CARY, N.C. — Print subscribers should notice SubPrime Auto
Finance News having a significantly different look when the first print edition
of 2013 arrives.

Marking the first large redesign of the print edition
since being launched seven years ago, management spent a significant amount of  time
considering considering many options to make the publication the best it can be for dealers
and executives from lenders and related auto finance operations.

"We're very excited about the crisp, new design and layout
of the publication," said Bill Zadeits, publisher of SubPrime Auto Finance
News. "By in large, we've had the original look and feel since the inception of
the magazine about seven years ago.

"With this upgraded, new design, readers and advertisers
will both be very pleased," Zadeits continued. "I give our designers, Jim
Sleeper and Amy Mangels, credit on the design as well as editor Nick Zulovich
and associate publisher Amanda Dunlap for making great strides and improvements
across the board with the SubPrime media brand this year."

The print edition of SubPrime Auto Finance News will be
published seven times in 2013, while the electronic edition, SubPrime News
Update, will continue to arrive in inboxes three times per week, containing
news and analysis subscribers have come to expect.

Along with a major revamp of the print edition, SubPrime
Auto Finance News' parent company, Cherokee Automotive Group, will be making an
addition to next year's Used Car Week lineup of industry conferences to include
a special event on subprime automotive financing.

Used Car Week already boasts the CPO Forum, the Re3
Conference and the National Remarketing Conference.

"With the positive growth in the Used Car Week concept, and
the strong return of capital and lending to the subprime markets we felt this
was an obvious next step in the growth of the SubPrime media brand and a great
addition to the content and business networking opportunities that have come to
mark the excellence and success of Used Car Week," said Zadeits, who also is
chairman of Used Car Week.

"We will be working with the subprime industry's top
companies and executives to bring valuable insight, knowledge, best practices
to the attendees," he added. "With the continued growth and popularity of our
SubPrime media properties, adding the SubPrime Auto Finance event to Used Car
Week made perfect sense and was an easy decision for me."

Top 10 Subprime Stories of 2012

An analysis of traffic to SubPrime Auto Finance News'
website turned up the Top 10 stories of 2012.

To wrap up the publication's coverage for the year, the rundown of top stories includes:

10. First Investors to Merge with Private Equity Firm

HOUSTON (Sept. 26) — Coming off of record-setting
performances in the subprime auto lending space during its last two fiscal
years, First Investors Financial Services Group announced that it has entered
into a definitive merger agreement.

First Investors indicated plans to merge with FIFS Holdings
Corp., a company controlled by Aquiline Capital Partners that is a New
York-based private equity firm investing in the financial services sector.

Under the merger agreement, officials said FIFS Holdings
will acquire all of the outstanding shares of First Investors common stock in
an all-cash transaction valuing the subprime lender at $100 million. They said
stockholders of First Investors will receive $13.87 for each share of First
Investors common stock they hold.

9. As Subprime Delinquencies Rise, Fitch and Moody's Warn of
Ramifications

NEW YORK (July 30) — As subprime auto lending volume continues
on an upward trend, both Fitch Ratings and Moody's Analytics shared cautious
assessments of recent data, including a rise in 60-day delinquencies both
month-over-month and year-over-year.

Fitch discovered subprime auto delinquencies of 60 days or longer
came in at 3.12 percent in June, a level analysts indicated was 20 percent
higher compared to last June as well as the previous month.

Fitch also determined annualized net losses for subprime
loans increased month-over-month by 4 percent to 3.91 percent in June. The May
reading was 3.76 percent. Analysts pointed out the June level did represent at
6.7-percent improvement from a year earlier.

8. DealerTrack Modifies Name, Reports Q3 Financial
Performance

LAKE SUCCESS, N.Y. (Nov. 9)  — What dealers have known as DealerTrack
Holdings not only reported its third-quarter financial results this week, but
the company changed its name.

Going forward, the company is now known as Dealertrack
Technologies.

7. Governor Signs 2 of 3 California BHPH Bills

SACRAMENTO, Calif. (Oct. 1) — California buy-here, pay-here
dealers will have more compliance procedures to maintain when Jan. 1 arrives,
since two of the three bills aimed at changing how the industry operates were
signed by Gov. Jerry Brown.

But the measure Brown vetoed – a policy that would have
created a hard interest-rate cap – is leaving the head of the Independent
Automobile Dealers Association of California breathing a little easier. Brown
did not sign Senate Bill 956, a measure that would have put a ceiling on today's
interest rates at 17.25 percent.

"It's more than a small victory; it's huge," IADAC
executive director Larry Laskowski said. "That was absolutely the worse one by
far. That would have absolutely put a lot of dealers out of business. We're
pleased we've been able to help preserve some of the jobs and businesses in
California, along with what it would have done to the industry."

6. Moody's: Repeat of 1990s Subprime Auto Downturn Could Be
Ahead

NEW YORK (July 20) — Veteran executives might remember
negative ramifications from poor strategy some subprime lending institutions
faced in the 1990s. Two officials from Moody's Analytics cautioned investors
that the market currently is showing some trends of a repeat performance.

Moody's acknowledged subprime loan performance has been
strong over the past several years, but the investor interest from outside the
subprime auto market niche and the potential for increasing competition imply
that "losses could increase if a race for profits and market share results in
weaker underwriting standards."

Vice president and senior analyst Peter McNally and senior
vice president Joseph Snailer from Moody's Investors Service made those assertions
and more in the firm's July Auto Navigator.

