Warrantech Announces Strong Preliminary Second Quarter 2003 Results

    EULESS, Texas--Nov. 5, 2002--Warrantech Corporation (OTCBB:WTEC), a leader and innovator in the administration of service contracts and extended warranties, today announced that it expects to report earnings per share (EPS) of $0.06 for the fiscal second quarter 2003 ended Sept. 30, 2002.
    This increase in earnings for the second quarter 2003 represents an increase in excess of 60 percent in net income compared to the same quarter in 2002. In addition, gross receipts were also up more than 40 percent for the second quarter 2003 versus second quarter 2002, which contributed to an increase of approximately 7 percent in earned administrative fee. The rise in net income is attributed to an increase in gross receipts in all business segments, a streamlined corporate infrastructure and ongoing cost-cutting measures.
    Warrantech's continuation of profitability for the 10th consecutive quarter demonstrates the management team's focus in successfully managing the bottom line while growing the company's business," Joel San Antonio, Warrantech chairman and chief executive officer, said. "Based on preliminary data, second quarter 2003 financial results look exceptionally strong. This achievement is particularly significant in light of the current economic environment. As a result, we look forward to our full reporting of our tenth consecutive quarter of profits in the near future."

    About Warrantech:

    Warrantech Corporation administers and markets service contracts and after-market warranties on automobiles, automotive components, recreational vehicles, appliances, consumer electronics, homes, computer and computer peripherals for retailers, distributors and manufacturers. The company continues to expand its domestic and global penetration, and now provides its services in the United States, Canada, Puerto Rico and Latin America. For additional information on Warrantech, access www.warrantech.com.


    "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995:

    Except for the historical information contained herein, the matters discussed in this release may contain forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. The Company makes such forward-looking statements under the provisions of the "safe harbor" section of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect the Company's views and assumptions, based on information currently available to management including, among other things, the Company's operating and financial performance over for the period covered by this release. This information is subject to further review and analysis by management, and it is possible that, as a result of such further review and analysis, the financial information that is ultimately reported for the period may change.