Resource America, Inc.
1521 Locust St.- 5th Floor
Philadelphia, PA 19102
(215) 546-5388 (facsimile)
Resource America, Inc., Announces Agreement to Sell FLI Subsidiary to European American Bank
Philadelphia, PA, 4/13/2000 - Resource America, Inc. (NASDAQ: REXI) (the "Company" or "RAI") announces today that is has entered into a preliminary agreement to sell all of the stock of its wholly-owned subsidiary, Fidelity Leasing, Inc. ("FLI") to European American Bank ("EAB"), a subsidiary of ABN AMRO Bank N.V. EAB will pay a combination of cash and notes for FLI, including the repayment of FLI debt to the Company. The closing of the transaction is contingent upon the receipt of certain customary approvals from U.S., Dutch, and other international regulatory authorities, negotiation of a definitive agreement, and other conditions.
Edward Travaglianti, EAB's chairman and CEO, said of the agreement, "we are anticipating the successful closing of this transaction. We look forward to having FLI as a component of our dynamic leasing business, one of the twenty largest in the United States. Last year alone, EAB's leasing subsidiaries and lease lending activities produced aggregate lease volume of $1.5 billion for the bank. Going forward, the addition of FLI promises to broaden even further the wide range of funding we make available for new business activity across the country."
EAB is a New York State chartered bank with assets of $14.6 billion. It operates 100 branches throughout the New York metropolitan area, mortgage lending facilities in Connecticut and New Jersey, and, through its leasing subsidiaries, leasing offices nationwide.
Netherlands-based ABN AMRO Bank N.V. is one of the world's six largest banks, with total assets of $460 billion and more than 3,500 locations in 76 countries and territories. In North America, ABN AMRO is headquartered in Chicago and has $167 billion in assets and more than 19,000 employees, with banking offices in 15 cities in the United States, Canada, and Mexico. Major North American affiliates include ABN AMRO Incorporated, an investment banking, advisory and brokerage firm; ABN AMRO Asset Management (USA) Inc.; LaSalle Bank in Chicago, Standard Federal Bank in Michigan, and EAB in New York.
In addition to its leasing operations, Resource America, Inc. continues to operate businesses in energy and energy finance, and real estate finance.
Statements made in this release include forward-looking statements, which involve substantial risks and uncertainties. The Company's actual results, performance or achievements could differ materially from those expressed or implied in this release.