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Fidelity Holdings' Major Automotive to Acquire Hempstead Kia

20 October 2000

Fidelity Holdings' Major Automotive to Acquire Hempstead Kia; Major Is Now The Largest Auto Dealer In Terms of Franchises In Hempstead

    KEW GARDENS, New York--Oct. 19, 2000--

    Fidelity Named One Of New York Area's Fastest-Growing Companies

    Fidelity Holdings, Inc. , today announced that it has agreed to acquire, via its Major Automotive division, Hempstead Kia, based in Hempstead, New York, subject to factory approval. The acquisition which marks the Company's fifth in Hempstead, makes it the largest auto dealer, in terms of franchises, in Hempstead. Major acquired Hempstead Kia from the same owner as its previously announced acquisitions of Hempstead Nissan, Dodge and Suzuki. All the dealerships are located on North Franklin Street in Hempstead, one of the busiest auto strips in Nassau County, New York.
    "Major has been quite active on Long Island, and especially in Hempstead, over the past several months. As a result, Major has clearly established itself as an automotive sales force on Long Island. We intend to continue to strengthen our leadership position, not only on Long Island, but throughout the New York/New Jersey Metropolitan region," stated Bruce Bendell, Chairman and Chief Executive Officer of Fidelity Holdings and President of Major Automotive Group.
    Mr. Bendell continued, "As a result of Major's success, we are proud to note that Fidelity Holdings was recently ranked number two by Crain's New York Business in its ranking of the New York/New Jersey area's fastest-growing companies. Companies were ranked according to their three-year revenue growth rates. During the past three years, Fidelity has posted an impressive revenue growth rate of 639%."
    Fidelity Holdings is a diversified holding company that utilizes information and technology to target industries experiencing consolidation and/or deregulation. The Company operates two divisions -- Automotive and Technology. The Automotive Division operates through Major Automotive Group, a leading consolidator of automotive dealerships in the New York Metropolitan Area and ranked number one nationwide in used car sales dollars as a percentage of overall sales. The Technology Division operates primarily through Computer Business Sciences, its IG2, Inc. subsidiary, its Info Systems, Inc. subsidiary and its CarsTV.com, Inc. subsidiary.