Lola Cars International Ltd and Krohn Racing are pleased to announce a new partnership that will produce Lola Daytona Prototypes to race in the 2008 Grand-Am series. The new collaboration of Lola and Krohn has resulted in a new company being formed called Proto-Auto LLC which has purchased a Grand-Am constructors license from Ontario based, Multimatic, whose chassis will form the basis of the 2008 Lola car. Several teams have expressed interest in using another competitive chassis to those presently competing in the Grand-Am series. Under Grand-Am regulations a totally new body is permitted for all constructors to compete in the 2008 season. This is currently underway at Lola’s state-of-the-art facility in Huntingdon, UK, where an experienced team of sportscar engineers are working in Lola’s on-site 50% scale windtunnel. After research, design and development at Lola, Proto-Auto will operate from a facility in Atlanta, Georgia, and will manage the marketing, engineering, parts and logistical support for all teams who campaign the Lola Daytona Prototype. The first team to take delivery of two new Lola cars will be Krohn Racing and the first car is scheduled to test immediately after the end of the 2007 season. QUOTES Martin Birrane – Executive Chairman, Lola Group “Lola has a rich and successful history in sportscars that continues to this day. We want to build on that with this significant new project. Grand-Am is a growing series that fits perfectly with our own ambitions. Everyone at Lola is excited with this new challenge and our partnership with such a strong and competitive team as Krohn Racing. We are sure this new collaboration will open another exciting chapter for Lola Cars competing in the US.” Tracy W. Krohn - Team Owner of Krohn Racing “This is the second part of Krohn Racing goals, to form a viable business. Our first goal was to create a winning race car team. I am delighted to enter into a partnership with an esteemed company like Lola Cars.” Roger Edmonson – President, Grand-Am Road Racing “We welcome Lola back to Grand-Am and are impressed that their return is in partnership with one of our top Rolex Sports Car Series teams in Krohn Racing. Lola was with us at the very first Grand-Am Rolex 24 At Daytona in 2000 and we look forward to helping them write another chapter in both their Grand-Am and overall racing history in their entry into Daytona Prototype competition.” Larry Holt - Vice President, Multimatic Inc “We were able to fully develop the Multimatic chassis under the present Grand-Am rules, but could go no further. I was always satisfied with the mechanical aspects of the car but the aerodynamic program was undoubtedly lacking and the new rules will now allow this deficiency to be addressed. However, due to other business commitments we have taken the decision to pass the torch to the new Proto-Auto LLC partnership to exploit this substantial opportunity. I am delighted that the combination of the world’s leading race car manufacture, Lola, and the top Grand-Am Rolex DP team, Krohn Racing, has chosen to take this on. We are looking forward to assisting with component supply and ultimately competing with the updated car in 2008.” PROTO-AUTO Q & A: 1) Where will the new Lola cars be built? The intention is that the manufacturing of majority of the components, and the final assembly of the cars will be carried out in North America. 2) The Multimatic chassis was developed within the provisions of the Grand-Am rules, how will Proto-Auto improve the cars performance? Proto Auto has commisioned Lola cars to design the new bodywork permitted for 2008, and to look at improving the driver safety, which will incorporate feedback from Krohn Racings on track experience. Lola’s renowned technical facilities will also be maximized in preparation for the first testing of the car this fall. 3) Since Multimatic has not raced for two years in Grand-Am, how will they qualify for Grand-Am constructor regulations for 2008? Under the Grand-Am regulations, Multimatic will enter a car during the 2007 season in order to meet the requirements regarding the transfer of the License to Proto-Auto. 4) How did the Lola Cars and Krohn Racing relationship come about? Martin Birrane and Tracy Krohn were introduced at Le Mans in 2006 and discussions were opened at that time and have progressed in a positive manner ever since. 5) When will testing begin on the new Proto-Auto Lola chassis? Testing is scheduled to begin immediately after the finish of the 2007 season. 6) Will there be any engine installations for teams other than Krohn Racing? Yes, absolutely. Other installations will be accommodated for all manufacturers’ engines, as required, and there has already been significant interest. There is also the potential for us to produce a unique body for a manufacturer if required. About Lola Cars International Ltd Lola is a globally recognised supplier of specialist vehicles and technology services to the motorsport, automotive, aerospace, defence, communications, and marine sectors. Lola designs and builds racing cars for series across the globe and boasts significant technical capabilities at its base in Huntingdon, UK. Lola have numerous successes in every category of motorsport from Formula One to Formula Ford. Notable victories have included the Can-Am series, Daytona 24 Hours, Indy 500 and Le Mans 24 Hours. Lola have also supplied many racing series such as Formula 3000, Formula Nippon, Indy Lights and the A1 Grand Prix series. About Krohn Racing The Krohn Racing team was formed in late 2005 to campaign the 2006 Grand-Am Rolex Sports Car Series. The inaugural race was the Rolex 24 At Daytona in January 2006 with a single car, finishing in the Top Five. Krohn Racing competed the remainder of the season as a two-car team, collected three victories, six podium finishes, 14 Top Ten finishes, winning the Grand-Am Daytona Prototype Driver’s Championship and finishing second in the DP Team Championship. For 2007, Krohn Racing competes with a two-car team in Daytona Prototype. About Multimatic Multimatic is a privately held Canadian corporation supplying components, systems and services to the global automotive industry. Multimatic's core competencies lie in the manufacture of stampings, welded assemblies, mechanisms, and suspension components, as well as the design and development of automotive body / chassis systems. For more information, please visit: www.lolacars.com www.krohnracing.net www.multimatic.com www.grand-am.com For more information, contact: Barbara J. Burns, BurnsGroup Unlimited 404.873.0772 phone or 770.329.7134 cell burnsgroup@aol.com Sam Smith, Lola Cars International Ltd 0044 (0) 1480 359590 or 0044 (0) 7766 718746 ssmith@lolacars.com