The Major Automotive Companies Announces Compliance With Nasdaq Rules for Continued Listing -- Closes on Financing With HSBC and NMAC --

    LONG ISLAND CITY, N.Y.--May 3, 2002--The Major Automotive Companies, Inc. today announced that the Company has received a notification of its compliance with Nasdaq Marketplace Rules 4450(a)(2) and 4450(a)(5) relating to minimum market value of publicly held shares ($5 million) and minimum bid price per share ($1.00) that are required for continued listing on the Nasdaq National Market.
    Separately, the Company announced that it has closed on its previously announced floor plan credit facility with HSBC Bank, USA ("HSBC") pursuant to which HSBC provides the floor plan credit for the financing of the Company's Chrysler/Jeep, Dodge and Kia dealerships' new and used vehicle inventory. The Company has also closed on its previously announced floor plan credit facility with Nissan Motor Acceptance Corporation ("NMAC") pursuant to which NMAC has replaced the existing floor plan credit for the financing of the Company's Nissan dealership's new and used vehicle inventory.
    The Company's Chairman, President and Chief Executive Officer, Bruce Bendell, said, "We are gratified that the marketplace has recognized our success as an automotive dealership group. We believe that our attention to customer service and satisfaction, resulting in a loyal and increasing customer base, has fueled our growth. We expect that our success will continue and our shareholders will participate in the benefits from that success."
    The Major Automotive Companies is a leading consolidator of automotive dealerships in the New York Metropolitan area. For additional information, visit the Company's website at http://www.majorauto.com/.

    The information contained in this press release, including any "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's annual report on Form 10-K and other publicly available information regarding the Company, copies of which are available from the Company upon request. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the