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APS Holding Corporation Announces Q4 Fiscal Year Results

4 May 1998

APS Holding Corporation Announces Fourth Quarter and Fiscal Year Results

    HOUSTON, May 4 -- APS Holding Corporation today reported
reduced sales and an increased loss for both the fourth quarter and year ended
January 31, 1998 over the comparable fiscal 1997 periods.
    Sales for the quarter ended January 31, 1998 decreased 5.3% to
$179.2 million, compared to $189.3 million for the same period a year ago,
reflecting, in part, the closure of 68 Installers' Service Warehouses and
33 company-owned stores during fiscal 1998.  For the fourth quarter, APS
reported a net loss of $79.4 million (a loss of $5.76 per share) compared to a
net loss of $24.3 million (a loss of $1.76 per share) for the same period a
year ago.  The significant increase in the net loss was primarily the result
of the recording of a $28.2 million deferred tax asset valuation allowance and
write-down of intangible assets and property and equipment totaling
approximately $20.2 million.  None of these fourth quarter charges involved
the use of cash.
    For the fiscal year ended January 31, 1998, sales decreased 5.3% to $812.9
million from $858.7 million for the prior fiscal year.  APS reported a net
loss for the fiscal year of $95.3 million, or $6.91 per share, compared to a
net loss of $10.8 million, or $0.79 per share, in fiscal 1997.
    "The large write-downs we recorded in the fourth quarter should have no
impact on our ongoing business," stated Bettina Whyte, President and Chief
Executive Officer of APS Holdings.  "We view them as a positive action as they
represent one of several steps the Company is taking to address its problems."
APS Holding Corporation is a nationally recognized distributor of Big A(R)
brand and manufacturers' branded automotive replacement parts, as well as
tools, equipment, supplies, and accessories.  As of April 30, 1998, it sells
to approximately 1580 associated auto parts stores through its 25 distribution
centers and operates approximately 470 company-owned units.  APS Holding
Corporation filed a petition for reorganization under Chapter 11 of the
Bankruptcy Code on February 2, 1998 and is currently operating its business as
a debtor-in-possession.
    This press release contains forward-looking statements that involve risks
and uncertainties.  Actual results, events, and performance could differ
materially from those contemplated by these forward-looking statements.  Among
these factors that could cause actual results, events, and performance to
differ materially are the risks and uncertainties detailed from time to time
in the Company's filings with the Securities and Exchange Commission,
including the Company's Annual Report on Form 10-K for the fiscal year ended
January 31, 1998, and the Company's quarterly report on Form 10-Q for the
quarterly period ended October 25, 1997, and in the Company's other public
reports and statements, including the press release issued by the Company on
January 14, 1997.

                           APS Holding Corporation
                    Consolidated Statements of Operations

                    In Thousands Except Per Share Amounts
         For the Periods Ended January 31, 1998 and January 25, 1997
        deferred tax expense of approximately $28.2 million to record a
        deferred tax asset valuation allowance.

SOURCE  APS Holding Corporation