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Westar Financial Begins Regional Operations in California

4 October 1999

Westar Financial Begins Regional Operations in California

    OLYMPIA, Wash. and SAN FRANCISCO and LOS ANGELES, Oct. 4
-- Westar Financial Services Incorporated (OTC Bulletin Board: WEST), a
prime-credit auto lessor, today announced it has launched operations in
California.  The California region is the fourth for Westar, which also
competes in the Pacific Northwest, Southwest and Northcentral Regions.
    "As we did with our previous regional openings, we completed extensive
market research on consumer and economic trends in California.  We identified
several areas of the state as ideal for our high-quality auto lease programs,"
said R. W. Christensen, Jr., Westar's President and CEO.  "Expanding into
California will foster the growth of our lease originations, which have almost
tripled in the past 12 months.  We expect to be a significant competitor and
price leader in the California market, and will continue providing our
customary high degree of dealer and customer service."
    "We're delighted that Westar accepted our invitation to enter California.
We use them in most of our other states and regard them as a real business
advantage to us," was the reaction of Sidney B. DeBoer, Chairman and Chief
Executive Officer of Lithia Motors, Inc. .  Lithia operates
automotive stores in five western states.
    Also enthusiastic was Doris Richey, Finance Manager of the Fletcher Jones
Automotive Group, who said, "We started doing business with Westar in Nevada
some months ago and look forward to offering Westar as a lease financing
source for all of our California dealers."  The Fletcher Jones Automotive
Group owns seven dealerships in California and Nevada.
    "California is an exciting expansion for us, for which we have been
preparing for months," said Robert E. Kanatzar, Westar's Senior Vice President
- Risk Management.  "Our goal is to obtain a 3% market share in the state, or
approximately $300 million in annual lease originations, within the next
18 months.  We have already signed some of the biggest and best dealers in the
state, and expect to begin originating leases immediately.  We've become
accustomed to reaching our goals relatively quickly.  If we can do that in
this premier western market, we'll be very pleased."
    Westar Financial Services Incorporated is an innovative, fast-growing,
Washington-based automobile financing company.  WEST is the only publicly
traded automobile lease finance company focused solely on the prime-credit
segment of the $112 billion auto-lease finance market.  Westar recently
entered automotive e-finance through a $1 billion funding commitment to
DriveOff.com, a 3rd generation e-commerce business model which allows
consumers to buy and finance new automobiles in a single electronic
transaction.  The DriveOff.com site opened September 28th and generated more
than 200,000 hits in its first 24 hours.
    Statement regarding "Forward Looking Statements":  Statements concerning
future performance, developments or events, including the ability to penetrate
new markets and capture market share, gain product acceptance, form business
alliances, or any other guidance on future periods, constitute forward-looking
statements which are subject to a number of risks and uncertainties which
might cause actual cause results to differ from stated expectations.