Car Rental Direct, Inc. Defaults on Ford Forbearance Agreement and Release

    LOS ANGELES--June 2, 2003--MAII Holdings, Inc. (PK:MAII) today announced that its subsidiary Car Rental Direct, Inc. (PK:CRDH) (the "Company" or "CRD") has defaulted on its Forbearance Agreement and Release (the "Agreement and Release") with Ford Motor Credit Company ("Ford"). Since the default, CRD has attempted to restructure the Agreement and Release, and has also attempted to replace the Ford line of credit. However, CRD has not been able to reach agreement with Ford on either a restructuring or a take-out. Ford has now received a court order for seizure of the vehicles underlying Ford's security interest under the line of credit and has begun seizing such vehicles. Without these vehicles, CRD will be unable to operate its business. CRD is reviewing its alternatives, including filing of a bankruptcy petition.