FOR IMMEDIATE RELEASE



          GIANT GROUP, LTD. ANNOUNCES AGREEMENT TO ACQUIRE PERISCOPE
          SPORTSWEAR, INC.


          December 4, 1998 - GIANT GROUP, LTD. (NYSE:  GPO) announced today
          that it has signed a definitive agreement to acquire Periscope
          Sportswear, Inc.  Under the terms of the agreement, GIANT will
          issue 953,093 shares of its Common Stock in exchange for 100% of
          the outstanding Common Stock of Periscope.  The transaction was
          approved by both Boards and is expected to close prior to
          December 18, 1998.

          Periscope provides an extensive line of high-quality women's and
          children's clothing in the moderate price category to major
          retailers, primarily for sale under private labels.  The Company
          is able to achieve attractive profit margins on its knit products
          by controlling all aspects of its production process. 
          Approximately 80% of the Company's sales currently consist of
          knit products.  In addition to knit products, Periscope also
          produces woven products and imports furnished knit and woven
          products.  The Company's products are sold nationwide through
          department and specialty store chains including Charming Shoppes
          (Fashion Bug), Cato Stores, and Goody's and through mass
          merchants including Kmart, Montgomery Ward, Sears, Costco and
          Kohl's.  For the year ending December 31, 1998, Periscope expects
          to achieve net sales of approximately $80 million.  In May 1996,
          Periscope completed an $18 million leveraged recapitalization
          with BankBoston, N.A. and BancBoston Ventures, Inc. which will be
          repaid at closing.

          Burt Sugarman, Chairman and Chief Executive Officer of GIANT
          stated "We are extremely pleased to welcome Periscope and its
          founder, Glenn Sands to the GIANT family.  As we have previously
          disclosed, GIANT has been searching for an exciting, growth
          oriented operating company for over two years.  We now feel that
          our patience has been rewarded.  We are impressed at Glenn's
          ability to grow Periscope's business over the course of many
          years.  We are confident that the combination of GIANT's strong
          financial resources and Periscope's impressive track record and
          reputation in its industry will result in superior stock growth
          for our shareholders."

          Glenn Sands, who has been in the apparel industry for over 20
          years, said "We are very excited about our combination with GIANT
          GROUP.  GIANT's public company profile, financial resources and
          management skills will substantially accelerate our growth plan. 
          The transaction will result in Periscope having virtually no debt
          and will free our people to concentrate on growing the business
          and pursuing select apparel related acquisitions."

          Periscope intends to grow its business by increasing sales to
          existing customers, expanding the Company's customer base,
          broadening its ladies and children's product offerings.

          Periscope's operating strategy consists of the following key
          elements:

               .    Periscope purchases raw materials and produces goods
                    only upon receipt of a firm commitment from a customer. 
                    Once a product is shipped to a customer, Periscope
                    generally does not accept returns unless the product is
                    defective or delivered late.  These practices minimize
                    Periscope's need to carry unsold inventories.

               .    Periscope's products are updated versions of timeless
                    basics, recurring styles that have a proven record of
                    sales success with its customers.  This practice allows
                    Periscope to avoid the risks associated with more
                    leading edge fashion lines while still capturing
                    relatively higher gross profit margins compared to more
                    generic apparel products priced on a commodity basis.

               .    Periscope does not own any manufacturing factories and
                    outsources the majority of its production, principally
                    to a series of contractors located in Mexico with whom
                    Periscope has had long standing relationships.  In
                    addition, Periscope maintains control over the entire
                    production process of it's products, which enables it
                    to tailor products to a customer's specific needs,
                    offer customers rapid order turn around time, maximize
                    fabric yields by knitting fabrics to its own
                    specifications and maintain higher standards of quality
                    control.

          The Private Securities Litigation Reform Act of 1995 provides a
          "Safe Harbor" for forward-looking statements.  Certain
          information included in this press release (as well as
          information included in oral statements or other written
          statements made or to be made by GIANT) contains statements that
          are forward-looking, such as statements relating to plans for
          future activities.  Such forward-looking information involves
          important risks and uncertainties.



          For further information contact:

          Glenn Sands
          President and Chief Executive Officer
          Periscope Sportswear, Inc.
          Today Only 310-273-5678.  From December 7th on 201-662-1811

          Burt Sugarman
          Chairman of the Board and Chief Executive Officer
          GIANT GROUP, LTD. 310-273-5678