SPAR Group Moves to Leverage Own Internet Capabilities

SPAR Group Moves to Leverage Own Internet Capabilities

Sells Stake in Teleservices Company Inherited from PIA Merchandising Services

IRVINE, Calif., March 1, 2000 -- SPAR Group Inc. (Nasdaq:SGRP) today announced that it hassold back its 20 percent ownership in Alta Resources, formerly Ameritel, a teleservices company based in Wisconsin.

"The sale of our stake in Alta Resources allows SPAR the option to invest its financial resources in the company's own Internetcapabilities. It also provides operating savings of approximately $1.0 million, and eliminates the need to rely on a third party forcontinuing support," said Bob Brown, SPAR Group's chairman and chief executive officer, explaining the impetus behind the sale.

PIA Merchandising Services Inc., which merged with SPAR to form SPAR Group in July 1999, had contracted with AltaResources to provide in-bound teleservices for its in-field merchandisers in order to facilitate the collection of a variety ofinformation, including in-store data and time reports.

"Today, we can collect and distribute to our customers, on a real-time basis, store-level information and directly manage theactivities of our field force using the Internet. Expanded use of this rapidly evolving resource is the primary way SPAR providesits customers with services of increasing value," Brown said.

SPAR Group Inc., a diversified marketing services company, provides a broad array of marketing and sales support to Fortune1000 companies who outsource elements of their marketing and sales efforts. The company provides in-store merchandizingservices in more than 18,000 grocery stores, 6,200 drug stores and 8,800 mass merchandisers, using Internet-based, proprietarysoftware to deliver innovative marketing and sales solutions in incentive and database marketing, research and teleservices.

Contact: 

     SPAR Group Inc.
     Bob Brown, 914/332-4100
     or
     Pondel/Wilkinson Group
     310/207-9300
     Gary S. Maier/Kristin Bruno