Portrait Corporation of America, Inc. Announces Modification of $50 Million Credit Agreement

Portrait Corporation of America, Inc. Announces Modification of $50 Million Credit Agreement

CHARLOTTE, N.C., Feb. 4 /PRNewswire/ -- Portrait Corporation of America, Inc. ("PCA", formerly PCA International, Inc.), the largest operator of retail portrait photography studios in North America, today announced that it has entered into an amendment to its $50 Million Credit Agreement with Bank of America, N.A. as agent. This amendment, among other things, modifies certain financial covenants in order to assist the company in its ability to continue its national store expansion program.

"This modification indicates the support we continue to receive from Bank of America, N.A.," said Barry Feld, Chief Executive Officer and Chairman of the Board of PCA. "We appreciate the support of Bank of America, N.A. and our host store relationships during this challenging period."

About Portrait Corporation of America, Inc.

PCA is the largest operator of retail portrait studios in North America and one of the largest providers of professional portrait photography products and services in North America based on sales and number of customers. Operating under the trade name Wal-Mart Portrait Studios, PCA is the sole portrait photography provider for Wal-Mart Stores, Inc. As of August 1, 2004, PCA operated 2,273 permanent portrait studios in Wal-Mart discount stores and supercenters in the United States, Canada, Mexico, Germany and the United Kingdom and provided traveling services to approximately 1,000 additional Wal- Mart store locations in the United States. PCA also serves other retailers and sales channels with professional portrait photography services.

Forward-Looking Statements

Certain statements in these interviews and news releases may constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements involve risk, uncertainties, and other factors, which may cause the actual results, performance, or achievement expressed or implied by such forward looking statements to differ materially from the forward looking statements. Certain statements contained in the interviews are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve numerous risks and uncertainties. Although PCA believes the statements are reasonable, it can give no assurance that such expectations will prove correct. PCA cautions that any forward-looking statements contained herein are not a guarantee of future performance and that actual results may differ materially.

Contact:
Portrait Corporation of America, Inc.
Jean Veatch (704) 588-4351 x2260



Source: Portrait Corporation of America, Inc.

CONTACT: Jean Veatch of Portrait Corporation of America, Inc.,
+1-704-588-4351, ext. 2260

Web site: http://www.pcainternational.com/


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