.02     ($1.13)
        ($0.36)
        

        Shares used in per share
         computation                     75,748     75,753     74,755     70,922
        

                        CONDENSED CONSOLIDATED BALANCE SHEETS
        

                                                            September 30,
        December 31,
        

          (In thousands, except share data)                 1996          1995
                                                        (Unaudited)
        

        Current assets:
          Cash and cash equivalents                       $124,237      $180,877
          Short-term cash investments                       31,385        42,844
                  Total cash and short-term cash
                   investments                             155,622       223,721
          Accounts receivable, net                         218,603       193,924
          Deferred income taxes                             23,966        24,947
          Other current assets                              17,696        18,905
                    Total current assets                   415,887       461,497
        Property, equipment and improvements, net          198,868       194,916
        Deferred income taxes                               16,088        16,088
        Capitalized software, net                           19,663        17,227
        Other assets                                        71,372        76,564
                  TOTAL ASSETS                            $721,878      $766,292
        Current liabilities:
          Accounts payable                                 $25,380       $36,939
          Accrued compensation and related expenses         39,909        42,400
          Accrued income taxes                              31,249        28,373
          Other accrued liabilities                         79,110        75,215
          Deferred revenue                                 149,245       138,264
                    Total current liabilities              324,893       321,191
        Other liabilities                                    5,214         5,452
        Stockholders' equity:
          Preferred stock, $0.001 par value, 8,000,000
           shares authorized; none issued or outstanding       --             --
          Common stock, $0.001 par value, 200,000,000
           shares authorized; 76,327,977 shares issued
           and outstanding (1995-72,645,734)                    76            72
          Additional paid-in capital                       357,716       315,064
          Retained earnings                                 40,988       128,255
              Accumulated translation adjustments               (7,009)
        (3,742)
        

                   Total stockholders' equity              391,771       439,649
           TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY     $721,878      $766,292
        

SOURCE Sybase Inc./CONTACT: Marcie Powers, Public Relations,
510-922-3604, or marcie.powerssybase.com, or Randy S. Gottfried, Investor
Relations, 510-922-0691, or randy.gottfriedsybase.com, both of Sybase, Inc./




Integrated Health Services Acquires First American Health Care


OWINGS MILLS, Md., Oct. 17, 1996 - Integrated Health Services, Inc. (NYSE:
IHS) today announced that it has acquired First American Health Care of Georgia,
Inc.
by merging it with a wholly owned subsidiary of IHS. First American, located
in Brunswick, Georgia, is the largest privately held provider of home health care
services in the country with over 400 agencies in 21 states and over seven million
patient visits annually. First American's unaudited annualized revenues total over
$400 million.


After the First American transaction, IHS will be the fourth largest provider of home
health services with approximately 600 agencies in 24 states and over $650 million
in home health care revenues. IHS will also be one of the largest providers of post-
acute services with a national post-acute care service network of over 1,000
locations in 40 states, providing home health care, subacute care, inpatient and
outpatient rehabilitation, respiratory therapy, skilled nursing facility care, hospice
care and diagnostic services.


Under the terms of the merger agreement, IHS will pay $154.1 million in cash at
closing with a contingent earnout of up to an additional $159 million payable in the
years 2000 through 2004.


First American Health Care had filed for protection under Chapter 11 in Bankruptcy
court due to the suspension of Medicare payments by the Health Care Financing
Administration (HCFA). The payments were suspended due to a dispute between
First American and HCFA involving cost disallowances and reimbursement
liabilities. Payments were resumed in February pursuant to orders from the
bankruptcy court. During the eight months of the bankruptcy proceedings, First
American was being operated by an interim operating officer and IHS engaged in
extensive transition consultation.


A settlement agreement has been signed between First American Health Care of
Georgia, the Health Care Financing Administration, the Office of the Inspector
General, the Department of Justice (DOJ) and IHS. The settlement agreement
provides that First American will pay $255 million to HCFA and DOJ and that IHS
will have no liability for activities occurring prior to its acquisition of First
American. The settlement agreement and the acquisition have been approved by the
bankruptcy court.


"The transaction with First American Health Care is especially important as we
build our post-acute care networks," said Dr. Robert N. Elkins, IHS's Chairman and
CEO. "Home health care services are critical components of post-acute care
services in a managed care environment where you need to provide quality outcomes
in a cost- effective manner. The ultimate goal is to get patients home."


Home health care is a growing industry that will become increasingly more
important in the next few years. The demand for home health services is fueled by
not only the demographics of the aging population but more importantly by the
patients preference to be at home rather than receiving facility-based care, the
technological advances that permit more and more services to be provided at home
and the trend for earlier discharge of patients from hospitals, subacute care and
long-term care facilities.


Over 90% of First American's agencies are accredited by both the Joint Commission
on Accreditation of Health Care Organizations (JCAHO) and Medicare. Home care
services provided by the company include skilled nursing services, infusion therapy
and therapeutic services including physical, speech and occupational therapy.


Adding a large national provider like First American to the Company's network of
services not only expands the size of the IHS home health business, but the location
of their agencies overlaps with the Company's existing post- acute care locations.
Approximately 80% of First American's agencies overlap in a market where IHS
currently offers a post-acute service.


Dr. Elkins continued, "Home health care not only complements our post-acute
network services because patients transfer between our other post- acute sites and
home care, but it also will serve as an entry point for many patients into the IHS
network. Patients who receive home health service from IHS will have the
opportunity to receive quality cost-effective care via our other post-acute services,
including inpatient and outpatient rehabilitation, subacute care, respiratory therapy
and diagnostics."


Integrated Health Services is a highly diversified health services provider, offering
a broad spectrum of post-acute medical and rehabilitative services through its
nationwide healthcare network. IHS's post-acute services include subacute care,
home health care, inpatient and outpatient rehabilitation, respiratory therapy, hospice
care, and diagnostic services. Supporting the full continuum of healthcare needs, IHS
currently operates over 1,000 post-acute service locations in 40 states throughout the
U.S.


SOURCE Integrated Health Services, Inc. /CONTACT: Robert N. Elkins, M.D.,
Chairman & CEO, or Marc B. Levin, Executive Vice President, both of Integrated
Health Services, Inc., 410-998-8400; or Anthony J. Russo, Ph.D., ext. 202, of
Noonan Russo Communications, Inc., 212-696-4455/ (IHS)