Action Performance and Evernham Motorsports Announce New Agreement; Exclusive Licensing and Marketing Rights Extended Through 2012.

Business Editors & Sports Writers 

PHOENIX, Ariz.--(BUSINESS WIRE)--June 5, 2002

Action Performance Companies Inc. (NYSE:ATN), the leader in the design, promotion, marketing and distribution of licensed motorsports merchandise, today announced that a new agreement has been reached with Evernham Motorsports extending their current exclusive marketing and licensing contract until 2012.

The alliance is part of Action Performance's long-term growth initiatives as exemplified by the diversity and influence of the Company's existing motorsports license portfolio. The revised agreement also ensures that Evernham Motorsports, home to Winston Cup drivers Bill Elliott (No. 9) and Jeremy Mayfield (No. 19), will be represented in Action's diverse product line and promoted through the company's primary sales channels and with production exclusives.

"While Evernham Motorsports is still an emerging operation, I appreciate that Action Performance already recognizes our importance in NASCAR," said Ray Evernham, president and CEO of Evernham Motorsports. "Action Performance supported this operation from the beginning and was instrumental in helping us re-introduce the Dodge name to race fans as well as promoting our Evernham Motorsports drivers."

In 1999, Evernham, a champion NASCAR crew chief with nearly 50 victories to his credit, initiated Dodge's return to NASCAR racing after a 16-year hiatus. As the primary development team for the Dodge race cars, Evernham Motorsports set the tone for Dodge's return when veteran driver Elliott captured the Winston Cup season's first pole position at Daytona in 2001.

"Evernham Motorsports is a necessary addition to our current license strategy," noted Fred Wagenhals, Action's chairman, president and CEO. "When Dodge decided to return to NASCAR racing, Ray Evernham was the best person to lead the way. I am looking forward to the next decade of bringing inventive programs and products to race fans featuring the entire stable of Evernham Motorsports drivers and Dodge race cars."

About Action Performance Companies

Action Performance Companies Inc. (NYSE:ATN) is the leader in the design, promotion, marketing and distribution of licensed motorsports merchandise. The Company's products include a broad range of motorsports-related die-cast replica collectibles, apparel, souvenirs and other memorabilia. Action Performance markets and distributes products through a variety of channels including the Action Racing Collectables network of wholesale distributors, the Racing Collectables Club of America, QVC, goracing.com, trackside at racing events, direct corporate promotions, mass retail and department stores, specialty dealers and online at nascar.com.

This press release contains forward-looking statements regarding terms of the agreement, long-term growth, product line, sales channels, business strategy, programs and products. The Company's actual results could differ materially from those set forth in the forward-looking statements. Factors that might cause such differences include, among others, the ability of the parties to execute the agreement, the ability to successfully execute its business plan, the success of new marketing programs, competitive pressures, acceptance of the Company's products and services in the marketplace, and other risks discussed in the Company's Form 10-K, dated September 30, 2001, on file with the U.S. Securities and Exchange Commission.