FOR FURTHER INFORMATION:

At the Company:

John P. Walker President 972/406-7108

 

FOR IMMEDIATE RELEASE

Tuesday August 27, 2002

 

SPORT SUPPLY GROUP WELCOMES 225 ASSOCIATES

TO JOINT MARKETING ALLIANCE

Associate Program Reaches more than 35 Million Members

in 42 States

 

Dallas, Texas, Tuesday August 27, 2002 - Sport Supply Group, Inc. (OTCBB: SSPY) today announced that is has signed agreements with 225 Associates as part of its joint marketing collaboration that it initiated only eight months ago. These organizations have more than 35 million individual participants in 42 states nationwide. The Company expects to have 400 associates signed by the end of the fiscal year.

The Company’s associate program enables these organizations to incorporate SSG’s electronic catalogue and market SSG’s sporting goods products to its members in exchange for a percentage of the revenue generated from the associates’ sites. The Company believes that the advantages offered to an associate are unique in the institutional sporting goods marketplace.

SSG continues to realize significant gains in customer migration to its websites. Orders entered over its websites increased by more than 70% from the start of the fiscal year compared to the same period last year and sales over its websites increased by more than 50% from the same year to date period.

John P. Walker, President stated, "We are very pleased to report our associate program is growing at remarkable rates. We attribute the successful closing rates to the quality of the solution being offered to our associates. The level of SSG’s IT sophistication, the depth of our product line and our distribution abilities are among the factors that allow us to sign additional associate agreements virtually every day.

In the fall of 2002, we will be offering many new lines of products to the associate base of participants and organizations with a "membership privilege" concept. This will include additional lines of consumer baseball, football and basketball items, X generation sports equipment and many other products that we believe will be attractive to our member associates.

As an affiliate of Emerson Radio Corp. (AMEX:MSN) we also benefit from Emerson’s global product sourcing and logistic capabilities by identifying substantial cost savings for high quality traditional as well as new product categories. Our associates will doubtlessly notice the strongly competitive product pricing available to them through this strategic alliance.

As further evidence that our associate program is beginning to take hold, we have found that more than 50% of our associates will reorder using the program. We expect this statistic to continue to increase as more associates are signed and their e commerce stores are developed and marketed. We believe the associate program will continue to build strong loyal bonds between SSG and the associate members in months to come."

Sport Supply Group is a leading direct marketer and B2B e commerce supplier of sporting goods equipment to the institutional and youth sports market place. Athletes, coaches and instructors in schools, colleges, universities, governmental agencies, camps and youth organizations across the country use the Company’s products.

The Company offers an associate program that allows an organization to market and promote more than 8,000 sporting goods products directly to its participants by way of an on-line store. Product, distribution, technology and support are provided by Sport Supply Group and the marketing and promotion of the organization’s on-line store is conducted by the associate to its individual members. A high degree of customization such as outstanding site graphics, unique product offerings and many other features are available to customize associate sites to the extent desired.

For more information about Sport Supply Group’s associate program, please visit us at www.sportsupplygroup.com.

 

This news release, other than the historical information, consists of forward looking statements that involve risks and uncertainties detailed from time to time in the Company’s filings with the Securities and Exchange Commission, including the Company’s Reports on Form 10-K and Form 10-Q. Such forward-looking statements are made based on management’s belief as well as assumptions made by, and information currently available to, management pursuant to the ‘safe harbor’ provisions of the Private Securities Litigation Reform Act of 1995. Actual results may vary materially.