Granite Financial, Inc., Reports: Letter of Intent to Purchase North Pacific Funding, Inc.



17 Nov, 1997, 00:00 ET from Granite Financial, Inc.

    GOLDEN, Colo., Nov. 17 /PRNewswire/ -- Granite Financial, Inc.
 (Nasdaq NNM: GFNL) announced today it has signed a Letter of Intent, subject
 to due diligence and execution of definitive agreements, to acquire North
 Pacific Funding, Inc., and its subsidiaries (d/b/a C&W Leasing), a privately
 held corporation based in Seattle Washington.  With this intended acquisition,
 North Pacific Funding Inc., employees will be retained and will continue doing
 business under the name of North Pacific Funding Inc., a subsidiary of Granite
 Financial, Inc.
     Commenting on the intended acquisition, William W. Wehner, Chairman and
 CEO of Granite, stated:  "We are extremely excited at the prospects of this
 relationship and are very proud of their accomplishments.  The North Pacific
 Funding team has demonstrated a strong growth rate with $42 million in
 originations in 1995, $53 million in 1996 and will do about $70 million in
 lease originations during 1997.  We are looking forward for them to continue
 their growth over the coming years."  Wehner further commented that:  "This
 transaction is expected to be immediately accretive to earnings.  It will
 close in early January 1998."
     Lance Kennoy, President & CEO of North Pacific Funding said:  "We are
 being provided with an exceptional opportunity.  Granite's capital and leading
 edge technology combined with our marketing capabilities would allow us to
 focus on our loyal customers and develop new business relationships."
     Granite Financial, Inc., headquartered in Westminster, Colorado, is
 becoming an industry consolidator in the $48 Billion small ticket lease
 finance market.  The Granite Financial companies are engaged in the business
 of originating, purchasing, funding, selling and servicing equipment leases
 where the original equipment value is less than $150,000 for a broad range of
 businesses located throughout the United States.  North Pacific Funding, Inc.,
 has become a market leader offering nationwide equipment leasing services to
 diversified markets targeting small to medium size businesses through their
 developed vendor network.
     This news release includes statements that may constitute forward-looking
 statements that state the Company's or management's intentions, hopes,
 beliefs, expectations or predictions of the future are forward-looking
 statements within the meaning of the Securities Act and the Securities
 Exchange Act.  Forward-looking statements inherently involve risks and
 uncertainties that could cause actual results to differ materially from the
 forward-looking statements.  It is important to note that the Company's actual
 results could differ materially from those projected in such forward-looking
 statements.  Additional information concerning factors that could cause actual
 results to differ materially from those in the forward-looking statements is
 contained from time to time in the Company's most recent SEC filings of
 reports on Form 10-KSB, Form 10-QSB and the registration statement for the
 Company's stock offering concluded in July 1997.
 
 

SOURCE Granite Financial, Inc.
    GOLDEN, Colo., Nov. 17 /PRNewswire/ -- Granite Financial, Inc.
 (Nasdaq NNM: GFNL) announced today it has signed a Letter of Intent, subject
 to due diligence and execution of definitive agreements, to acquire North
 Pacific Funding, Inc., and its subsidiaries (d/b/a C&W Leasing), a privately
 held corporation based in Seattle Washington.  With this intended acquisition,
 North Pacific Funding Inc., employees will be retained and will continue doing
 business under the name of North Pacific Funding Inc., a subsidiary of Granite
 Financial, Inc.
     Commenting on the intended acquisition, William W. Wehner, Chairman and
 CEO of Granite, stated:  "We are extremely excited at the prospects of this
 relationship and are very proud of their accomplishments.  The North Pacific
 Funding team has demonstrated a strong growth rate with $42 million in
 originations in 1995, $53 million in 1996 and will do about $70 million in
 lease originations during 1997.  We are looking forward for them to continue
 their growth over the coming years."  Wehner further commented that:  "This
 transaction is expected to be immediately accretive to earnings.  It will
 close in early January 1998."
     Lance Kennoy, President & CEO of North Pacific Funding said:  "We are
 being provided with an exceptional opportunity.  Granite's capital and leading
 edge technology combined with our marketing capabilities would allow us to
 focus on our loyal customers and develop new business relationships."
     Granite Financial, Inc., headquartered in Westminster, Colorado, is
 becoming an industry consolidator in the $48 Billion small ticket lease
 finance market.  The Granite Financial companies are engaged in the business
 of originating, purchasing, funding, selling and servicing equipment leases
 where the original equipment value is less than $150,000 for a broad range of
 businesses located throughout the United States.  North Pacific Funding, Inc.,
 has become a market leader offering nationwide equipment leasing services to
 diversified markets targeting small to medium size businesses through their
 developed vendor network.
     This news release includes statements that may constitute forward-looking
 statements that state the Company's or management's intentions, hopes,
 beliefs, expectations or predictions of the future are forward-looking
 statements within the meaning of the Securities Act and the Securities
 Exchange Act.  Forward-looking statements inherently involve risks and
 uncertainties that could cause actual results to differ materially from the
 forward-looking statements.  It is important to note that the Company's actual
 results could differ materially from those projected in such forward-looking
 statements.  Additional information concerning factors that could cause actual
 results to differ materially from those in the forward-looking statements is
 contained from time to time in the Company's most recent SEC filings of
 reports on Form 10-KSB, Form 10-QSB and the registration statement for the
 Company's stock offering concluded in July 1997.
 
 SOURCE  Granite Financial, Inc.