GROUP TO BOOST FAIRCHILD INDUSTRIES (FEN) STAKE

  An investor group led by New York
  investor George Soros said it was dissatisfied with Fairchild
  Industries Inc management and was considering boosting its
  holdings to as much as 49.9 pct of the aerospace and aviation
  company's outstanding stock.
      The group already controls 1,647,481 Fairchild Industries
  shares or 11.5 pct of the total outstanding.
      The group said it filed on Wednesday with federal antitrust
  regulators for advance clearance to buy enough additional
  shares to increase its total stake to up to 49.9 pct of the
  total outstanding stock.
      The group said its representatives had met with Fairchild
  Industries officials to inform them "that they do not believe
  management has been successful in enhancing or protecting
  shareholder values."
      It said it was considering the additional share purchases
  to enable it to "assert a greater degree of influence over the
  future management and policies of the issuer."
      It said a decision on the specific level of share ownership
  it would seek depended on market prices, future changes in
  management policies, available financial resources and other
  factors.
      The group said it also reserved the right to pursue other
  measures intended to influence Fairchild management and
  policies, either alone or in concert with other investors.
      The group includes Soros and Quantum Fund, an offshore
  investment firm headquartered in Curacao, Netherlands Antilles
  that is advised by Soros.
      The group said that since its last SEC filing, made Jan. 2,
  it had purchased no additional Fairchild shares and had sold
  6,700 shares on the New York Stock Exchange Jan. 19.
      A Fairchild Industries official later said Soros had told
  the company he was not dissatisfied with its management.
      "Contrary to the filing, Mr. Soros has told the company
  today that he is not dissatisfied with management," Fairchild's
  Bill Fulwider told Reuters.
      However, Fulwider said the company would have nothing to
  say at this time about Soros' disclosure that he may buy up
  enough additional Fairchild shares to hold as much as 49.9 pct
  of the company's outstanding stock.
  

