Bestway, Inc.

less accumulated depreciation

less accumulated depreciation

Total assets

Preferred stock, $10.00 par value,

1,000,000 authorized, none issued

Common stock, $.01 par value, 5,000,000 authorized,

1,756,917 issued at October 31, 2002 and July 31, 2002,

respectively

Paid-in capital

Less treasury stock, at cost, 104,345 at October 31, 2002 and

July 31, 2002

Accumulated deficit

Total stockholders' equity

Total liabilities and stockholders' equity

BESTWAY, INC. REPORTS FIRST QUARTER FY2003 RESULTS Same Store Revenues Up 10.1%

(Dallas, Texas - December 13, 2002) Bestway, Inc. (NASDAQ: BSTW), today announced revenues and earnings for the fiscal first quarter ended October 31, 2002.

The Company had revenues for the 3 months ended October 31, 2002 of $8,272,962. This compares to $8,450,505 for the same period of last year, a decrease of 2.1%. Net losses for the quarter increased to $236,690 compared to $191,882 for the same period in the previous year. Diluted earnings per share for the quarter were $(.14) compared to $(.11) for the first quarter of last year.

Same store revenues (revenues in stores operated for the entirety of both periods) during the first quarter of FY2003 increased $761,591, or 10.1% above the comparable quarter of 2002. This increase in same store revenues was off set by a revenue decrease of $939,134 due to the consolidation or sale of fourteen store locations during FY2002. The Company currently operates 69 stores compared to 83 during the first quarter of FY2002. The Company's increase in net losses occurred primarily as a result of investments in human resources. During the first quarter of FY2003 the Company increased the minimum number of personnel in under performing stores from three people to four and opened under performing stores six days per week compared to five days per week. As a result, salaries and wages increased approximately $400,000. These growth strategies along with continued refinement of merchandise mix will lead to improved gross margins.

"We are pleased to have achieved a 10.1% increase in same store revenues for our company, which I feel reflects the results of the growth initiatives we are implementing," commented David A. Kraemer, the Company's President and Chief Executive Officer. "We are particularly pleased that this significant same store revenue growth occurred during a time when we were intentionally eliminating a number of lower-margin and unprofitable product lines," Kraemer continued, "and we are confident that our aggressive focus on increasing sales while at the same time identifying and managing key operating metrics will result in continued growth as well as a return to profitability. We believe that the growth potential for Bestway and the entire rent-to-own industry is significant."

Bestway, Inc. owns and operates a total of sixty-nine rent-to-own stores located in the southeastern United States. These stores generally offer high quality brand name merchandise such as home entertainment equipment, appliances, furniture and computers under flexible rental purchase agreements that generally allow the customer to obtain ownership of the merchandise at the conclusion of an agreed upon rental period.

This press release and the guidance above contain various " forward-looking statements" that involve risks and uncertainties. Forward-looking statements represent the Company's expectations or beliefs concerning future events. Any forward-looking statements made by or on behalf of the Company are subject to uncertainties and other factors that could cause actual results to differ materially from such statements. These uncertainties and other factors include, but are not limited to, (i) the ability of the Company to open or acquire additional rental-purchase stores on favorable terms, (ii) the ability of the Company to improve the performance of such acquired stores and to integrate such opened or acquired stores into the Company's operations, (iii) the impact of state and federal laws regulating or otherwise affecting rental-purchase transactions, (iv) the impact of general economic conditions in the United States and (v) the impact of terrorist activity, threats of terrorist activity and responses thereto on the economy in general and the rental-purchase industry in particular. Undo reliance should not be placed on any forward-looking statements made by or on behalf of the Company as such statements speak only as of the date made. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, the occurrence of future events or otherwise.

Rental income

Sales of merchandise

Depreciation and amortization:

Rental merchandise

Other

Cost of merchandise sold

Salaries and wages

Advertising

Occupancy

Other operating expenses

Interest expense

Loss (gain) on sale of property and equipment

Income tax benefit

Net loss

Adjustments to reconcile net loss to net cash

provided by operating activities:

Depreciation and amortization

Net book value of rental units retired

Loss (gain) on sale of property and equipment

Gain on sale of assets

Deferred income taxes

Non-cash compensation expense

Changes in operating assets and liabilities other than cash:

Prepaid expenses

Taxes receivable

Other assets

Accounts payable

Other accrued liabilities

Purchase of rental units and equipment

Additions to property and equipment

Proceeds from sale of property and equipment

Asset purchase net of cash acquired

Proceeds from sale of assets

Proceeds from notes payable

Repayment of notes payable

Treasury stock purchase