"The subprime auto lending market is exhibiting some
characteristics last seen during the early- to mid-1990s when overheated
competition led to poor underwriting and drove unexpectedly high losses that
put many smaller lenders out of business," McNally and Snailer indicated. "Then,
as now, investor capital flowed into the sector, lured by the profit potential
from the ability to charge high loan rates while enjoying low funding costs.

"When the lending boom in the 1990s eventually went bust,
the number of lenders contracted drastically, and subprime auto ABS investors
suffered losses," they recapped. "If today's subprime auto lending market was
to deteriorate as it did back then, investors could suffer comparable or
greater losses, especially in the absence of monoline guarantors or other
controlling parties available to minimize or absorb their losses."

5. TD Auto Finance Continues Significant Market Share Gains

SCHAUMBURG, Ill. (Sept. 7) — The chart created by Experian
Automotive almost couldn't contain the year-over-year growth posted by TD Auto
Finance during the second quarter.

TD Auto Finance's share of the overall lending market shot
up by 333.6 percent to solidify its position among the Top 10 operations,
according to Experian's data. The company's market share settled at 1.93
percent, up from 1.67 percent TD Auto Finance held at the end of the first
quarter.

The company's year-over-year gains for used loans produced a
percentage increase greater than all other lenders that moved higher during the
second quarter combined. TD Auto Finance's used market share came in at 1.39
percent, again keeping it among the Top 10.

4. Federal Inspector: Treasury Needs Ally Exit Plan

WASHINGTON, D.C. (July 11) — Ally Financial currently holds
the No. 1 position for vehicle lending, but a federal inspector believes the
U.S. Treasury needs to sell off its ownership stake in the captive finance
company.

In testimony to the U.S. House Subcommittee on TARP,
Financial Services and Bailouts of Public and Private Programs, a part of the
Committee on Oversight And Government Reform, Christy Romero told lawmakers, "Treasury
should develop a concrete exit plan" to not only divest ownership in Ally, but
General Motors as well.

Romero, who is the special inspector general for the Office
of the Special Inspector General for the Troubled Asset Relief Program
(SIGTARP), wrapped up extended committee testimony by acknowledging how it is
unclear how much taxpayers will recover from its TARP investments in GM and
Ally Financial.

Romero's concerns stem from the fact that Ally has not
conducted its initial public offering despite filing its S-1 registration
statement with the Securities and Exchange Commission last March.

Those concerns intensified this past May when Ally announced
that its mortgage subsidiary, Residential Capital and certain subsidiaries
filed for Chapter 11 bankruptcy

3. Lawsuit Aims to Prove CFPB is Unconstitutional

WASHINGTON, D.C. (June 25) – As lenders and trade
associations look to get a handle on what the regulatory body might do, a Texas
bank and two advocacy organizations joined forces to file a lawsuit in U.S.
District Court in hopes of proving the Consumer Financial Protection Bureau is
unconstitutional.

According to court documents, State National Bank of Big
Spring from Big Spring, Texas, along with the 60 Plus Association and the
Competitive Enterprise Institute are listed as plaintiffs against a host of defendants,
including Treasury Secretary Timothy Geithner, CFPB director Richard Cordray,
Federal Reserve Chairman Ben Bernanke as well as Martin Gruenberg, acting
chairman of the Federal Deposit Insurance Corp., and Mary Shapiro, chairman of
the Securities and Exchange Commission.

Among the complaints articulated in the suit, the plaintiffs
contend the Dodd-Frank Wall Street Reform and Consumer Protection Act
authorizes the CFPB to prescribe rules identifying unfair, deceptive or abusive
acts or practices under federal law in connection with any transaction with a
consumer for a consumer financial product or service such as a vehicle loan
contract.

2. J.D. Byrider Bolsters Franchising Team

INDIANAPOLIS (Sept. 26) — Buy-here, pay-here dealership
chain J.D. Byrider announced a promotion and the addition of three new team
members to support the company's franchise growth and development.

Promoted to the position of director of franchise
development is Jack Humbert, who has assisted development efforts as a senior
franchise consultant for the past two years.

In his new role, the company indicated Humbert will be
integral to the franchising team by leading and cultivating new growth and
maintaining relationships with current store operators.

Meanwhile, the company highlighted Andrew Cavallaro has
joined its dealer services team as a key account manager to be responsible for
lead exchange and analytics for services offered to franchisees.

Furthermore, the company revealed David Borshoff and David
McMahon recently joined J.D. Byrider as franchise consultants. Officials
explained both individuals will be responsible for supporting J.D. Byrider
franchisees, advising for operational and financial improvement, and building
leadership teams in each region.

1. Santander to Purchase DriveTime in $700 Million
Transaction

PHOENIX and DALLAS (Sept. 19)  — A regulatory filing with the Securities and
Exchange Commission confirmed DriveTime Automotive Group, its shareholders and
certain affiliates entered into definitive agreements with Santander Consumer
USA.

Officials explained that DT Acceptance Corp. and its
subsidiary, DT Credit Co., will sell its finance receivable portfolio, which
consists of vehicle-related installment sales contracts, certificates
representing its residual interests in securitizations of finance receivables,
and certain other assets to Santander Consumer USA.

Immediately thereafter, officials indicated, a new entity
owned by third-party investors will purchase all of the outstanding stock of
DTAG (not to be confused with Dollar Thrifty Automotive Group) and DTAC, effectively
acquiring DTAG's dealership operations, currently consisting of 91 owned and
leased stores and 16 reconditioning and other facilities throughout the United
States.


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