Union Acceptance Corporation Appoints New Directors

    INDIANAPOLIS--Oct. 8, 2001--Union Acceptance Corporation , one of the nation's largest independent, indirect automobile finance companies, announced today that its Board of Directors has appointed Thomas C. Heagy and William E. McKnight as directors of the Company.
    Mr. Heagy serves as Chief Financial Officer of ABN AMRO North America, Inc., a bank holding company, where he oversees the finance and asset liability functions. He also serves as Vice Chairman of LaSalle Bank N. A. and director of ABN AMRO North America, Inc., members of the ABN AMRO Group.
    Mr. McKnight is the President and a manager of Coastal Credit, L.L.C., a non-prime, Virginia based automobile finance company which he established in 1987. Previously, Mr. McKnight was the Vice President and General Manager of family-owned automobile dealerships.
    The Company also announced that Jerry D. Von Deylen, former Chairman of the Board of Directors has retired from the board. Mr. Von Deylen served as the Company's Chairman of the Board from its formation through February 2001.
    "We appreciate Jerry's contribution to the Company since we began operations in 1986 and his service on the Board of Directors," stated Mike Stout, Chairman of the Board of Union Acceptance Corporation. "We are very pleased to welcome Tom and Bill to our Board of Directors and believe that UAC will benefit from their knowledge and experience."

    Corporate Description

    UAC is one of the nation's largest independent, indirect automobile finance companies. The Company's primary business is purchasing and servicing prime automobile retail installment sales contracts. These contracts are originated by dealerships affiliated with major domestic and foreign manufacturers, nationally recognized rental car outlets, and used car superstores. UAC focuses on acquiring receivables related to late model used and, to a lesser extent, new automobiles purchased by customers who exhibit favorable credit profiles. Union Acceptance Corporation commenced business in 1986 and currently acquires receivables from over 5,600 manufacturer-franchised dealerships in 40 states. By using state-of-the-art technology in a highly centralized underwriting and servicing environment, Union Acceptance Corporation enjoys one of the lowest cost operating structures in the independent prime automobile finance industry.