Newtek Anticipates Additional Funding From Newly Authorized $75 Million Georgia CAPCO Program

Jun 10, 2002, 01:00 ET from Newtek Capital, Inc.

    NEW YORK, June 10 /PRNewswire-FirstCall/ --
 Newtek Capital, Inc. (Amex:   NKC), a provider of financial and business
 services to small businesses announced its intention to participate in the
 recently created Georgia Certified Capital Company (CAPCO) Program. On May 14,
 2002, the Governor Roy E. Barnes of Georgia signed the new legislation
 creating the $75 million program. The program will direct much needed capital
 to small Georgia businesses. This latest CAPCO program is anticipated to be
 funded in 2003.
     Barry Sloane, Chairman and CEO of Newtek Capital, stated: "We are pleased
 to announce that that, on May 14, 2002, the Governor of Georgia signed a
 $75 million Certified Capital Company bill. Through its participation in the
 CAPCO programs, Newtek has raised significant capital that is non-dilutive to
 Newtek's shareholders and is ultimately accretive to earnings. All funds
 raised in the programs are used for investment in local businesses.  To date
 Newtek Capital has raised a total of approximately $165 million through
 similar CAPCO programs in Colorado, Florida, Louisiana, New York, and
 Wisconsin. Newtek Capital, Inc., through its Wilshire Group brand, is in the
 process of organizing a certified capital company in Georgia and creating an
 additional regional business development center in conjunction with the
     Newtek Capital Inc. is a premier provider of financial and non-financial
 business services to the small business market. Newtek Capital invests in and
 provides financial, management and technological services for small businesses
 throughout the country. Newtek Capital's service brand includes: Newtek
 Merchant Solutions-offering merchant card processing solutions, Newtek IT
 Services- offering IT solutions, Newtek Financial Information Systems-offering
 back office support and controller services, and Newtek Strategies-offering
 strategic business management services.
     The statements in this release may contain forward-looking statements
 relating to such matters as anticipated future financial performance, business
 prospect, legislative developments and similar matters. The Private Securities
 Litigation Reform Act of 1995 provides a safe harbor for forward-looking
 statements. In order to comply with the terms of the safe harbor, the Company
 notes that a variety of factors could cause the Company's actual results to
 differ materially from the anticipated results expressed in the Company's
 forward looking statements such as intensified competition and/or operating
 problems on its operating business projects and their impact on revenues and
 profit margins or additional factors as described in Newtek Capital's
 previously filed registration statement.
      Barry Sloane,
      Chairman of the Board & CEO
      Newtek Capital, Inc.
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SOURCE Newtek Capital, Inc.