UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                                   Washington, D.C.



             LITIGATION RELEASE NO. 16125 \ April 27, 1999

             SECURITIES AND EXCHANGE COMMISSION V. FIRST NATIONAL
             ENTERTAINMENT CORP., MILTON J. VERRET, RICKY D. BUSBY,
             MICHAEL D. SWINGLER, RICHARD C. MAESTRE, AUBURN R. BUSBY,
             AND MICHAEL B. BYRD, Civil Action No. A 95CV371 (AA) (W.D.
             Tex., Austin Division)

             MICHAEL BYRD CONSENTS TO INJUNCTION AND PAYMENT OF $35,000
             TO SETTLE INSIDER TRADING CASE



                  The Securities and Exchange Commission announced today
             that on April 12, 1999, the United States District Court for
             the Western District of Texas, Austin Division,
             entered a final judgment of permanent injunction settling
             the Commission’s insider trading claims against Michael
             Byrd, and ordering him to pay $35,000.

                  Without admitting or denying the Commission’s
             allegations, Byrd consented to the entry of the judgment,
             which permanently enjoins him from violating Section 17(a)
             of the Securities Act of 1933, and Section 10(b) of the
             Securities Exchange Act of 1934, and Rule 10b-5.  The
             judgment also requires Byrd to pay disgorgement and
             prejudgment interest, but waives payment of all but $35,000
             of these amounts, and does not impose a civil penalty based
             on Byrd’s demonstrated inability to pay.

                  The Commission alleged that during 1992 and 1993, while
             employed as a consultant with defendant First National
             Entertainment Corp. ("FNAT"), Byrd came into possession of
             information indicating that the revenue projections FNAT was
             disseminating to the public for an animated film called
             "Happily Ever After" were inflated.  When the film was
             released in May of 1993, FNAT’s revenues from the film fell
             far short of its public projections.   According to the
             Commission’s complaint, FNAT stock traded at a high of over
             $9 in April 1993, before the release of the movie.  After
             the release of the movie, and public disclosure of the poor
             results, the share price of FNAT’s stock declined sharply.
             FNAT stock was trading at an average price of approximately
             $0.28 per share in the first five months of 1995, shortly
             before the Commission filed its complaint.   Byrd sold stock
             prior to release of the movie, avoiding approximately
             $75,000 in losses.

                  The Commission continues to prosecute its claims
             against the remaining defendant in this action, Richard C.
             Maestre.   A trial date has been set for June 1, 1999.  The
             Court previously entered final judgments of permanent
             injunction and other relief against defendant FNAT on July
             5, 1995 (LR-14564); against defendants Auburn R. Busby and
             Michael D. Swingler on May 9, 1996; and against defendants
             Milton J. Verret and Ricky D. Busby on June 24, 1998 (LR-
             15820).   On February 26, 1996, the Commission instituted
             administrative proceedings in a related matter, making
             findings and imposing remedial sanctions against respondents
             John R. Manion and Continental Capital & Equity Corp.  See
             In the Matter of Continental Capital & Equity Corp. and John
             R. Manion, Securities Act Rel. No. 33-7267 (February 26,
             1996).