Collegiate Pacific Reports Earnings; Six Month Net Income Up 145%; Revenues Rise 24%.

Business Editors

DALLAS--(BUSINESS WIRE)--Feb. 11, 2003

Collegiate Pacific (AMEX:BOO) today released its earnings report for the three and six months ended Dec. 31, 2002.

Michael Blumenfeld, CEO, stated, "We are gratified that the increase in revenues and earnings continues to offer superior financial returns and comparisons. For the first time in our history we are able to report a profit during our slowest seasonal period -- July to December. What is impressive about the quarterly and six month reports is that our order backlogs at December 31 rose 100% ($550,000 vs. $270,000) over year ago comparisons. Had we been able to process and ship the backlog increases during December, the operating results would have been materially stronger. We also incurred an abnormal level of legal and outside professional fees associated with our continuing search for acquisitions and investor relation activities and do not believe these expenses will be recurring in the months ahead."

Through Six Months and Beyond

"For the six months, revenues increased 24% generating a net income increase of 145%. For the second quarter the seasonal loss was reduced as the result of higher revenues and margins and the EPS loss was lower by 20% to $.05 v $.06. Margins for both periods continued to improve as compared to year earlier results. Cash flows over the next 6 months are expected to accelerate which should allow the Company to enter our 2004 fiscal year (July 1) in a very strong financial position. We will continue to review the application of our financial resources for the benefit of our shareholders. Such applications may include increases in our cash dividend, stock buybacks and/or acquisitions."

                        Three months ended      Six months ended
                              Dec. 31               Dec. 31
                      ----------------------- -----------------------
                         2002        2001        2002        2001
                      ----------- ----------- ----------- -----------
Revenues              $3,508,767  $2,848,447  $8,274,958  $6,663,069

Net Income             $(231,061)  $(253,105)    $48,109   $(231,061)
                      =========== =========== =========== ===========

Weighted Average
 Shares:
Basic                  4,224,186   4,216,615   4,227,696   4,222,581
                      =========== =========== =========== ===========

Fully Diluted          4,224,186   4,216,615   4,927,029   4,222,581
                      =========== =========== =========== ===========

Earnings per Share:
Basic                     $(0.05)     $(0.06)      $0.01      $(0.02)
                      =========== =========== =========== ===========

Fully Diluted             $(0.05)     $(0.06)      $0.01      $(0.02)
                      =========== =========== =========== ===========

Early Results for January Are Strong

"Our primary selling season (January to June) commenced in January with a surge in orders generating record order input and order backlogs. For the first time in our operating history, orders received for a single week reached $500,000, order backlogs through January were up 120% ($562,000 vs. $250,000) and January revenues were the largest ever recorded by the Company. A combination of creative marketing programs and the introduction of over 200 new products were the catalyst for these results. While it is impossible to know if the current surge in orders will continue throughout the quarter or year, January is historically the lowest revenue producing month in the January-June period.

"As we continue to expand product offerings we are concentrating on becoming the low cost provider of products in the fitness industry, expanding our youth sports business and providing online marketing to millions of players, coaches and institutional accounts through a series of joint venture Internet relationships. I am consistently asked -- how and why does BOO continue its growth in a time when budgets are being reduced? The answer today is the same answer that was prevailing for the past 30 years in this industry. When budgets are reduced, buyers gravitate to the low cost producer. Collegiate is the most efficient manufacturer and supplier of sports equipment in the U.S. Our ability to process and ship orders within a 48 hour window is compared to 4-6 weeks for the industry. The Collegiate Pacific management team has over 300 cumulative years in the sporting goods industry and over the past 30 years has never had a down revenue year."

Acquisition Searches

"One of the difficulties in pursuing any acquisition is we demand that the contributions from an acquisition be immediate and accretive. When your Company is growing revenues at 25%, has little debt, is generating $400,000 in revenues per employee, is growing earnings at an accelerated pace and recently instituted a cash dividend -- it is difficult to find operations that can match or be accretive to these results. While we are desirous of accelerating our growth via acquisitions, we remain committed to our business plan which continues to produce results unmatched in our industry."

Collegiate Pacific is the nation's fastest growing manufacturer and supplier of sports equipment primarily to the institutional markets. The Company offers more than 3,200 products to 35,000 existing customers and generates the majority of its orders via the distribution of 1.5 million catalogs and Internet/ecommerce activity.

This report includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and is subject to the safe-harbor created by that section. The Company's actual results may differ from the results discussed in any forward-looking statements.

For additional information contact Mike Blumenfeld at 972/243-8100 or visit the Company Web site at Cpacsports.com.