Earl Scheib Announces Changes in the Board of Directors and Addition to Management Team

    SHERMAN OAKS, Calif.--Dec. 14, 2001--Earl Scheib, Inc. (AMEX:ESH) announced that its Board of Directors at a regular meeting held today accepted the resignations of two of its members, Philip W. Colburn and Daniel A. Seigel, and elected Robert M. Smiland as a member. Both Mr. Colburn and Mr. Seigel are leaving the Board to devote their efforts to other business and personal interests.
    Mr. Colburn had been a Director since June 1992 and Chairman of the Board since January 1999. His resignation is effective December 31, 2001, but he will be retained by the Company on a consulting basis through March 31, 2003. Mr. Seigel had been a Director since November 1994 and was the Company's President and Chief Executive Officer from November 1994 through December 1998.
    Mr. Smiland is Chief Executive Officer of Smiland Paint Company and a Partner in Smiland Land Company. He also serves in various fiduciary capacities in a number of civic and community organizations, including as a Trustee at the University of California at Berkeley where he graduated in 1978. Mr. Smiland brings over 20 years experience in the coatings industry to the Company.
    The Company also announced the addition of Richard G. Lange as its Vice President and Chief Operating Officer. Mr. Lange was previously the Senior Vice President of Penske Auto Centers and his business experience includes operational retail management positions at Northern Automotive Corporation, TJ Maxx, Marshall's and Target.
    Chris Bement, Chief Executive Officer and President, stated that, "We are very pleased to have Robert Smiland and Richard Lange join our Company. Mr. Smiland's entrepreneurial skills and extensive experience in the coatings industry will be invaluable as a member of the Board of Directors, and Mr. Lange's very strong automotive and retail experience is a great enhancement to our management team. These additions will be a great benefit to the Company as we proceed with restructuring our retail paint and body shops, growing our commercial coatings business and improving the performance of our fleet and truck centers.
    We also want to thank Phil Colburn and Dan Seigel for their years of service to the Company. Phil, as a member of the Board and as Chairman, and Dan in his capacity as the former President and Chief Executive Officer, were a tremendous source of support and encouragement not only to the Company, but also to me personally. We wish both of them all the best in their new endeavors."
    Earl Scheib, Inc., founded in 1937, is a nationwide operator of 136 auto paint and body shops located in more than 100 cities throughout the United States.

    "Safe-Harbor" Statement Under the Private Securities Litigation Reform Act of 1995

    Certain written and oral statements made by the Company may be "forward-looking statements" as defined under the Private Securities Litigation Reform Act of 1995, including statements made in this news release and in filings with the Securities and Exchange Commission. Generally, the words "believe," "expect," "hope," "intend," "estimate," "anticipate," "plan," "will," "project," and similar expressions identify forward-looking statements which generally are not historic in nature. All statements, which address operating performance, events, developments or strategies that the Company expects or anticipates in the future, are forward-looking statements.

    Forward-looking statements involve risks and uncertainties that could cause actual results or events to differ materially from the Company's past experience or current expectations. The following are some of the risks and uncertainties that may impact the forward-looking statements: the impact of the of the Company's retail paint and body shop closures and operational restructuring, the effect of weather, the effect of economic conditions, the impact of competitive products, services, pricing capacity and supply constraints or difficulties, changes in laws and regulations applicable to the Company, the impact of advertising and promotional activities, the impact of the Company's expansion of its fleet services division, new product rollout and Quality Fleet and Truck Centers, commercial coatings business, the potential adverse effects of certain litigation, financing or lending constraints and the impact of various tax positions taken by the Company.