SOURCE: Sparta Commercial Services, Inc.

June 15, 2010 09:00 ET

Sparta Adds Raleigh, NC to Its Municipal Lease Program

NEW YORK, NY--(Marketwire - June 15, 2010) -  Barely a month after Sparta Commercial Services, Inc. (OTCBB: SRCO) announced that their Municipal Lease Program was under consideration by Raleigh, NC as an alternative to the purchasing of police motorcycles, the company announced today that the anticipated transaction with Raleigh has in fact been concluded.

Utilizing Sparta's Municipal Lease Program, Raleigh is acquiring a new fleet of BMW police motorcycles, with the vehicles being provided by Capitol BMW in Raleigh. As a result of Raleigh's choice to lease, rather than purchase, the new fleet through the Sparta program, the city is avoiding the burden of having to pay the entire cost of the fleet up-front by buying the motorcycles outright. Unlike the purchasing method, the Sparta Municipal Lease Program enables Raleigh to pay the cost of the vehicles over time, thereby lowering the capital outlay and controlling the city's annual budget for this purpose.

Sparta's Municipal Lease Program is becoming increasingly popular among municipalities throughout the country as a result of local and state governments experiencing shrinking revenues and budgetary constraints. An additional feature of the Sparta program is the broad range of asset classes that can be leased, including, in addition to police motorcycles, EMS and other emergency vehicles, police cruisers, tactical vehicles, surveillance systems, a variety of trucks, and other essential equipment.

Commenting on the transaction with Raleigh, Anthony Havens, Sparta's CEO, said, "We're very pleased to be able to add Raleigh to our expanding base of municipal customers, and to be able to help these governmental agencies during their difficult economic challenges. We're proud that we can provide this kind of support to cities and towns throughout the country, and we expect to continue to see a growing demand for our Municipal Lease Program in the coming months."

About Sparta Commercial Services, Inc.
Sparta Commercial Services, Inc. (OTCBB: SRCO) is a New York-based, nationwide financial services company dedicated to municipal and governmental leasing. Sparta specializes in the financing of essential equipment and services for the law enforcement and emergency response communities. Sparta also offers financing and leasing products to consumers and retail powersports dealers.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements are valid only as of today and we disclaim any obligation to update this information. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to potential future losses, obtaining, satisfying terms of, and amount of credit lines, competition, financing and commercial agreements and strategic alliances, seasonality, potential fluctuations in operating results and rate of growth, management of potential growth, system interruption, consumer and industry trends, limited operating history, and government regulation. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov.

Contact Information

  • Contact:

    Dick Trotter
    COO
    Sparta Commercial Services, Inc.
    (212) 239-2666