FIRSTPLUS Restates Upward Its December 1997 and March 1998 Quarterly Results

Business Wire, May 15, 1998

DALLAS--(BUSINESS WIRE)--May 15, 1998--FIRSTPLUS Financial Group, Inc. (NYSE: "FP"), today announced that, in consultation with Ernst & Young LLP, its independent accountants, it is restating its previously reported December 1997 quarterly earnings upward from $8.6 million or $0.22 per diluted share to $11.6 million or $0.29 per diluted share. FIRSTPLUS is also increasing its previously announced March 1998 quarterly results from $17.0 million or $0.41 per diluted share to $19.8 million or $0.48 per diluted share. These upward adjustments in earnings are solely the result of increases in the carrying value of its Interest Only Strips ("I/O Strips") generated in the December 1997 and March 1998 quarters.

FIRSTPLUS utilizes a volatility-based formula to ascertain the market discount rate on its I/O Strips, as required by Statement of Financial Accounting Standards No. 125 ("SFAS No. 125"). During the December 1997 quarter, and extending through the March 1998 quarter, extreme market uncertainties resulted in FIRSTPLUS utilizing a discount rate to value its I/O Strips which attempted to account for these uncertainties. After further consideration regarding the conditions which existed on December 31, 1997 and March 31, 1998, FIRSTPLUS has, in consultation with Ernst & Young LLP, concluded the I/O Strips generated in those quarters were understated, and the discount rates associated with such I/O Strips were overstated. Because of this fact, its earnings for the December 1997 quarter and March 1998 quarter were understated. FIRSTPLUS has concluded, in consultation with Ernst & Young LLP, that discount rates for I/O Strips generated in and prior to the September 1997 quarter require no adjustment.

Because of these facts, FIRSTPLUS will extend the filing of its March 1998 quarterly 10-Q, which was otherwise due on Friday, May 15, 1998. It expects to file the form on Monday, May 18, 1998. FIRSTPLUS also anticipates filing an amended December 31, 1997 Form 10-Q at that time.

FIRSTPLUS management will hold an investor conference regarding these issues at 8:45 A.M., Eastern Standard Time, on Monday, May 18, 1998. The call in number for this telephone conference is 703-736-7226, the replay number is 703-925-2417 and the pass code for the replay is 871459.

FIRSTPLUS Financial Group, Inc. is a diversified consumer finance company that, through its subsidiaries, originates, purchases, services, securitizes and sells consumer finance receivables. FIRSTPLUS, headquartered in Dallas, Texas, has regional offices in Mission Viejo and Tustin, California; Denver, Colorado; Holly Springs, Mississippi; Columbus, Ohio; Greenville and Columbia, South Carolina; Salt Lake City, Utah; a network of origination branches domestically; and international operations based in Cardiff, Wales, the United Kingdom.

The above statements contained in this press release that are not historical facts, including, but not limited to, statements that can be identified by the use of forward-looking terminology such as "may," "will," "expect," "anticipate," "estimate" or "continue" or the negative thereof or other variations thereon or comparable terminology, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties. The actual results of the future events described in such forward-looking statements in this press release could differ materially from those stated in such forward- looking statements. Among the factors that could cause actual results to differ materially are: short-term interest rate fluctuations, level of defaults and prepayments, general economic conditions, competition, government regulation and possible future litigation, as well as the risks and uncertainties discussed in the Company's Current Report on Form 8-K, dated December 19, 1996, including without limitation, the uncertainties set forth from time to time in the Company's other public reports and filings and public statements.

CONTACT: FIRSTPLUS Financial Group, Inc.

Daniel T. Phillips,Chairman/CEO

Eric C. Green, President

William P. Benac, CFO

John R. Hauge, Senior Vice President

(214) 599-6300

or

Morgen-Walke Associates

Michele Katz, Ian Hirsch

Press: Brian Maddox, Estelle Bieber

(212) 850-5600