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Discovery Completes Acquisition of Seven ARCO AM/PM Gas Stations

2 November 1999

Discovery Investments Completes Acquisition of Seven ARCO AM/PM Gas Stations/Convenience Stores

    MALIBU, Calif.--Nov. 1, 1999--Discovery Investments Inc., a Nevada Corporation (OTCBB:DCIV) through LLO-Gas Inc., has acquired seven ARCO AM/PM gas station/convenience stores, for $9.5 million cash, under an agreement signed Oct. 26, 1999.
    The stations, located in California and Arizona, include six existing AM/PM-branded stations with full convenience stores, and one gas-only station with no other retail operations. The company acquired fixed assets, real estate, inventory and equipment, as well as the franchise to operate these seven stations. The stations' gross revenues are $25 million annually. The company plans to retain the ARCO and AM/PM brand identity at all the locations.
    Credit Suisse Group's (CSGKY) CSFC division acted as senior lender for the transaction, providing $7,750,000 of 15-year financing.

    Safe Harbor Information: The above news release contains forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties. The actual results achieved may differ materially from such statements. It is impossible to predict with certainty whether the acquisition, acquisition financing or other matters related to this news release will be successfully concluded. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results (expressed or implied) will not be realized.