News

El Camino Resources Announces Completion of Realignment Program
Well-Known Company to Rebuild U.S. Leasing and Expand Technology Services Markets

WOODLAND HILLS, Calif. -- April 5, 2004 – El Camino Resources (ECR) has officially completed its corporate realignment and is rebuilding its leasing business, as well as expanding its high technology services, in the United States. Once the largest independent leasing company in the world, with more than $1.3 billion in assets in four continents, as well as technology services in both the U.S. and Europe, ECR was forced to reduce the scope of its business and activities in late 2000.

This reduction was imposed by its lead bank, following a roll up of several of ECR’s banking relationships into the lead bank and the federal reserve tightening during calendar year 2000. El Camino has since successfully settled all of its obligations, and has emerged in Mexico and the United States with leasing and technology services business units.

In Mexico, the company went through a 12-month period of reduced activity, but is now a leader in independent leasing. ECR has forged relationships with a number of leading banks in Mexico, and has negotiated a $20 million line for leasing, as well as other partnering facilities. In calendar year 2003, the Mexican operation achieved bookings for its own account of over $20 million in new leased assets. This year, the company has extended its reach with new partnering programs and expects to book in excess of $50 million in new lease receivables.

David Lopez, ECR country manager, reports “Due to the fast responding banking environment in Mexico, ECR Mexico has grown organically without an equity infusion or financial assistance from a U.S. parent. We expect to continue to utilize our skills and market contacts to substantially grow ECR Mexico’s leased asset base.”

According to David Harmon, ECR president, “Our Mexico management team has forged strong and deep relationships in Mexico with both our clients and financing partners. Recently – and for the first time ever – we completed the discounting of lease receivables in Mexico on a non-recourse basis. This speaks to the strengths of ECR Mexico, its management team, and the maturing banking system in that country. ECR Mexico has substantial momentum in a business where momentum really counts. We expect our assets there to grow very quickly.”

Harmon also announced that, as of May 1, 2004, ECR will again write leases in the U.S. ECR has several banking and investor programs under development, is in negotiations with leading world-scale financial organizations, and expects to announce details over the near-term future. ECR’s United States emphasis will be the same as during the company’s previous 20+ years of operation: to write good leases with clients it expects to service over many years. As Harmon noted “We expect substantial growth in leased assets in the U.S., in concert with partners utilizing El Camino Resource’s expertise and asset management programs.”

CONTACT:
Peter E. McGuirk
Communication Services
760-323-1309