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LexbancAG Announces Lifetime Vehicle Buyback Guarantee(TM)

19 December 1997

LexbancAG Announces Lifetime Vehicle Buyback Guarantee(TM)

    PHILADELPHIA, Dec. 19 -- Lexbanc Residual Asset Management
("LRAM") a subsidiary of LexbancAG, Inc. has announced the launch of its
consumer version Lifetime Vehicle Buyback Guarantee(TM).  The Lifetime Vehicle
Buyback Guarantee(TM) provides a schedule of fixed buyback amounts the Company
will guarantee on passenger vehicles and light trucks.
    The buyback guarantee is available on used vehicles up to five years old
with less than 70,000 miles.  It provides that, after the first year and for
as long as the customer owns the vehicle, Lexbanc will buy it for the
scheduled buyback amount.  Unlike traditional residual deficiency insurance,
Lexbanc purchases and takes possession of the vehicle.
    The consumer version of its buyback guarantee combined with its inherent
vehicle disposal service has been well received.  Many institutional owners
(leasing companies, fleets, banks, etc.) are seeking ways to enhance the
wholesale and retail value of their inventories.  In addition to used vehicle
remarketing efforts, some lenders are including the buyback guarantee in both
direct and indirect lending activities.  As auto retailing on the Internet
grows many retailers and lenders will include the buyback guarantee in their
"certified" used vehicle programs.
    The Lifetime Vehicle Buyback Guarantee(TM) is available for most domestic
and import vehicles.  Marketing is currently limited to select major markets
but will be available nationwide in early 1998.  In addition to institutional
remarketers, new car dealers and credible used car superstore dealers can buy
the product directly for used vehicle inventories.
    The Company mission is to provide auto retailers and institutional
remarketers value added products to enhance the vehicle marketing process,
customer relationships and maximize their profits.  The ability to listen and
create customer driven products places LexbancAG among the top specialty
financial service companies in the nation.  The company says customers can be
assured its product portfolios are actively managed including catastrophic
market risk diversification underwritten by high quality S&P rated "A"
companies.

SOURCE  LexbancAG, Inc.