EPS Was Reduced by $.08 for Change in Fair Value of Interest Rate Swap Debt Decrease of $10.5 Million

BENTONVILLE, Ark., June 23, 2009 (GLOBE NEWSWIRE) -- America's Car-Mart, Inc. (Nasdaq:CRMT) today announced its operating results for the fiscal year and quarter ended April 30, 2009.

 Highlights of fiscal 2009 operating results:
 * Net income increased 19% to $17.9 million or $1.52 per diluted
   share vs. net income of $15.0 million or $1.26 per diluted share
   for fiscal 2008. EPS for fiscal 2009 was reduced by $.08 for change
   in fair value of interest rate swap
 * Average retail units sold per store per month increased 6.6% to
   26.0 (from 24.4 in 2008)
 * Strong cash flows resulted in debt decrease of $10.5 million during
   fiscal 2009 (to $29.8 million) with a $23 million increase in
   finance receivables, $2.7 million in capital asset additions and
   $1.2 million in stock re-purchases
 * Debt to equity of 19% and debt to finance receivables of 12.9% at
   April 30, 2009 (versus 29.4% and 19.4%, respectively at
   April 30, 2008)
 * Overall revenue growth of 8.9% with same store revenue growth of
   8.3%
 * Provision for credit losses of 21.5% of sales vs. 22.0% for fiscal
   2008
 * Net charge-offs as a percentage of average finance receivables of
   24.2% compared to 25.9% for fiscal 2008
 * Accounts over 30 days past due at 2.8% at April 30, 2009 (versus
   3.1% at April 30, 2008)

For the year ended April 30, 2009, revenues increased 8.9% to $299 million compared with $275 million for the prior year. Income for the year was $17.9 million or $1.52 per diluted share versus $15.0 million or $1.26 per diluted share for 2008. EPS was reduced by $.08 for change in fair value of interest rate swap. Receivables grew by $23 million during the year or 11.1% to $231 million while total debt decreased by $10.5 million (to $29.8 million). Total debt to equity was 19% and total debt to finance receivables was 12.9% at April 30, 2009. Retail unit sales increased 5.5%, with 28,698 vehicles sold in the current year, compared to 27,207 for 2008. Same store revenue increased 8.3% for the year. The provision for credit losses was 21.5% of sales compared to 22.0% in 2008. Net charge-offs as a percentage of average finance receivables was 24.2% compared to 25.9% in 2008. The allowance for credit losses is 22% of Finance Receivables principal balance at both April 30, 2009 and 2008.

The $.08 per share non-cash charge related to a change in fair value of the Company's interest rate swap agreement which was entered into in May 2008. Since the Company currently intends to hold the interest rate swap until maturity (May 2013), the charge, which resulted from a change in fair value, will reverse by the maturity date. Notwithstanding the company's intention to hold the swap until maturity, pursuant to SFAS No. 157, "Fair Value Measurements," changes in fair value will continue to be recognized quarterly as non-cash charges or gains, as the case may be. Management currently expects future non-cash charges or gains associated with the swap to be less severe than the experience of fiscal 2009.

 Highlights of three month operating results:
 * Net income decreased to $5.1 million or $.43 per diluted share vs.
   $6.0 million or $.51 per diluted share for the prior year
 * Revenue increase of 1.7% to $77.9 million from $76.5 million for
   the prior year period
 * Strong cash flows resulted in debt decrease of $6.4 million from
   January 31, 2009 (to $29.8 million) with a $2.1 million increase in
   finance receivables, $671,000 in capital asset additions and
   $1.2 million in stock re-purchases
 * Collections as a percentage of average finance receivables of 17.7%
   compared to 17.5% for the prior year period
 * Average down-payment percentage of 8.6% compared to 7.5% for the
   prior year

For the three months ended April 30, 2009, revenues increased 1.7% to $77.9 million, compared with $76.5 million in the same period of the prior fiscal year. Income for the three months was $5.1 million ($.43 per diluted share) compared to $6.0 million ($.51 per diluted share) for the same period in the prior year. Retail unit sales for the fourth quarter decreased slightly to 7,391 units compared to 7,415 vehicles sold during the fourth quarter of 2008. Same store revenue increased .9% for the three months. The average down-payment percentage was 8.6% compared to 7.5% for the prior year period and collections as a percentage of average finance receivables was 17.7% compared to 17.5% for the prior year. The provision for credit losses was 20.8% of sales compared to 20.0% in the same period last year. Net charge-offs as a percentage of average finance receivables was 6.3% compared to 5.9% in the same period last year. Gross margins on vehicle sales were slightly lower during the fourth quarter of 2009 and Selling, General, and Administrative Expenses were higher as infrastructure investments, primarily payroll costs, continued to be phased in.

"We are very pleased with our results for fiscal 2009," said William H. ("Hank") Henderson, President and Chief Executive Officer of America's Car-Mart, Inc. "To be able to grow profits by 19% and revenues by 8.9% (to almost $300 million) in the current environment is a testament to the strength of our business model. Our dedicated associates continue to really step up and embrace the mission, vision and values Car-Mart has developed over our first 28 years. We believe that we continue to pick up significant volumes in the areas we service as we take advantage of our extremely healthy balance sheet and our available financing. The branding efforts that have been underway for the last few years coupled with strong lot-level execution are resulting in Car-Mart being the value proposition leader for car buyers in our areas."

"We have spent the last two to three years heavily investing in an infrastructure that provides improved support and allows for future growth. Our investments have been across all areas: information technology, human resources, sales, purchasing, underwriting, training and on-going branding via our television and radio advertising efforts. Included within human resources is our manager in training program which is where future lot managers begin. We have never had as many qualified people in this program as we have now and we are very excited about the growth opportunities this program affords us," added Mr. Henderson. "To be a lot manager for America's Car-Mart and to participate in our bright future is appealing to many highly qualified people who may not have considered a career in our industry before. We will continue to aggressively recruit good people to join our team. Qualified and skilled lot managers have always been, and always will be, the key to our growth and success into the future."

"Our future growth will come from both increases in sales at our existing dealerships and the addition of new dealerships.