SOURCE: Franchise Capital Corporation

October 08, 2007 13:05 ET

Franchise Capital Corporation Issues October 2007 Edition of Investor Newsletter Highlighting the Close of the Acquisition of Aero Exhaust, Inc.

Aero CEO Addresses Potential for Roll-Up Strategy in Newsletter Greeting

MURRIETA, CA--(Marketwire - October 8, 2007) - Franchise Capital Corporation (PINKSHEETS: FCCN) today announced the release of its October 2007 investor newsletter, which reviews the recent close of the company's acquisition of Aero Exhaust, Inc., a world leader in performance exhaust airflow technology and NASCAR Performance Partner.

The acquisition of Aero Exhaust by Franchise Capital was completed on October 4, 2007 with a share exchange between the two companies.

A PDF version of the newsletter is posted in the media archive of the company's website, http://www.franchisecapitalcorp.net, under the "Newsletters" tab, and a notice has been distributed through Franchise Capital's website-based mailing list.

The October 2007 newsletter includes details of the recent close of the acquisition of Aero, including changes to the management both prior to and after the share exchange was completed. The chief executive officer and Board of Directors of Franchise Capital have resigned to make way for the management team from Aero, led by Bryan Hunsaker, who has been appointed to the position of CEO of the public company. Steven R. Peacock, who served as Franchise Capital chief executive officer through the clean-up process and preparations for the acquisition, also provides a short greeting in the newsletter.

Also in the newsletter is an article reviewing the recent filing of the company's annual report for the 2007 fiscal year and another that discusses the next anticipated steps for the transition of the public company to a focus on Aero Exhaust and the automotive supply industry.

In addressing the company's shareholders in the newsletter, Mr. Hunsaker stated, "The core focus of the Aero Exhaust management team is to deliver long-term value for shareholders through the growth of Aero Exhaust and to steadily increase that value through continued growth its operations.

"Included in this strategy is the potential to execute a roll-up of additional synergistic operations in the automotive supply and performance products market segments. The details of this strategy are expected to be articulated in the very near future, and we hope that all of our stockholders, both those who came from the public company and those who were formerly stockholders in the private company, will be pleased with the direction that we plan to take the company. We believe that acquisition opportunities that are now being presented to us have the potential to dramatically increase the long-term potential of the public company. Being a public company provides Aero the vehicle to execute on this strategy."

The details of Franchise Capital's acquisition of Aero Exhaust will be included in an upcoming Current Report on Form 8-K filed with the Securities and Exchange Commission. The Form 8-K is expected to be filed by October 11, 2007.

To sign up to receive information by email directly from Franchise Capital Corporation, including notices when the company issues future investor newsletters, please visit http://www.franchisecapitalcorp.net.

About Aero Exhaust:

Aero Exhaust is a world leader in performance exhaust airflow technology, manufacturing and distributing the most technologically advanced muffler on the market. Its product lines are built to the highest industry standards and offer the consumer a lifetime warranty. Aero Exhaust has been issued U.S. and Australian patents on its innovations and development in the exhaust industry, and its mufflers are available worldwide through major retailers, mass merchant centers, automotive aftermarket supply stores and wholesalers. Aero Exhaust mufflers are an exclusive National Association for Stock Car Auto Racing (NASCAR) Performance product and carry the prestigious NASCAR brand on product, packaging and related media. NASCAR legend Rusty Wallace is the official spokesperson for Aero Exhaust products. Additional information on Aero Exhaust's products, race team, and motorsports ventures can be found on its corporate website, www.aeroexhaust.com.

Safe Harbor Statement: The statements in this release that relate to future plans, expectations, events, performance and the like are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. Actual results or events could differ materially from those described in the forward-looking statements due to a variety of factors, including the lack of funding, inability to complete required SEC filings, and others set forth in the Company's report on Form 10-K/A for fiscal year 2006 filed with the Securities and Exchange Commission.

Contact Information

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