Franklin Capital Corporation Makes Announcement

Business Wire, Feb 11, 1999

NEW YORK--(BUSINESS WIRE)--Feb. 11, 1999--Franklin Capital Corporation (AMEX:FKL), a business development corporation, today announced that on January 25, 1999 its wholly owned subsidiary Ecom Capital Corp. invested $387,500 in a combination of Franklin common stock and cash into E-Mattress.com ("E-Mattress" or the "Company"). Pursuant to the terms of the deal the Company issued Preferred Stock to Franklin convertible into a 50% interest in E-Mattress.

E-Mattress is a retail Internet mattress company that was founded in 1998 by Adam Kidan. Mr. Kidan is the President of the Mid-Atlantic Dial-A-Mattress franchise. The Company expects its website to go online on February 17, 1999, and expects to become operational on March 1, 1999. E-Mattress will sell mattresses manufactured by Simmons, Serta and King Koil in addition to futons, pillows and other bedding accessories.

Additionally, two officers of Franklin, Messrs. Stephen L. Brown and Spencer L. Brown have been chosen to serve on E-Mattress' Board of Directors.

"Franklin is pleased to have made this initial investment in E-Mattress stated Mr. Stephen L. Brown Chairman of Franklin. Mr. Brown also remarked "We look forward to working with Mr. Kidan and the rest of E-Mattress' management to build a successful Internet mattress company".

Certain statements contained in this press release including without limitation, statements containing the words "believes", "anticipates", "hopes", "intends", "expects", "will", and other words of similar import, constitute forward looking statements within the meaning of the Private Litigation Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors, which may cause Company results to differ materially from expectations. Such factors include the following: (1) technological, engineering, manufacturing, quality control or other circumstances which could delay the sale or shipment of the Company's products; (2) economic, business, market and competitive industry conditions which could affect the Company's business; and (3) the Company's inability to protect its proprietary rights, operate without infringing upon the proprietary rights of others and prevent others from infringing on the proprietary rights of the Company.