EXHIBIT 99.2

 Contacts:   Investment Community     Media 
             Marc R. Shiffman         George Sard/Maureen Bailey 
             Sunbeam Corporation      Sard Verbinnen & Co. 
             (561) 243-2142           (212) 678-8080 
  
 SUNBEAM TO ISSUE 5-YEAR WARRANTS TO MACANDREWS 
 & FORBES TO SETTLE ITS CLAIMS RELATING TO COLEMAN 
 ACQUISITION AND TO SECURE CONTINUING SERVICES OF 
 SUNBEAM'S TOP OFFICERS 
                                     
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      DELRAY BEACH, FL, AUGUST 12, 1998 -- Sunbeam Corporation (NYSE: SOC)
 today announced it has entered into a settlement agreement with MacAndrews
 & Forbes Holdings, Inc.  The agreement releases Sunbeam from any claims
 MacAndrews & Forbes may have against Sunbeam arising out of Sunbeam's
 acquisition of MacAndrews & Forbes' interest in The Coleman Company, Inc.;
 enables Sunbeam to retain the services of MacAndrews & Forbes executive
 personnel who have been managing Sunbeam since mid-June 1998, including
 Jerry W. Levin, the Company's Chief Executive Officer; and provides for
 MacAndrews & Forbes to continue to give other management support to
 Sunbeam. 

      MacAndrews & Forbes currently owns approximately 14 million Sunbeam
 shares, or approximately 14% of Sunbeam's presently outstanding shares,
 which it received in the Coleman transaction in March 1998 when Sunbeam was
 trading at prices above $40 per share.  Pursuant to the settlement
 agreement, MacAndrews & Forbes will receive from Sunbeam five-year warrants
 to purchase an additional 23 million Sunbeam shares at an exercise price of
 $7.00 per share and containing customary anti-dilution provisions. 

      In connection with the agreement, Levin and certain other Sunbeam
 executives are signing three-year employment agreements with Sunbeam.  The
 others include Paul Shapiro, Executive Vice President and Chief
 Administrative Officer, and Bobby Jenkins, Executive Vice President and
 Chief Financial Officer. 

      The settlement agreement with MacAndrews & Forbes, including the terms
 of the warrants, was negotiated and approved on behalf of Sunbeam by a
 Special Committee of four outside directors, none of whom has any
 affiliation with MacAndrews & Forbes.  The members of the Special Committee
 are Howard Kristol (Chairman), Charles Elson, Peter Langerman, and Faith
 Whittlesey.  They were assisted by an independent financial advisor, The
 Blackstone Group, and independent legal counsel, Weil, Gotshal & Manges. 

      The transaction normally would require shareholder approval under New
 York Stock Exchange policy.  However, the Audit Committee of Sunbeam's
 Board of Directors determined that the delay that would be necessary to
 secure shareholder approval prior to the issuance of the warrants would be
 extensive, particularly in light of the ongoing investigation by the
 Securities and Exchange Commission of Sunbeam's accounting practices and
 policies and the Company's previously disclosed intention to restate its
 historical financial statements; would inhibit Sunbeam's ability to reach a
 settlement with MacAndrews & Forbes and to retain and hire senior
 management essential to Sunbeam's business; and thus would seriously
 jeopardize the financial viability of the Company.  Accordingly, the Audit
 Committee, pursuant to an exception provided in the NYSE shareholder
 approval policy for such a situation, expressly approved the Company's
 omission to seek the shareholder approval that would otherwise have been
 required under that policy.  The NYSE has accepted the Company's
 application of the exception. 

      In reliance on the NYSE exception, Sunbeam is mailing to all
 shareholders a letter notifying them of its intention to issue the warrants
 without seeking their approval.  Ten days after such letter is mailed, the
 Company will consummate the transaction and issue the warrants. 

      "The Special Committee unanimously determined that this settlement
 agreement is in the best interest of all Sunbeam shareholders," said Peter
 Langerman, Chairman of Sunbeam.  "It will immediately give Sunbeam a strong
 senior management team that knows the business, will eliminate the risk of
 protracted legal proceedings, as well as the costs, burdens and substantial
 potential liability inherent in any such litigation, and will position
 Sunbeam to move ahead."   

      "We are fully committed to helping Sunbeam succeed.  Our interests are
 aligned with all other Sunbeam shareholders because these warrants will
 only have value if Sunbeam shares appreciate from current levels," said
 Howard Gittis, Vice Chairman of MacAndrews & Forbes.   

      "I am very pleased that this complex issue has been satisfactorily
 resolved and our senior management team can devote its full attention to
 completing the new organization and revitalizing Sunbeam's business.  We
 will have more to announce shortly, concerning our new strategy,
 organizational structure and senior management team," said Jerry W. Levin. 

      Sunbeam Corporation is a leading consumer products company that
 designs, manufactures and markets, nationally and internationally, a
 diverse portfolio of consumer products under such world-class brands as
 Sunbeamregistered trademark, Osterregistered trademark,
 Grillmasterregistered trademark, Colemanregistered trademark, Mr.
 Coffeeregistered trademark, First Alertregistered trademark,
 Powermateregistered trademark, Health o meterregistered trademark,
 Eastpakregistered trademark and Compingazregistered trademark.