May 10, 1996

        Avondale Industries, Inc.
        Post Office Box 50280
        New Orleans, Louisiana  70150

        We have made a review,  in  accordance  with standards established by
        the  American  Institute  of  Certified Public  Accountants,  of  the
        unaudited interim financial information  of Avondale Industries, Inc.
        and subsidiaries for the periods ended March  31,  1996  and 1995, as
        indicated  in  our  report  dated  May  10, 1996; because we did  not
        perform an audit, we expressed no opinion on that information.

        We are aware that our report referred to  above, which is included in
        your Quarterly Report on Form 10-Q for the  quarter  ended  March 31,
        1996  is incorporated by reference in Registration Statement No.  33-
        31984 on Forms S-8 and S-3.

        We also  are  aware  that the aforementioned report, pursuant to Rule
        436(c) under the Securities  Act of 1933, is not considered a part of
        the Registration Statement prepared  or certified by an accountant or
        a report prepared or certified by an accountant within the meaning of
        Sections 7 and 11 of that Act.



        /s/ DELOITTE & TOUCHE LLP