BLUE RHINO CORPORATION
                                                     104 CAMBRIDGE PLAZA DRIVE
                                                     WINSTON-SALEM, NC 27104
                                                     (336) 659-6900


AT THE COMPANY:
MARK CASTANEDA
CHIEF FINANCIAL OFFICER
(336) 659-6755


FOR RELEASE
FRIDAY, DECEMBER 20, 2002


     BLUE RHINO COMPLETES $15.790 MILLION PRIVATE PLACEMENT OF COMMON STOCK


WINSTON-SALEM, N.C., DECEMBER 20, 2002--BLUE RHINO CORPORATION (NASDAQ: RINO),
announced today that it has completed the sale of one million shares of its
common stock for $15.790 million in a private placement to two institutional
investors at a purchase price of $15.79 per share. The purchasers also received
Additional Investment Rights to purchase an additional 330,000 shares of common
stock in the aggregate at a purchase price of $15.79 per share. The net proceeds
from the financing will be used to satisfy the Company's existing subordinated
debt, which currently bears a 13 percent interest rate. Banc of America
Securities LLC acted as placement agent for this transaction.

The securities issued and sold in the private placement have not been registered
under the Securities Act of 1933 and may not be offered or sold in the United
States absent registration or an applicable exemption from the registration
requirements of that Act. The Company has agreed to file a registration
statement on Form S-3 for purposes of registering the resale of the common
stock. The purchasers may elect to exercise the Additional Investment Rights at
any time after the date the registration statement becomes effective or, if
earlier, 90 days after the closing date until the 90th trading day after the
effective date of the registration statement.






This press release does not constitute an offer to sell or the solicitation of
an offer to buy any security. These shares have been sold, and this announcement
appears as a matter of record only.