SPAR Group Completes Acquisition of Impulse Merchandising Services

SPAR Group Completes Acquisition of Impulse Merchandising Services

Transaction Enhances SPAR's Presence in Canada

TARRYTOWN, N.Y.--June 19, 2003--SPAR Group, Inc. (NASDAQ:SGRP) today announced it has completed the acquisition of the business and certain assets of Impulse Merchandising Services ("IMS"), a Toronto-based division of KABOOM ENTERTAINMENT INC. Terms of the transaction were not disclosed.

IMS provides a full spectrum of merchandising services to the mass market, grocery and select specialty retail sectors. The organization will continue under its present management team, with Jeff Deverett acting as president and Larry Deverett acting as executive vice president.

"The transaction enhances SPAR Group's penetration of the Canadian market, and at the same time, customers of IMS will be afforded with expanded resources and value-added services," said Bob Brown, SPAR Group's chairman and chief executive officer. "Moreover, it reflects a continuation of our strategy to expand on an international basis, following our success in Japan. We anticipate completing additional overseas acquisitions and joint ventures in the future," Brown added.

SPAR Group, Inc. is a diversified marketing services company, providing a broad array of productivity enhancing products and services to help Fortune 1000 companies improve their sales, operating efficiency and profits. The company provides in-store merchandising, database and research services to general retail, mass market, drug and grocery chains throughout the United States and internationally.

Certain statements in this news release are forward-looking and involve a number of risks and uncertainties, both known and unknown. Such statements include, but are not limited to, the success of this acquisition, the likelihood of increased penetration in the Canadian market, the likelihood of completing additional overseas acquisitions or joint ventures and other factors that could affect future results, performance or trends, some of which are discussed in SPAR Group's annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings made with the Securities and Exchange Commission from time to time.

CONTACT:  SPAR Group, Inc.
          Charles Cimitile, 914/332-4100
           or
          PondelWilkinson MS&L
          Roger S. Pondel, 323/866-6060