America's Car-Mart Expects to Exceed First Quarter Earnings Estimate

    BENTONVILLE, Ark.--Aug. 12, 2002--America's Car-Mart, Inc. today announced that in light of higher than expected retail sales and lower than expected credit losses in its first fiscal quarter ended July 31, 2002, the Company expects to exceed its earlier forecast of first quarter earnings from continuing operations of $0.38 per diluted share. The Company expects to release its first quarter earnings during the second week of September 2002, and conduct a conference call in connection with the earnings release. The date and time of the conference call will be provided in a subsequent announcement.
    The Company also announced that it has opened two new dealerships located in Duncan, Okla., and Forrest City, Ark., which brings the total number of Car-Mart dealerships to 59. The opening of these new dealerships marks the addition of four new dealerships since the Company's current fiscal year began on May 1st. Further, the Company expects to open dealerships in Sherman, Texas, and Malvern, Ark., within the next few weeks.
    "We are very pleased with the Company's performance in the first quarter, which exceeded our expectations in a number of areas," commented T.J. ("Skip") Falgout, Chief Executive Officer of America's Car-Mart, Inc. "Despite the weak national economy and labor market, we continue to experience strong sales and stable portfolio performance, with credit losses in our two most recent quarters below our historical average," added Falgout.
    "This is a unique opportunity for us to be in a position to open several new dealerships within such a short time frame," stated Hank Henderson, President of America's Car-Mart, Inc. "Our management training program and increased number of assistant managers has provided a larger pool of capable new managers to place in these new dealerships, which has enabled us to add dealerships at a faster pace this year," continued Henderson. "Although we had planned to focus expansion predominantly in Oklahoma and potentially north Texas this year, a large concentration of federal workers in Forrest City, Arkansas provides an ideal base of customers with stable jobs. Our existing presence and strong name recognition in eastern Arkansas should also benefit the Forrest City dealership. The Malvern, Arkansas, dealership is another logical choice for us because it will assist the larger Benton dealership in collections while additionally serving the City of Malvern. Geographically, these dealerships all fall within existing management regions, and we look for them to contribute nicely in the coming months."

    About America's Car-Mart

    America's Car-Mart currently operates 59 automotive dealerships in seven states and is the largest publicly held automotive retailer in the United States focused exclusively on the "Buy Here/Pay Here" segment of the used car market. The Company operates its dealerships primarily in small cities and rural locations throughout the South-Central United States, selling quality used vehicles and providing financing for substantially all of its customers.

Included herein are forward-looking statements, including statements with respect to expected or targeted earnings per share amounts, credit losses, dealership openings and operating performance. There are many factors that affect management's view about operating results. These factors involve risks and uncertainties that could cause actual results to differ materially from management's present view. All forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.