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Insurance Auto Auctions Opens a Greenfield Facility in Little Rock, Arkansas



    SCHAUMBURG, Ill., Feb. 10 -- Insurance Auto Auctions, Inc. , a leading provider of automotive
salvage and claims processing services in the United States, today opened a
greenfield facility in Scott, Arkansas.  This new 20-acre facility located in
the Little Rock metropolitan area is the company's first location in Arkansas.
It features an indoor warehouse that will facilitate indoor Run & Drive(R)
auctions and will be used as a vehicle inspection center by insurance company
personnel.  The facility will increase Insurance Auto Auctions' presence in
the South-Central region of the U.S. and will complement IAA's current
facilities located in Missouri, Louisiana and northeastern Texas.  Since
January 1, 2003, IAA has added four new facilities: Little Rock, two
facilities acquired in New York and a greenfield in Dothan, Alabama.
    "We continue to look for specific geographic opportunities where IAA can
expand its reach to new or underserved customers," said Tom O'Brien, CEO of
Insurance Auto Auctions.  "The Little Rock facility significantly improves our
ability to service customers in the state of Arkansas and further expands our
coverage in the southern United States.  Going forward, we expect to continue
strategically expanding our regional and national coverage through
acquisitions and the introduction of new greenfield facilities."

    About Insurance Auto Auctions, Inc.
    Insurance Auto Auctions, Inc., founded in 1982, a leader in automotive
total loss and specialty salvage services in the United States, provides
insurance companies with cost-effective, turnkey solutions to process and sell
total-loss and recovered-theft vehicles.  The Company currently has 70 sites
across the United States.

    Safe Harbor Statement
    This press release contains forward-looking information that is subject to
certain risks, trends and uncertainties that could cause actual results to
differ materially from those projected, expressed, or implied by such forward-
looking information.  In some cases, you can identify forward looking
statements by our use of words such as "may, will, should, anticipates,
believes, expects, plans, future, intends, could, estimate, predict, projects,
targeting, potential or contingent," the negative of these terms or other
similar expressions.  The Company's actual results could differ materially
from those discussed or implied herein.  Factors that could cause or
contribute to such differences include, but are not limited to, those
discussed in the Company's annual report on Form 10-K for the fiscal year
ended December 30, 2001 or subsequent quarterly reports.  Among these risks
are: accelerated departure from conducting business pursuant to the purchase
agreement method of sale, which departure could adversely affect the Company's
client base; the ability to successfully renegotiate existing purchase
agreement contracts; fluctuations in the actual cash value of salvage
vehicles; the quality and quantity of inventory available from suppliers; the
ability to pass through increased towing costs; that vehicle processing time
will improve; that the Company's towing business will reach forecasted levels
of profitability; legislative or regulatory acts; changes in the market value
of salvage; competition; the availability of suitable acquisition candidates
and greenfield opportunities; the ability to bring new facilities to expected
earnings targets; the dependence on key insurance company suppliers; the
ability of the Company and its outside consultants to successfully implement
standardized key processes throughout the Company's operations as well as the
ability to successfully complete the re-design of the Company's information
systems, both in a timely manner and according to costs and operational
specifications; and the level of energy and labor costs.

    Additional information about Insurance Auto Auctions, Inc. is available on
the World Wide Web at http://www.iaai.com .