Rex Stores Corporation Signs Marketing Agreement With Warrantech; Warrantech Direct Recognized for Aggressive, Results Oriented Marketing

    EULESS, Texas--Nov. 6, 2002--Warrantech Corporation (OTCBB:WTEC), a leader and innovator in the administration of service contracts and extended warranties for automobiles, recreational vehicles, home appliances, consumer electronics, televisions, computers, home office equipment and other consumer products, today announced that a marketing agreement has been reached with a leading specialty electronics and appliance retailer based in Dayton, Ohio.
    REX Stores Corporation is a national retailer of consumer electronic products and appliances sold under the trade name "REX." During the fiscal year ended January 31, 2002, REX generated sales of $464.5 million. Rex currently has a network of 255 stores in 37 states.
    The eighteen-month agreement calls for Warrantech to assume control of REX's after market program targeting direct sales to consumers and customer renewals. Beginning in November, Warrantech Direct will use direct mail and telemarketing campaigns to contact REX customers to offer service contract, product replacement and renewal coverage on consumer electronics and appliance purchases.
    "Warrantech is proud of our ability to help clients identify and maximize their revenue sources. As a recognized leader in consumer warranty merchandizing, we are proud of our ability to close and renew service contracts and replacement warranties following the purchase," said Joel San Antonio, chairman and chief executive officer of Warrantech. "In many cases, warranty and service contract sales are lost once the customer leaves the store. However, Warrantech's marketing expertise gives clients like REX Stores the ability to take advantage of new marketing opportunities that provide a new and reliable revenue stream, while providing a higher level of customer service."

    About REX Stores Corporation:

    REX Stores Corporation is a leading specialty retailer of consumer electronic products and appliances based in Dayton, Ohio. As of July 31, 2002, the Company operated 255 stores in 37 states under the trade name "REX."

    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:

    This release contains forward-looking statements that are subject to risks and uncertainties. Other risks and uncertainties include but are not limited to, the effectiveness of cost containment measures and the continuation of current levels of business activity, the impact of competitive products, product demand and market-acceptance risks, reliance on key strategic alliances, fluctuations in operating results and cash flow and other risks detailed from time to time in the company's filings with the Securities and Exchange Commission. These risks could cause the company's actual results for the current fiscal year and beyond to differ materially from those expressed in any forward looking statements made by, or on behalf of, the company.