REAL SILK INVESTMENTS, INC.
445 North Pennsylvania Street
Suite 500
Indianapolis, IN 46204
PRESS RELEASE
December 8, 1998
Real Silk Investment, Incorporated, announced that it has engaged Piper
Jaffray, Inc. to assist the Board of Directors in evaluating the Company's
strategic alternatives. These alternatives, among others, include continuing
as is, merging with another investment company or liquidation. Piper Jaffray
is a leading investment bank with substantial expertise in assisting
companies in the evaluation of their strategic alternatives.
On March 20, 1998, the Board of Directors of Real Silk Investments, Inc.
announced its intention to explore options for the future of the Company.
That decision was precipitated by the termination of potential liability under
the "Built-in Gains Tax" at the end of the current year and health problems
of the president of the Company.
The Built-in Gains Tax is a tax on the gains in the portfolio of the Company
as of the date of its conversion to a regulated investment company, which are
realized during the ten-year period commencing with the conversion. In the
case of Real Silk, this period commenced on January 1, 1989 and ends
January 1, 1999.
REAL SILK INVESTMENTS, INC.
Lorretta A. Cox
Secretary
