Interstate National Dealer Services, Inc. Announces Completion of Merger

    UNIONDALE, N.Y.--Jan. 15, 2003--Interstate National Dealer Services, Inc. announced today that it has completed the previously announced merger with CHL Holdings Corp. In the merger, Interstate's public stockholders will receive $6.00 in cash per share.
    As previously announced, the merger was approved by stockholders holding more than 56% of Interstate's outstanding shares. As a result of the transaction, Interstate's securities have been delisted from Nasdaq and the Company will no longer be required to file reports with the Securities and Exchange Commission, effective immediately.
    Interstate is a leading nationwide provider of service contracts and extended warranties, primarily for new and used cars and recreational vehicles, as well as watercraft, manufactured housing, motorcycles and other power sport vehicles. For additional information please visit our websites: http://www.inds.com and http://www.warrantydirect.com.
    This press release contains forward-looking statements, which are subject to risks and uncertainties. Such statements are based on assumptions and expectations which may not be realized and are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual results, financial and otherwise, may differ from the results discussed in the forward-looking statements. A number of these risks and other factors that might cause differences, some of which could be material, along with additional discussion of forward-looking statements, are set forth in the Company's Report on Form 8-K filed with the Securities and Exchange Commission on December 23, 1996.