Mego Financial Corp. Announces Appointment of Key Executives and Formation of Leisure Services Corporation.

Business Editors

LAS VEGAS--(BUSINESS WIRE)--April 25, 2002

Mego Financial Corp. (Nasdaq: LESR) announced today the appointment of Michelle K. Decker as the Company's new Senior Vice President of Systems and Technology and Diane F. Steenman as President of Leisure Services Corporation, a new wholly owned subsidiary.

Michelle Decker joins the Company after a 23-year career of pioneering new ebusiness technologies. Most recently Ms. Decker served as chief technology officer for two diverse organizations where she developed strong skills in strategic planning, technical strategy, e-commerce direction and business operations. As Chief Technology Officer at Twenty-First Century Financial Systems, Ms. Decker was responsible for fully integrating an ASP application to provide a cost-effective migration from traditional systems to state-of-the-art technology. She further managed all aspects of telecommunications, network operations, and field support. As Chief Technology Officer at Expedia.com/Travelscape.com, she also supervised network design and administration, application development and deployment, and technical support. In these positions, Ms. Decker oversaw large budgets and led multiple acquisition and merger projects. The September 2000 edition of eWeek Magazine named Ms. Decker an "eBusiness Woman to Watch".

Prior to becoming a chief technology officer, Ms. Decker served as Senior Corporate Director of New Technology at Lifetouch, Inc., where she focused on Internet and Intranet development and deployment. Ms. Decker also worked at Carlson Marketing Group and Deloitte & Touche LLP. In this role, she helped produce groundbreaking technology in financial services applications and voice over IP technology. Ms. Decker received her Mini-Masters in Software Design and Development from St. Thomas University, an MBA in Finance and Accounting from Youngstown State University, and a BS in Accounting and Computer Science from Slippery Rock State University.

"Michelle Decker is one of the true technology leaders in the travel and leisure industry. She is deploying leading edge technologies supported by best in business practices. Michelle is helping the Company modernize our systems, providing new and exciting technology solutions to our customers and our operations. With her assistance, we will have a technology infrastructure that will support the growth of Leisure Industries and set new technology standards for the industry," said Floyd W. Kephart, Chairman and Chief Executive Officer.

The Company also announced the establishment of Leisure Services Corporation, a new wholly owned subsidiary, and the appointment of Diane F. Steenman as the President. Ms. Steenman has more than 25 years experience in the travel, hospitality, call center and vacation ownership industries. Most recently she was Chief Operating Officer of Lowestfare.com. In that capacity she spearheaded the company's redeployment of assets to better serve the customer base, resulting in significant increases in sales volume.

Prior to her tenure at Lowestfare.com, Ms. Steenman was Vice President of Central Reservations for Universal, Orlando. In this capacity she managed nine lines of business including theme park sales, hotel and restaurant reservation services and Universal's wholesale tour operations. She played an integral role in the opening of Universal's second theme park, entertainment center, hotel and state-of-the-art call center.

Ms. Steenman served as Vice President Marketing Systems for Sunterra Resorts and was Vice President and General Manager of USTravel. She also served as President of Banc One Travel. Ms. Steenman graduated with honors with a Bachelor of Arts from the University of California, Berkeley.

"Diane Steenman brings a wealth of experience in providing superior customer service, efficient travel operations and leisure experiences to a large customer base. We are extremely fortunate to have Diane as a part of our Company and I believe she will make a very large contribution to our planned enhanced services and operations. The combined expertise of Ms. Decker and Ms. Steenman is an effective one-two punch in offering integrated, customer oriented services that set the standard in the leisure field. This is a major step forward for our Company," said Kephart.

The Company announced on April 12, 2002 the launching of its new corporate identity with a name change from Mego Financial Corporation to Leisure Industries Corporation, subject to shareholder approval. Leisure Industries Corporation is a developer and operator of vacation ownership resorts, developed and undeveloped real estate properties, and a provider of consumer financing to purchasers of leisure ownership interests and land parcels through its wholly owned subsidiary, Leisure Homes Corporation. Established in 1969, Leisure Industries is headquartered in Las Vegas, Nevada and has properties in Nevada, New Jersey, Colorado, Florida and Hawaii. On March 21, 2002, the Company announced that it had entered into a letter of intent to acquire Raintree Resorts International, a leading developer, marketer and operator of luxury, upscale vacation ownership resorts in North America with resorts in popular beachfront, mountain and golf destinations in the United States, Mexico and Canada. Raintree features upscale resort properties in Cancun, Los Cabos, Puerto Vallarta, Ixtapa and Acapulco, Mexico; Palm Springs, California; Las Vegas, Nevada; Kona, Hawaii; Jackson Hole, Wyoming and Whistler, British Columbia, Canada.

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward- looking statements involve known and unknown risks, uncertainties or other factors which may cause actual results, performance or achievements of Leisure Industries (Mego Financial) to be materially different from any future results, performance or achievements express or implied by such forward-looking statements. Factors that might cause such a difference, include, but are not limited to those discussed in the Management's Discussion and Analysis of Financial Condition and Results of Operations in Mego Financial's Annual Report on Form 10-K for the year ended August 31, 2001, and in the form 10-Q for the quarter ended November 30, 2001, and subsequent documents filed by Mego Financial Corp. with the Securities and Exchange Commission.