Concord Camera Corp. Announces Retirement of Senior Notes.

Business Editors

HOLLYWOOD, Fla.--(BUSINESS WIRE)--Aug. 21, 2002

Concord Camera Corp. ("Concord") (NASDAQ National Market: LENS) today announced that on August 15, 2002, it repurchased and cancelled without penalty, and slightly below par, its $15,000,000 11% Senior Notes due 2005.

Ira B. Lampert, Concord's Chairman, CEO and President, said, "Annually, this transaction will save us, net of foregone investment income, approximately $1.4 million in interest costs. In the first quarter of this fiscal year, we will incur a net charge of approximately $300,000 associated with capitalized note costs and credit costs, offset by approximately $200,000 in interest cost savings. For the last three quarters of fiscal year 2003 we anticipate saving approximately $1.1 million net of interest and amortized loan costs and forgone investment income.

"Our cash flow from operations remains strong. As mentioned in our conference call on August 8, 2002, we are continuing to investigate merger and acquisition opportunities that could utilize a significant amount of cash. In addition, we are in talks with a bank to procure additional financing should the need arise."

About Concord Camera Corp.

Concord Camera Corp. is a global developer, designer, manufacturer and marketer of high quality, low cost, digital, instant, Advanced Photo System (APS), and 35mm format cameras and 35mm, APS, and instant format single-use cameras. Concord markets its cameras under the trade names CONCORD(R), KEYSTONE(R), CONCORD EYE Q(TM), LE CLIC(R), GOLDLINE(R), APEX(R), and ARGUS(R). Today, Concord is one of the world's leaders in the single-use camera category, one of the fastest growing segments of the camera market, and the largest producer of single-use cameras in the world in private label, corporate premium and original equipment manufacturer segments of the industry. Concord sells and markets its camera products worldwide through direct sales offices in the United States, Canada, Germany, Hong Kong, the United Kingdom and France and through independent sales agents. Concord manufactures its products in its expansive, vertically integrated manufacturing facilities in the Peoples Republic of China, which includes a class 10,000 "clean room" digital technology manufacturing and assembly facility.

This press release contains forward-looking statements that involve numerous risks and uncertainties. The Company's actual results could differ materially from those anticipated in such forward-looking statements as a result of certain factors, including those set forth in the Company's filings with the Securities and Exchange Commission, some of which are summarized under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2001 and updated in subsequently filed reports. In particular, the Company's anticipated expense savings and anticipated cash flow from operations. Additionally, any forward-looking statements represent our estimates only as of today and should not be relied upon as representing our estimates as of any subsequent date. While we may elect to update forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if our estimates change.