SOURCE: KingThomason Group, Inc.

June 11, 2007 15:34 ET

KingThomason Group, Inc. Reports Elimination of $893,000 in Debt

TORRANCE, CA--(Marketwire - June 11, 2007) - KingThomason Group, Inc. (PINKSHEETS: KGTH) today reported that due to the settlement of a lawsuit brought by a former service provider and consultant to the company together with the consolidation of three inactive subsidiaries into its wholly owned subsidiary, KingThomason, Inc. (KTI), and KTI'S divestiture through the issuance of a stock dividend to KingThomason Group's existing common stock shareholders, a "spin off" effective June 8, 2007, the Company has reduced liabilities by $893,000.

KingThomason Group's President and Chief Executive Officer Thomas E. "Tim" King noted that the settlement of the lawsuit would also result in an $845,000 increase in net income (or decrease in net loss) due to a gain on settlement of debt which will be reflected in KingThomason Group's consolidated financial statements for the period ending June 30, 2007.

Statements in this press release that are not strictly historical are "forward-looking" statements within the meaning of the Safe Harbor provisions of the federal securities laws. Forward-looking statements involve risks and uncertainties, including, but not limited to, continued acceptance of the Company's products and services in the marketplace, regulatory and competitive factors, new products and technological changes, the Company's dependence upon third-party suppliers, and other risks detailed from time to time in the Company's Form 10-K and other regularly filed reports.