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[LETTERHEAD]
                         ONE OF THE "100 BEST COMPANIES TO WORK FOR IN AMERICA"
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FOR IMMEDIATE RELEASE


                LOWE'S ACQUIRES EAGLE IN MOVE THAT STRENGTHENS
                           WEST COAST MARKET ENTRY

NORTH WILKESBORO, NC AND RENTON, WA (NOVEMBER 22, 1998) -- Lowe's Companies,
Inc. (NYSE: LOW), the nation's second largest retailer of home improvement
products, and Eagle Hardware & Garden, Inc. (NASDAQ: EAGL), today jointly
announced that they have entered into a definitive agreement under which Lowe's
will acquire Eagle in a stock-for-stock merger transaction.  This strategic
move is expected to strengthen and accelerate Lowe's entry into the Western
United States. 

The Boards of Directors for both companies have unanimously approved the
transaction, which is expected to be complete during the first quarter of 1999. 
The deal, which is valued at approximately $1 billion, is subject to customary
closing conditions including approval of the merger by Eagle's shareholders and
certain regulatory approvals.

"This merger allows Lowe's to accelerate our West Coast expansion program and
gives us an immediate presence in a number of key metropolitan markets in the
West.  But more importantly, we're aligning ourselves with a company that
shares so much of Lowe's way of doing business -- a strong focus on customer
service and a broad array of product and service offerings in the store,"  said
Bob Tillman, chairman and CEO of Lowe's.

Lowe's growth strategy remains on track with the acquisition of Eagle, which
will enhance Lowe's expansion in the Western United States.  Eagle's 32-store
presence in nine Western states comes in addition to Lowe's plans to open 100
stores in the region over the next three to four years, as announced earlier
this year.

"The timing of this partnership is right for our shareholders, employees, and
most importantly our loyal customers.  We immediately gain access to more
capital and buying power, plus our employees will benefit greatly from the
career advancement opportunities related to Lowe's phenomenal growth," said
Eagle's Chairman David J. Heerensperger.

The merger is structured as a tax-free exchange of Lowe's shares for Eagle's
shares, and will be accounted for as a "pooling of interests."   Under the
terms of the agreement, Lowe's will issue shares to Eagle's shareholders valued
at $29 per Eagle share.  Eagle's shareholders will receive that number of
Lowe's shares obtained by dividing $29 by the average of the daily closing
price of Lowe's Common Stock on the New York Stock Exchange in a 10-day trading
period ending on the fifth trading day before closing of the transaction.  In
no event will the number of shares issued per Eagle share be less than .6400 or
more than .8659.  The merger is expected to be modestly accretive to Lowe's
earnings in fiscal 1999.

"This is a tremendous opportunity for Eagle to partner with a nationwide
retailer that's widely regarded as one of the best employers in the country,"
said Richard T. Takata, president and CEO of Eagle.  "Our companies share many
similarities in our approach to the business -- we both have an unwavering
commitment to customer service and invest heavily in employee training and
development."

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                                               LOWE'S ACQUIRES EAGLE -- PAGE 2


"Eagle is one of the most respected names in home improvement in a number of
key markets in the Western United States," said Tillman. "We are acquiring good
sites, successful stores and well-trained people with valuable experience in
the industry.  We are very impressed with their store management and
employees."

Takata will oversee the transition efforts and remain as President and Chief
Operating Officer of Eagle after the acquisition is complete.  He will report
directly to Bob Tillman.

Founded in 1989, Eagle has over 6,000 employees and operates its warehouse home
improvement centers in Washington, Utah, Colorado, Hawaii, Alaska, California,
Idaho, Montana and Oregon. The company's home centers average 128,000 square
feet of retail selling space and feature more than 65,000 products under its
"More of Everything-TM-" merchandising philosophy.

Lowe's Companies, Inc., is one of the nation's leading home improvement
retailers, operating 465 stores in 26 states.  Lowe's employs more than 65,000
people nationally and was selected this year by FORTUNE magazine as one of "The
100 Best Companies to Work for in America."

Merrill Lynch & Co. served as financial advisor to Lowe's; NationsBanc
Montgomery Securities advised Eagle.

This news release contains, among other things, certain forward-looking
statements regarding the combined company following the merger, including
statements relating to accretion to reported earnings that may be realized from
the merger, and enhanced store expansion plans in the Western region.  Such
forward-looking statements involve certain risks and uncertainties, including a
variety of factors that may cause the combined company's actual results to
differ materially from the anticipated results or other expectations expressed
in such forward-looking statements.  Factors that might cause such a difference
include, but are not limited to:  (1) expected cost savings from the merger may
not be fully realized;  (2) real estate for the combined company's store
expansion plans in the Western region may not be available as anticipated, and
development of new stores may encounter regulatory obstacles;  (3) earnings
following the merger may be lower than expected; (4) competitive pressure among
home improvement warehouse chains may increase more than anticipated; (5) costs
or difficulties related to the integration of the business of Eagle into Lowe's
may be greater than expected; and (6) general economic or business conditions,
either nationally or in the Western states where Eagle does business, may be
less favorable than expected, resulting in, among other things, reduced demand
for the combined company's products and services.


LOWE'S CONTACTS:                                             EAGLE CONTACTS:

Media Inquiries:                                             Richard T. Takata
Brian Peace                  336-658-4170                    425-227-5740

Shareholders' and Security Analysts' Inquiries:              Ron Maccarone
Robert Niblock               336-658-4860                    425-227-5740
Carson Anderson              336-658-4385

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