Buxbaum Group News - December 9, 2003

CALABASAS, Calif. (12/9/03) -After surpassing the $3.5 billion mark through the first nine months of this year, Buxbaum Group's appraisal division continues on a track to appraise upwards of $5.0 billion of consumer products inventories at cost value during 2003. The Calabasas-based firm's appraisals are executed on behalf of lending institutions at manufacturing, wholesale and retail companies.

In a continuation of the trend seen during the first half of 2003, approximately 50% of Buxbaum's appraisal activity through the nine months ended September 30 was on wholesale distribution inventories, some 15% has been in the manufacturing sector, and the remaining 35% has been on retail inventories. This signifies a shift from 2002, when the retail segment represented 45.7% of the inventories appraised by the firm; wholesale distribution accounted for 43.2%; and the remaining 11.1% was derived from projects at a variety of combined manufacturing/wholesale distribution and/or wholesale distribution/retail operations.

"We continue to see a substantial portion of our appraisal business concentrated in the wholesale distribution sector," said Buxbaum Group vice president Jim Siebersma, who directs the appraisal unit. "While our core strength and reputation over the years remains as 'retail experts,' our client base now realizes that the breadth of our expertise extends far beyond retailing and into the manufacturing and wholesale distribution arenas."
The firm recently launched a series of seminars for lenders that address the unique issues associated with appraising and liquidating wholesale inventories. "We have become very knowledgeable of the characteristics and nuances of liquidation in the wholesale industry, which is quite different from retail," Siebersma noted. "Our goal is to take that knowledge and use it to educate lenders on the many pitfalls of wholesale liquidation that run counter to retail liquidation, as well as to assist in managing loans to wholesale operations."

Following an initial series of seminars this fall, the firm intends to roll the program out to all of its lending industry clients during the first half of 2004.

In addition to its consumer products inventory appraisal practice, the firm's Buxbaum/Century affiliate has appraised machinery and equipment valued in excess of $400 million through the first nine months of 2003. "Over the past year we have increased our staff in the field of machinery and equipment auctions and appraisals, and anticipate this niche of our business to continue to grow." said Siebersma.

About Buxbaum Group - Buxbaum Group has built its reputation for over 30 years as one of the largest liquidators and appraisers of retail and wholesale inventories, as well as machinery and industrial equipment, across North America. A subsidiary, Pathway Strategic Partners, provides turnaround, expansion and/or downsizing strategies, in conjunction with other advisory consulting and management services.

Press Contacts: At Buxbaum Group, Jim Siebersma, (800) 990-6820; at Parness & Associates Public Relations, Bill Parness or Lisa Kreda (732) 290-0121.