Alfa Leisure Announces Cash Out of Minority Shareholders in Merger

22 July 1999

Alfa Leisure Announces Cash Out of Minority Shareholders in Merger

    CHINO, Calif.--July 22, 1999--Alfa Leisure Inc. (OTC BB:ALEI) Thursday announced that on Jan. 21, 1999, the board of directors of the company had approved the merger of the company with and into Alfa Leisure Acquisition Corp., a California corporation which will own in excess of 90% of the common stock of the registrant prior to the effective date of the merger.
    Shareholders of the company who do not exchange their shares of the company's common stock for common stock of Alfa Leisure Inc. Acquisition Corp. prior to the effectiveness of the merger are expected to receive cash in the amount of $2.75 per share for their shares of the company's common stock in the merger.
    The board of directors of the company has obtained the opinion of Marshall & Stevens Inc. dated as of July 19, 1999 that the cash consideration being paid to the minority shareholders of the company in the merger is fair to the minority shareholders of the company from a financial point of view.
    The merger is expected to become effective on or about Sept. 15, 1999 following mailing of a Schedule 13E-3 and information concerning statutory dissenter's rights to the shareholders of the company.
    For further information, contact Mark Schwartz at 909/628-5574, ext. 125.