LKQ Corporation Acquires Two Aftermarket Businesses

CHICAGO--Sept. 1, 2005--LKQ Corporation today announced that it acquired two businesses that operate in the aftermarket collision automotive replacement parts business. Independent Auto Parts is headquartered in Pennsylvania and Mid-State Aftermarket Parts is headquartered in Arkansas.

Revenue of these businesses for the twelve months ended December 31, 2004 was approximately $16.6 million. We paid approximately $13.7 million, net of acquired cash, for these two businesses.

These businesses have six locations with approximately 120 employees. They serve customers throughout the state of Arkansas, and markets in Tulsa, Memphis, central Pennsylvania and the southeastern portion of New York State.

"The territory covered by these businesses significantly expands the aftermarket part markets served by our existing businesses," stated Joseph Holsten, President and CEO. "Through these acquisitions we enter several new market areas with a good base of customers and inventory in place, while positioning our company to enter additional new markets from this expanded base of operations."

About LKQ Corporation

LKQ Corporation is the largest nationwide provider of recycled OEM automotive replacement parts and related services, with 47 sales and processing facilities, 9 self-service retail automotive parts facilities and 13 redistribution centers that reach most major markets in the United States. In addition, 3 facilities are located in Central America. LKQ is also one of the largest suppliers in the Midwest of aftermarket collision automotive replacement parts, operating in over 35 locations primarily east of the Mississippi River.

Forward Looking Statements

The statements in this press release that are not historical are forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our expectations, beliefs, hopes, intentions or strategies. Forward looking statements involve risks and uncertainties, some of which are not currently known to us. Actual events or results may differ materially from those expressed or implied in the forward looking statements as a result of various factors. These factors include:

-- the availability and cost of inventory;

-- pricing of new OEM replacement parts;

-- variations in vehicle accident rates;

-- changes in state or federal laws or regulations affecting our business;

-- fluctuations in fuel prices;

-- severity of weather and seasonality of weather patterns;

-- the amount and timing of operating costs and capital expenditures relating to the maintenance and expansion of our business, operations and infrastructure;

-- declines in asset values;

-- uncertainty as to changes in U.S. general economic activity and the impact of these changes on the demand for our products;

-- increasing competition in the automotive parts industry;

-- our ability to increase or maintain revenue and profitability at our facilities;

-- uncertainty as to the impact on our industry of any terrorist attacks or responses to terrorist attacks;

-- our ability to operate within the limitations imposed by financing arrangements;

-- our ability to obtain financing on acceptable terms to finance our growth;

-- our ability to integrate and successfully operate recently acquired companies and any companies acquired in the future and the risks associated with these companies;

-- our ability to develop and implement the operational and financial systems needed to manage our growing operations; and

-- other risks that are described in our Form 10-K filed March 8, 2005 and in other reports filed by us from time to time with the Securities and Exchange Commission.

You should not place undue reliance on the forward looking statements. We assume no obligation to update any forward looking statement to reflect events or circumstances arising after the date on which it was made.