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Pep Boys Announces Final Results of Self-tender Offer

2 February 1999

Pep Boys Announces Final Results of Self-tender Offer

    PHILADELPHIA--Feb. 1, 1999--The Pep Boys - Manny, Moe & Jack announced today the final results of its "Dutch Auction" issuer tender offer.
    Since 11,942,456 shares of common stock were validly tendered and not properly withdrawn, the offer was oversubscribed. Therefore, shares tendered will be pro-rated, except for "odd lots" (or holdings of fewer than 100 shares), which will be purchased in full. The final pro-ration factor is 97.3149%, as determined by American Stock Transfer & Trust Company, the Depositary for the tender offer.
    The company exercised its option to purchase an additional 2%, or 1,276,502, of its outstanding shares. As a result, and in accordance with its Jan. 26, 1999 release of preliminary results, the company accepted for purchase 11,276,502 shares at a price of $16.00 per share.
    Pep Boys commenced the tender offer on Dec. 23, 1998, at which time it announced its intention to purchase up to 10,000,000 shares of its common stock at a purchase price not greater than $16.00 nor less than $13.50 per share. The tender offer expired at 12:00 Midnight, New York City time, on Jan. 25, 1999.
    Prior to the tender offer, Pep Boys had 63,825,110 shares of common stock outstanding. Following the purchase of shares tendered, Pep Boys will have approximately 52,549,000 shares of common stock outstanding.
    Payment for shares accepted, and the return of all other shares tendered, will be made promptly.