SOURCE: CapSource Financial, Inc.

May 03, 2006 11:56 ET

CapSource Financial, Inc. Announces the Establishment of a $3 Million Credit Facility With Navistar Financial Corporation

BOULDER, CO -- (MARKET WIRE) -- May 3, 2006 -- CapSource Financial, Inc. (OTC BB: CPSO) announced today that it has reached an agreement with Navistar Financial Corporation of Schaumburg, Illinois, for wholesale floor plan financing in conjunction with its Prime Time Trailers sales operation in Fontana, California. The approximate amount of the credit facility is $3 million.

Fred Boethling, President and CEO of CapSource, said, "With the Navistar credit facility in place, we have all the tools necessary to expand our share of the new and used trailer market in California and the Southwest U.S."

CapSource recently announced a $2 million equity investment from Whitebox Advisors, LLC a Minneapolis-based hedge fund. Whitebox currently owns approximately 30% of the outstanding common stock CapSource.

About CapSource Financial, Inc.

CapSource Financial, Inc. was incorporated in 1996 to take advantage of the North American Free Trade Agreement (NAFTA) and the increased economic activity that NAFTA triggered when the world's largest free trade area was created by linking 406 million people in Mexico, the U.S. and Canada producing more than $11 trillion worth of goods and services. Mexico is now the United States' second largest trading partner with an average of $650 million in goods crossing the border each day. U.S. trade with Mexico has increased nearly 500 percent -- from $48 billion to $239 billion since the passage of NAFTA. The vast majority of this trade moves by truck.

CapSource owns and manages a lease/rental fleet of over-the-road truck trailers and related equipment through its REMEX subsidiary and sells trailers, parts and service through it RESALTA subsidiary, both based in Mexico City.

CapSource, through its subsidiary Capsource Equipment Company, Inc., also owns and operates Prime Time Trailers of Fontana California, the authorized Hyundai trailer dealer for California. CapSource's common stock trades on the electronic bulletin board under the symbol CPSO.

Certain matters discussed within this press release may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although CapSource Financial, Inc. believes the expectation reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectation will be attained. Factors that could cause actual results to differ materially from our expectations include financial performance, changes in national economic conditions, economic conditions in Mexico, availability of financing, governmental approvals and other risks detailed from time to time in the company's SEC reports.

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