Margate Shareholders Elect New Director

10 June 1999
Margate Shareholders Elect New Director
    YALE, Mich., June 10 -- Margate Industries, Inc.
reported that shareholders elected a new director and approved
another measure at the Company's annual meeting, held earlier today at
Margate's castings-service operation in Fort Atkinson, Wisc.
    The Yale, Mich.-based holding company said shareholders voted to elect
Denis R. LeDuc to the Company's five-member Board of Directors.  LeDuc, 52, is
a partner in the firm of Neal and Hader, a general practice law practice based
in Mt. Clemens, Mich.  He also serves as a judicial magistrate in the 42-1
District Court of Macomb County and as Macomb County Public Administrator, a
position he has held since being appointed by Michigan Attorney General Frank
Kelly in 1982.  LeDuc holds a law degree from the University of Michigan and a
bachelor's degree from Wayne State University in Detroit.
    "We believe that Denis LeDuc's expertise in the areas of law and finance
will be a considerable asset over the next few years, as we look for
opportunities to increase shareholder value," Margate President William Hopton
said.
    Margate reported that shareholders also voted to amend the Company's
Certificate of Incorporation to reduce the number of authorized shares from 25
million to five million, and to change the par value of its common stock from
$0.005 per share to $0.015 per share.
    Hopton concluded: "Margate's financial condition is the strongest it has
been in five years, and the demand for our castings service is increasing
among Midwestern foundries.  We believe our efforts to enhance operations,
combined with the board's determination to find new avenues of growth, will
help increase the value of Margate stock in the coming year."
    Margate Industries employs approximately 200 at two wholly owned
subsidiaries, Yale Industries and Fort Atkinson Industries, which provide
cleaning, grinding, chipping, finishing and powdercoating of iron castings.
    Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995: The statements contained in this news release include certain
predictions and projections that may be considered forward-looking statements
under securities law.  These statements involve a number of important risks
and uncertainties that could cause actual results to differ materially
including, but not limited to, the performance of the automotive industry,
certain customers and affiliated companies, as well as other economic,
competitive and technological factors involving the Company's operations,
markets, services, products and prices.