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U.S. Automotive Manufacturing, Inc. Announces Financial Results

14 May 1999

U.S. Automotive Manufacturing, Inc. Announces Financial Results for Three Months Ended March 31, 1999
    NEW YORK, May 14 -- U.S. Automotive Manufacturing, Inc.
reported that for the three months ended March 31, 1999, it
sustained a loss of $(234,465) or $(.22) per share on net sales of $7,320,955
compared to a loss of $(974,240) or $(.93) per share on net sales of
$3,419,873 for the three months ended March 31, 1998.
    According to Martin Chevalier, the Company's President, "the financial
results were an improvement over management's internal projections."  He added
that "during the three months ended March 31, 1999, the Company doubled its
revenues while reducing its loss by approximately seventy-five percent (75%)
when compared to the three months ended March 31, 1998."  He continued:
"Management currently expects the trend of improvement to continue and
anticipates that the Company will be profitable for the second quarter of 1999
and for the fiscal year, as a whole."
    Mr. Chevalier further stated "that based on new and expanded business
relationships, the Company currently expects revenues for fiscal year 1999
will exceed $35,000,000."  The Company also believes that the last major
hurdle in the Company's turnaround is the procurement of new and expanded
senior debt financing.  The Company's existing senior credit facility expires
on July 31, 1999.  Management has approached its existing, as well as three
additional senior lenders to obtain sufficient financing to fund the Company's
anticipated future growth.  Such lenders have expressed interest in providing
the requested financing.  While there can be no guarantee that such a senior
credit facility will be obtained, management currently believes that a new and
expanded financing will become effective prior to the expiration of its
current credit facility.
    U.S. Automotive Manufacturing, Inc. through its wholly owned subsidiaries,
Quality Automotive Company and U.S. Automotive Friction, Inc., manufactures,
assembles and distributes new and rebuilt automotive friction products (brake
pads, linings and remanufactured brake shoes) to other automotive
manufacturers and to the automotive after-market.  The Company intends to
position itself to compete more formidably in the manufacture and sale of
friction materials as well as other "under car" automotive parts through a
strategy of both acquisition and internal growth.

    "Safe Harbor" Statement under the Private Litigation Reform Act of 1995:
The statements which are not historical facts contained herein are
forward-looking statements that relate to plans for future activities.  Such
forward-looking information involves a number of important known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company to be materially different
from any future results, performance or achievements of the Company expressed
or implied by such forward-looking statements.  Such risks, uncertainties and
factors, include, but are not limited to, those relating to the integration of
acquired companies, industry competition, possible need for future
financing, possible obsolescence of equipment, uncertainty with respect to the
Year 2000 effect on the Company and its many suppliers and customers and other
risks detailed in the Company's filings with the Securities and Exchange
Commission.  The words "anticipate", "believe", " expect", "intend", "plan"
and similar expressions identify forward-looking statements.  Readers are
cautioned not to place undue reliance on these forward-looking statement,
which only speak as of the date the statement was made.