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Navidec Develops New Auto Buying Web Site For Lithia Motors

6 December 1999

Navidec Develops New Auto Buying Web Site For Lithia Motors

  New Web Site Will Allow Lithia Customers to Order Next Car on the Internet

    ENGLEWOOD, Colo., Dec. 6 -- In search of a better use of the
Internet to further its status as one of the nation's top auto dealers, Lithia
Motors Inc. has hired Navidec Inc. to redevelop its
Lithia.com web site.
    The new Lithia.com will be a full service online auto buying and leasing
solution that provides consumers with access to every vehicle on the lots of
Lithia Motors' 38 stores in California, Oregon, Washington, Nevada and
Colorado.  Consumers will be able to use the web site to research and
determine their desired vehicle, search Lithia's inventory and submit a
purchase request for a specific vehicle.  Customers will also be able to
schedule and monitor service appointments on the web site.  The new site will
provide Lithia Motors with the ability to deliver 360 degree marketing in all
dealer areas.
    This project marks the first time that Navidec has offered an Application
Service Provider (ASP) model.  Through this business approach, clients pay
Navidec a monthly fee for its solutions and services.  By licensing its
solutions in this manner, Navidec is able to minimize its clients' up-front
expenses and maximize its own long-term revenue-generating opportunities.
    "Through the ASP model, we'll offer clients like Lithia an easier way to
transform their operations with eBusiness solutions," said Ralph Armijo,
president and CEO of Navidec.  "By packaging all aspects of a solution, from
development to licensing and hosting, into one service with one monthly fee,
we've minimized the hassle and expense."

    Navidec Inc.
    Navidec Inc. enables business e-transformation for
forward-thinking companies by providing innovative eBusiness solutions and
services.  Navidec consults with, builds and manages eBusiness transformation
efforts for its clients by developing high quality web-based applications
(Internet, intranet and extranet), implementing reliable web infrastructure
and delivering these solutions on time and within budget.  Navidec also
incubates reusable software modules, packaged Internet solutions and complete
eBusiness models, including DriveOff.com Inc.

    DriveOff.com Inc.
    DriveOff.com Inc., an incubation recently completed by Navidec, is a
leading provider of world-class auto buying and information web sites
including DriveOff.com, USWheels.com, CarWizard.com and LeaseSource.com.
DriveOff.com provides consumers with binding price and monthly payment quotes
online, allowing them to complete their entire vehicle transaction by visiting
the site.  DriveOff.com Inc. is based in Englewood, Colorado.

    Lithia Motors Inc.
    Lithia Motors Inc. operates 92 franchises and 38 stores in
California, Oregon, Washington, Nevada and Colorado.  It sells 24 brands of
new vehicles in its stores and over the Internet through "Lithia.com -
America's Car & Truck Store."  Lithia also sells used vehicles; arranges
finance, warranty, and credit insurance contracts; and provides vehicle parts,
maintenance, and repair services at all of its locations.  Lithia retailed
31,353 new and used vehicles in 1998.  Its current annualized revenue run
rate, including all completed acquisitions, is just over $1.3 billion or
approximately 58,600 retail new and used units.

    All statements in this press release, other than historical facts, are
forward looking statements.  These statements are based on certain assumptions
and analyses made by Navidec in light of its experience and its perception of
historical trends, current conditions, expected future developments and other
factors it believes are appropriate under the circumstances.  Such statements
are subject to a number of risks and uncertainties, including general and
economic business conditions, demand for automobiles, competition from other
automotive online services, market acceptance of its online automotive
solutions and other risk factors indicated from time to time in Navidec's
filings with the Securities and Exchange Commission.  Those filings are
available online at http://www.freeedgar.com.