Action Performance and Robert Yates Racing Extend Contract; Exclusive Licensing and Marketing Rights Now Contracted Through 2017

    PHOENIX--June 4, 2002--Action Performance Companies, Inc. , the leader in the design, promotion, marketing and distribution of licensed motorsports merchandise, today announced an agreement has been reached with Robert Yates Racing to extend their ongoing exclusive licensing and marketing contract until 2017. The new agreement seeks to maintain the diversity and influence of Action's licensing portfolio while capitalizing on the Robert Yates Racing brand and NASCAR's enduring market potential.
    Under the extended agreement, Action Performance has the exclusive rights to produce die-cast race car replicas, apparel and other merchandise for Robert Yates Racing teams, including the No. 88 UPS Ford, the No. 28 Havoline Ford and the No. 98 Channellock Busch Series Ford.
    In addition to production exclusives, the agreement also allows Action Performance to continue developing and producing Historical Series vehicles from the storied Robert Yates Racing collection, including cars for celebrated driver Davey Allison.
    "By extending our exclusive relationship with Fred Wagenhals and Action Performance, we feel Robert Yates Racing will benefit from some of the most exciting and innovative marketing support in the motorsports industry," Team owner Robert Yates said. "Action always has been consistent in its complete support and promotion of the No. 28, 88 and 98 teams through inventive programs and high-quality products that race fans enjoy."
    In 1988, Yates, one of NASCAR's long-time premier engine builders, ventured into Winston Cup team ownership with the No. 28 race car. Since then, the Robert Yates Racing enterprise has grown to encompass three teams. In 1999, Yates enjoyed the pinnacle of NASCAR success when his driver Dale Jarrett, behind the wheel of the No.88, won the Winston Cup championship.
    "We intend to continue solidifying our business foundation by seeking extensions with our current licensors as well as forging relationships with new drivers and teams," explained Fred Wagenhals, Action's chairman, president and CEO. "Employing that strategy has been crucial to Action's overall success, and I am pleased that Robert Yates Racing is remaining an elemental part of our long-term growth initiatives."

    About Action Performance

    Action Performance Companies, Inc. is the leader in the design, promotion, marketing and distribution of licensed motorsports merchandise. Its products include a broad range of motorsports-related die-cast car replica collectibles, apparel, souvenirs, and other memorabilia. The Company markets and distributes products through a variety of channels, including the Action Racing Collectables network of wholesale distributors, the Racing Collectables Club of America (RCCA), QVC, goracing.com, trackside at racing events, direct corporate promotions, mass retail and department stores, specialty dealers, and online at nascar.com.

    This press release contains forward-looking statements regarding terms of the agreement, market potential, continuing business relationships, the Company's business strategy, and long-term growth. The Company's actual activities and results could differ materially from those set forth in the forward-looking statements. Factors that might cause such differences include, among others, the ability of the parties to execute the agreement, competitive pressures, acceptance of the Company's products and services in the marketplace, the success of new marketing programs, and other risks discussed in the Company's Form 10-K dated September 30, 2001, on file with the U.S. Securities and Exchange Commission.