AAA North Dakota Agrees to Join The Auto Club Group

    DEARBORN, Mich., May 10 AAA North Dakota has agreed to
become affiliated with a regional alliance of AAA clubs known as The Auto Club
Group.
    Under the terms of the agreement, AAA North Dakota will join The Auto Club
Group through a holding company arrangement.  If approved by AAA National,
65,000 North Dakota members will join the over 3.3 million members in the
alliance currently comprised of AAA-Chicago Motor Club, AAA Nebraska, AAA
Wisconsin, and AAA Michigan.
    AAA North Dakota's affiliation with The Auto Club Group is the most recent
in a series of actions by AAA clubs across the country to consolidate and
combine operations to improve service to members, insurance policyholders, and
travel clients.  These alliances have led to the growth of larger regional
clubs and reduced expenses by spreading many of the clubs' fixed costs over a
larger membership base.
    "The most significant change for AAA North Dakota will be the
strengthening and expansion of our business, made possible by combining the
clubs' forces.  By combining our strengths, our members, and our employees,
the AAA organization will benefit," stated John B. Wimbush, Chairman and CEO
of AAA North Dakota.
    "Customer service is a core competency of the new enterprise, and we will
continue to develop a strong technology-based customer service operation to
solidify the affinity members have with us," said Charles H. Podowski,
President and CEO of The Auto Club Group.
    Several details need to be resolved before the agreement is final,
including the approval of AAA National.  Once the terms and conditions are
approved, the transaction should be completed in the third quarter 2001.
    AAA North Dakota and The Auto Club Group member clubs provide travel,
insurance, motor club, technology, publishing, and financial services and
products.  AAA North Dakota and The Auto Club Group are members of the
national AAA organization with more than 44 million members in the U.S. and
Canada.  AAA is the largest leisure travel agency in North America.

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