NEWS RELEASE


                FOR: UNIVERSAL STAINLESS & ALLOY PRODUCTS, INC.

APPROVED BY:      Clarence "Mac" McAninch
                  President & CEO
                  (412) 257-7600

FOR IMMEDIATE RELEASE
- ---------------------

CONTACT:          Morgan-Walke Associates
                  June Filingeri, Eric Boyriven
                  Media Contact:  Brian Maddox, Estelle Bieber
                  (212) 850-5600


                   UNIVERSAL STAINLESS & ALLOY PRODUCTS, INC.
                      ACQUISITION LETTER OF INTENT EXPIRES

            BRIDGEVILLE,  PA,  November  17, 1998 - Universal  Stainless & Alloy
Products,  Inc.  (Nasdaq:USAP)  announced  today  that its  letter  of intent to
acquire the assets of AL Tech Specialty Steel Corporation has expired.  AL Tech,
headquartered  in Dunkirk,  New York, is a producer of finished  specialty steel
products  including  bar, rod and wire and is operating  under the protection of
Chapter 11 of the Federal Bankruptcy Code.

            Mac  McAninch,  President and Chief  Executive  Officer of Universal
Stainless,  stated,  "The proposed alliance between  Universal  Stainless and AL
Tech would generate significant synergies.  Our due diligence identified certain
issues that would require the Company to assume future  liabilities in excess of
the amount that we were  prepared to accept.  Although  our letter of intent has
expired,   we  would  consider   completing  the  transaction  under  the  right
circumstances."

            Universal  Stainless  &  Alloy  Products,   Inc.,  headquartered  in
Bridgeville,  Pa., manufactures and markets semi-finished and finished specialty
steels,  including stainless steel, tool steel and certain other alloyed steels.
The  Company's  products are sold to  rerollers,  forgers,  service  centers and
original equipment  manufacturers,  which primarily include the power generation
and aerospace industries.

            Except for historical  information  contained herein, the statements
in this release are  forward-looking  statements  that are made  pursuant to the
safe harbor provisions of the Private Securities  Litigation Reform Act of 1995.
Forward-looking  statements  involve known and unknown  risks and  uncertainties
which  may cause the  Company's  actual  results  in  future


                                    - MORE -


UNIVERSAL STAINLESS & ALLOY PRODUCTS, INC.                                PAGE 2
ACQUISITION LETTER OF INTENT EXPIRES

periods to differ materially from forecasted results. Those risks include, among
others,  risks associated with the receipt and timing of future customer orders,
risks associated with the manufacturing  process and production yields and risks
related to plant and equipment additions and maintenance.  Those and other risks
are  described  in the  Company's  filings  with  the  Securities  and  Exchange
Commission (SEC) over the last 12 months, copies of which are available from the
SEC or may be obtained upon request from the Company.

                                      # # #