Earl Scheib, Inc. Announces It Has Retained the Investment Banking Firm of Wedbush Morgan Securities Inc. to Explore Strategic Alternatives

SHERMAN OAKS, Calif.--Earl Scheib, Inc. (PINK SHEETS:ESHB) announced today that its Board of Directors has retained the investment banking firm of Wedbush Morgan Securities Inc. to begin a process to explore strategic alternatives to enhance stockholder value and to act as its exclusive financial advisor to assist management and the Board of Directors in this process. In making the announcement, Earl Scheib stated that there can be no assurance that the exploration of strategic alternatives will result in a transaction.

Chris Bement, President and Chief Executive Officer, stated that, "We continue to be very focused on our mission to serve the best interests of our stockholders. By hiring Wedbush Morgan Securities and its experienced bankers who specialize in middle market companies, we express our belief that the Company's current market capitalization does not reflect the true value of our strong position and opportunities in the aftermarket automotive paint and collision repair industry."

About Earl Scheib, Inc.

Earl Scheib, Inc., founded in 1937, is a nationwide operator of 98 automotive paint and collision repair shops located in 22 states and the District of Columbia. In addition, through a wholly-owned subsidiary, Earl Scheib, Inc. manufactures paint coating systems that are used not only by its paint and collision repair shops, but are also sold to original equipment manufacturers and used by architectural construction firms. For more information, visit www.earlscheib.com.

About Wedbush Morgan Securities Inc.

Founded in 1955, Wedbush Morgan Securities Inc. is one of the largest full-service investment banking and brokerage firms headquartered in the western United States. Wedbush Morgan is a leading financial services and investment firm that provides investment banking, private and institutional brokerage, private capital, research, and asset management to individual, institutional and issuing clients. For more information, visit www.wedbush.com.