TBCC Tbc Corp (MM)

PALM BEACH GARDENS, Fla., Sept. 8 /PRNewswire-FirstCall/ -- TBC Corporation (NASDAQ:TBCC), one of the nation's leading marketers of automotive replacement tires, today commented on the impact of Hurricane Katrina based on information that is currently available. Within the 613 Company-operated stores at the end of the second quarter, TBC has 20 stores in the Louisiana and Mississippi markets that were in the path of Hurricane Katrina. Of those 20 stores, seven have re-opened. The Company estimates that over half of the stores in the area have sustained significant damage. Once a visual inspection of these locations has been completed, the Company will be able to assess the impact. None of the Company's 562 franchised Big O locations are in the region affected by the hurricane. The Company does not currently expect any material impact to the third quarter. However, once the impact to all of the stores has been assessed, the Company will be able to determine the magnitude of any damage related to fixed assets, inventory and lost sales. Larry Day, TBC President and Chief Executive Officer, commented, "Our immediate concern is for the welfare of our employees and their families who have been affected by this devastating storm. The near-term impact to the Company's operations has been minimal, and we will provide a further update when we report our third quarter results in October." About TBC: TBC Corporation is one of the nation's largest marketers of automotive replacement tires through a multi-channel strategy. The Company's retail operations include company-operated retail centers under the "Tire Kingdom", "Merchant's Tire & Auto Centers" and "National Tire & Battery" brands and franchised retail tire stores under the "Big O Tires" brand. TBC markets on a wholesale basis to regional tire chains and distributors serving independent tire dealers throughout the United States and in Canada and Mexico. The Company's proprietary brands of tires have a longstanding reputation for quality, safety and value. TBC Corporation Safe Harbor Statement This document contains "forward-looking statements," as that term is defined under the Private Securities Litigation Reform Act of 1995, regarding expectations for future financial performance, which involve uncertainty and risk. It is possible that the Company's future financial performance may differ from expectations due to a variety of factors including, but not limited to: changes in economic and business conditions in the world; increased competitive activity; consolidation within and among competitors, suppliers and customers; unexpected changes in the replacement tire market; the Company's inability to attract as many new franchisees or open as many distribution outlets as stated in its goals; changes in the Company's ability to identify and acquire additional companies in the replacement tire industry and successfully integrate acquisitions and achieve anticipated synergies or savings; fluctuations in tire prices charged by manufacturers, including fluctuations due to changes in raw material and energy prices, changes in interest and foreign exchange rates; the cyclical nature of the automotive industry and the loss of a major customer or program. It is not possible to foresee or identify all such factors. Any forward-looking statements in this release are based on certain assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. Prospective investors are cautioned that any such statements are not a guarantee of future performance and actual results or developments may differ materially from those projected. The Company makes no commitment to update any forward-looking statement included herein, or to disclose any facts, events or circumstances that may affect the accuracy of any forward-looking statement. Additional information on factors that could potentially affect the Company or its financial results may be found in the Company's filings with the Securities and Exchange Commission. DATASOURCE: TBC Corporation CONTACT: Thomas W. Garvey, Executive V.P. & Chief Financial Officer of TBC Corporation, +1-561-227-0955; or Investors: Betsy Brod, or Jonathan Schaffer, both of Brod & Schaffer, LLC, +1-212-750-5800 Web site: http://www.tbccorp.com/

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