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Automotive Performance Group, Inc. Announces Option Agreement

9 February 1999

Automotive Performance Group, Inc. Announces Option Agreement to Acquire Advanced Chemistry & Technology, Inc.

    GARDEN GROVE, Calif.--Feb. 8, 1999--AUTOMOTIVE PERFORMANCE GROUP, INC. (OTC BB:RACG), a full service owner and operator of high performance automotive businesses and brands, announced today that it has entered into an option agreement to purchase Advanced Chemistry & Technology, Inc. (AC Tech). The agreement provides for the current shareholders of AC Tech to receive shares of APG stock in exchange for their interest in AC Tech. The transaction is conditioned on APG completing its recently announced planned acquisition of Loctite's Automotive Aftermarket Division.
    AC Tech develops, manufactures and markets aircraft sealant, specialty packaging materials and packaging services to the aircraft OEM and maintenance markets. Dean M. Willard is the founder, CEO and a shareholder of AC Tech.
    Dean M. Willard, Chairman and Chief Executive Officer of APG stated, "This acquisition brings approximately $10 million dollars of anticipated 1999 revenues to APG. This acquisition will also allow APG to receive the full benefits of the finance, technical and manufacturing capabilities of AC Tech." Management anticipates that the acquisition will be completed in three to four months.
    Automotive Performance Group, Inc. is a full service owner and operator of high performance automotive businesses including Royal Purple Motor Oil, which produces synthetic oil and chemical products favored by many racing teams and manufacturers, and Klein Engines and Competition Components, Inc., a leading manufacturer of high performance engines.
    Except for historical matters contained herein, the matters discussed in this press release are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect assumptions and involve risks and uncertainties which may affect Automotive Performance Group, Inc.'s business and prospects and cause actual results to differ materially from these forward-looking statements.