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Company Press Release

NS Group Records Extraordinary Charge

NEWPORT, Ky.--(BUSINESS WIRE)--May 3, 1999--NS Group, Inc. (NYSE: NSS - news) announced today that it will record an extraordinary charge in its second fiscal quarter ended March 27, 1999 to recognize estimated additional costs pertaining to the disposal of radiation contaminated dust generated at its Newport facility in 1993. Clifford R. Borland, Chairman, President and CEO stated, ``We have recently learned through additional testing, done in connection with the radiation contaminated dust disposal process, that the level of radiation in a portion of the dust is higher than initial testing had indicated. Our evaluation of all current information indicates that total disposal costs will exceed our insurance coverage limits by $3.4 million to $5.0 million. Accounting rules require that this new information be reflected in the financial statements for the three and six month periods ended March 27, 1999, included in the Company's quarterly report on Form 10-Q to be filed on or before May 11, 1999. Accordingly, the Company is recording an extraordinary charge, net of available insurance recoveries, of $3.4 million, or $.16 per basic and diluted share, in its fiscal 1999 second quarter. Income before extraordinary items is not affected by this charge. Financial results for the Company's fiscal 1999 second quarter and six month periods, announced in the April 15, 1999 press release, were based on disposal cost information available at that time, and therefore did not include this extraordinary charge.''

Loss before extraordinary items, extraordinary items, net loss and the related per share amounts to be reported in the Company's Form 10-Q are attached.

NS Group, Inc. is a holding company that owns three operating subsidiaries: Newport Steel Corporation, a manufacturer of welded tubular steel products and hot rolled coils; Koppel Steel Corporation, a manufacturer of seamless tubular steel products and special bar quality products; and Imperial Adhesives, Inc., a manufacturer of industrial adhesives products. NS Group, Inc.'s common stock (symbol: NSS) is traded on the New York Stock Exchange.

This report contains forward-looking information with respect to the Company's operations and beliefs. Actual results may differ from these forward-looking statements due to numerous factors, including those discussed in the introductory paragraphs of Management's Discussion and Analysis of Financial Condition and Results of Operations found in the Company's Annual Report on Form 10-K for its fiscal year ended September 26, 1998.

                    NS GROUP, INC. AND SUBSIDIARIES

                       Summarized Financial Data
               (In thousands, except per share amounts)


                            Three Months Ended     Six Months Ended
                            -------------------   -------------------
                            March 27,  March 28,  March 27,  March 28,
                              1999       1998       1999       1998
                            --------   --------   --------   --------

Income (loss) before extra-
    ordinary items          $(14,658)  $  5,736   $(25,076)  $ 12,273

Extraordinary items, net
    of taxes                $ (3,400)  $     --   $ (3,837)  $     --

Net income (loss)           $(18,058)  $  5,736   $(28,913)  $ 12,273

  Per common share (basic):
  Income (loss) before
    extraordinary items       $(.67)       $.24     $(1.13)      $.51
  Extraordinary items         $(.16)       $ --     $ (.17)      $ --
  Net income (loss)           $(.83)       $.24     $(1.30)      $.51

  Per common share (diluted):
  Income (loss) before
    extraordinary items       $(.67)       $.23     $(1.13)      $.49
  Extraordinary items         $(.16)       $ --     $ (.17)      $ --
  Net income (loss)           $(.83)       $.23     $(1.30)      $.49

     NS Group Inc., Newport
     Clifford R. Borland, 606/292-6809