EXHIBIT 99



FOR IMMEDIATE RELEASE


                  EMPIRE OF CAROLINA REPORTS AMENDMENT OF QUARTERLY
                                      STATEMENTS

     DELRAY BEACH, FL, MARCH 17, 1998 -- EMPIRE OF CAROLINA (AMEX:EMP) a
designer, manufacturer and marketer of children's toys today reported that it
has amended its 1997 Form 10-Q filings for the quarters ended June 30 and
September 30, 1997.

     The amendments reflect the conversion discount feature of Empire's Series A
convertible preferred stock and warrants issued in June.  The amendments reflect
the provisions of Emerging Issues Task Force (EITF) Topic No. D-60, "Accounting
for Issuance of Convertible Preferred Stock and Debt Securities with a
Nondetachable Conversion Feature," issued in May 1997.

     The value of the conversion feature, approximately $19,270,000, is
accounted for as a one-time dividend to the Series A preferred shareholders.
Consequently, Empire's accumulated deficit and additional paid-in capital have
been increased by $19,270,000.  Loss per common share for the three and six
months ended June 30, 1997 have been restated to $(2.69) and $(3.14),
respectively, as compared to $(0.10) and $(0.54) as previously reported.  Loss
per common share for the nine months ended September 30, 1997 has been rested to
$(3.56) as compared to $(0.99) as previously reported.  The amendments did not
change the Company's revenue, net loss or cash flows for any periods presented.

     Empire of Carolina, Inc. designs, develops, manufactures and markets a
broad range of basic plastic children's toys.  The Company's full line includes
the Big Wheel-Registered Trademark- line of ride-on toys, Grand
Champions-Registered Trademark- collectible horses, and Buddy L-Registered
Trademark- cars and trucks.  Its Holiday products Division produces and markets
decorative seasonal items including Christmas, Halloween and Easter illuminated
products.

CONTACT:  Lawrence Geller, (561) 498-4000, or LGELLER@EMPIRETOYS. COM


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