Interstate National Dealer Services, Inc. Announces Board Approval to Repurchase 1,000,000 of its Outstanding Shares

    MITCHEL FIELD, N.Y.--Oct. 24, 2001--Interstate National Dealer Services, Inc. today announced that its board of directors has authorized the repurchase of an additional 1,000,000 shares of the approximate 4.0 million shares outstanding.
    Interstate said the repurchase will be made from time to time in the open market or in privately negotiated transactions subject to market conditions and the market price of the common stock.
    Interstate Chairman and CEO Chester Luby stated, "Interstate's board of directors believes that the Company's strong financial position and the current price of the Company's shares make the repurchase of shares of the Company's common stock an attractive use of Interstate's funds."

    Interstate is a leading nationwide provider of service contracts and extended warranties, primarily for new and used cars and recreational vehicles, as well as watercraft, manufactured housing, motorcycles and other power sport vehicles. For additional information please visit our websites: http://www.inds.com and http://www.warrantydirect.com.

    This press release contains forward-looking statements, which are subject to risks and uncertainties. Such statements are based on assumptions and expectations which may not be realized and are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual results, financial and otherwise, may differ from the results discussed in the forward-looking statements. A number of these risks and other factors that might cause differences, some of which could be material, along with additional discussion of forward-looking statements, are set forth in the Company's Report on Form 8-K filed with the Securities and Exchange Commission on December 23, 1996.