Champion Parts Purchases Second Automotive Air Conditioning Product Company

Acquires Beacon Sales & Distribution that Markets Automotive Air Conditioning Accumulators and Driers

HOPE, Ark., Dec. 22 -- Champion Parts, Inc. (BULLETIN BOARD: CREB) , remanufacturer of automotive parts, announced today that it has acquired the assets of Beacon Sales & Distribution that recorded revenue of nearly $1.3 million in air conditioning products for 2003. Terms were not disclosed.

Beacon distributes air conditioning accumulators and driers for the passenger car, and light truck aftermarket. Established in 2000, Beacon currently operates from its Richland Hills, Tex. facility. The management team, headed by Robert D. Parish, will join Champion Parts. The acquired company will shortly be relocated to Champion Parts' facilities.

"By way of this acquisition," said Jerry A. Bragiel, president and chief executive officer of Champion Parts, "we can now offer our customers an expanded line of automotive air conditioning products. This acquisition will now provide Champion with an even stronger recognition in the automotive air conditioning product marketplace."

In mid-2001, Champion entered, for the first time, the growing automotive air conditioning market when it acquired B & T Rebuilders, Inc., a Port Richey, Fla.-based remanufacturer and distributor of automotive remanufactured air conditioning compressors.

"When Champion entered the automotive air conditioning segment, it proved to be an excellent move and has provided Champion with continued growth in both sales and profit gains for that product category," Bragiel concluded.

Last month, Champion noted that it anticipated expansion of its air conditioning product line and, additionally, it is pursuing other new products and markets for existing products that include internal new product development, as well as acquisition opportunities.

Champion Parts remanufactures fuel system components, air conditioning compressors, front wheel drive assemblies, and other underhood electrical and mechanical products for the passenger car and light truck, agricultural, heavy-duty truck and marine parts aftermarket.