Champion Parts, Inc. Reports Year-End and Fourth Quarter Results

HOPE, Ark., Apr. 19, 2007 -- Champion Parts, Inc. , remanufacturer of automotive parts, today announced net sales of $3,127,000 for the fourth quarter ended Dec. 31, 2006, compared to $4,523,000 in the comparable period of 2005. The company reported a net loss of $269,000, or $0.08 per share in the quarter, compared to a net loss of $242,000, or $0.07 per share in the same period of 2005.

For the year 2006, the company reported net sales of $18,061,000, compared to $21,651,000. The company had net income of $10,000, or $0.00 per share, compared to $37,000, or $0.01 per share for the same period in 2005.

Jerry A. Bragiel, president and chief executive officer, said, "While the company remained profitable for the year, its results were negatively impacted by weaker sales."

The executive noted that its late 2006 year-end acquisition of the carburetor business of Tomco will be fully reflected in the current 2007 year and will afford the company with increased revenues and expected profit margins generated from remanufactured carburetors. Champion will now benefit greatly from Tomco's widely diversified and loyal customer base who have relied on Tomco's excellence of product and demonstrated devotion to service. In 2005, Tomco reported $9.5 million in carburetor sales.

The company also said it is continuing to pursue other new products and market opportunities and diversification.

About Champion

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.

                  CHAMPION PARTS, INC. AND SUBSIDIARIES
               CONSOLIDATED STATEMENT OF INCOME (CONDENSED)
                          FOR THE PERIODS ENDED

                                           Twelve Months       Twelve Months
                                           Dec. 31, 2006       Dec. 31, 2005

  Net Sales                                 $18,061,000        $21,651,000
    Costs and Expenses:
      Cost of Products Sold                  15,290,000         18,625,000
      Selling, Distribution & Administrative  2,081,000          2,437,000
     Total Costs and Expenses                17,371,000         21,062,000
  Operating Income                              690,000            589,000
    Non-Operating (Income)/Expense
      Interest Expense                          621,000            582,000
      Other Non-Operating (Income)               68,000           (113,000)
    Total Non-Operating Expense                 689,000            469,000
  Net Income (Loss) Before Income Taxes           1,000            119,000
    Income Taxes                                 (9,000)            82,000
  Net Income (Loss)                             $10,000            $37,000
    Weighted Average Common Shares
    Outstanding
      Basic                                   3,655,266          3,655,266
      Diluted                                 3,736,060          3,736,060
  Earnings Per Common Share-Basic
     Net Income Per Common Share-Basic            $0.00              $0.01

  Earnings Per Common Share-Diluted
     Net Income Per Common Share-Diluted          $0.00              $0.01

                                             Three Months       Three Months
                                            Dec. 31, 2006      Dec. 31, 2005

  Net Sales                                  $3,127,000         $4,523,000
    Costs and Expenses:
      Cost of Products Sold                   2,668,000          3,892,000
      Selling, Distribution & Administrative    505,000            736,000
    Total Costs and Expenses                  3,173,000          4,628,000
  Operating Income                              (46,000)          (105,000)
    Non-Operating (Income)/Expense
      Interest Expense                          177,000            132,000
      Other Non-Operating (Income)               76,000            (24,000)
    Total Non-Operating Expense                 253,000            108,000
  Net Income (Loss) Before Income Taxes        (299,000)          (214,000)
    Income Taxes                                (30,000)            28,000
  Net Income (Loss)                           $(269,000)         $(242,000)
    Weighted Average Common Shares
    Outstanding
      Basic                                   3,655,266          3,655,266
      Diluted                                 3,736,060          3,736,060
  Earnings Per Common Share-Basic
    Net Income Per Common Share-Basic           ($ 0.08)           ($ 0.07)
  Earnings Per Common Share-Diluted
    Net Income Per Common Share-Diluted         ($ 0.07)           ($ 0.06)