Hampton Industries, Inc. (Amex: HAI) reported an increase in net sales for the quarter ended April 1, 2000. Net sales were $42,930,000 as compared to $36,914,000 during the comparable period in 1999. The net loss for the quarter was $1,171,000 or $.21 per diluted share for the quarter as compared to a net loss of $507,000 or $.09 per diluted share in the corresponding quarter in 1999.

Mr. Steven Fuchs, President, commented: "The financial results for the first quarter were disappointing and to a large degree reflect a continuation of higher than expected allowances. However, the significant increase in net sales reflects both the stronger order position and our ability to begin to process inventory through our distribution centers on a timely basis. For the quarter, sales of branded product represented 65.9% of total sales as compared to 57.9% in the prior year. The increase in branded product sales was attributable to the growth in our Rawlings activewear line, Dickies sports shirts, our Nautica childrens line and the new license for Joe Boxer. This trend for increased branded product sales is continuing."

Mr. Steven Fuchs added, "We are placing a greater focus on significantly reducing the volume of chargebacks from our retail customers by carefully analyzing the root causes and establishing an action plan to eliminate these issues. Each retailer has its own set of requirements for its suppliers to adhere to. Increasingly, this has become more of a logistical and financial challenge. It is our goal to be one of the preeminent members of the supply chain in dealing with both our suppliers and customers."

Mr. David Fuchs, Chairman, commented, "The advance order position and sales through May 6, 2000 is $168,130,000 for the continuing product lines as compared to a $146,425,000 at the same time in the prior year. The projected gross margins on these orders should result in a continued improvement in gross margin percent for the year."

This release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 as amended. As such, results could differ from estimates or expectations due to factors such as, information currently available is preliminary and incomplete, government regulation and policies may change from that anticipated in present business decisions, business conditions in the retail environment and market prices for raw materials may change to a degree that existing plans may have to be substantially revised. For any of these factors, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, as amended.


Thirteen Weeks Ended
April 1, 2000 March 27, 1999

Net sales $ 42,930,000 $ 36,914,000

Net loss $ (1,171,000) $ (507,000)

Basic loss per share ($.21) ($.09)

Average shares outstanding 5,553,374 5,553,374

Diluted loss per share ($.21) ($.09)

Diluted shares outstanding 5,553,374 5,553,374