Two shareholders of Sport Supply Group are attempting to create a road-block in the merger path between SSG and Collegiate Pacific, Collegiate Pacific revealed in their Form 10-Q filed with the SEC. On October 5, 2005, Martin Kleinbart and William Stahl each filed a separate lawsuit in the Court of Chancery of the State of Delaware in and for New Castle County against the Collegiate Pacific, SSG and the board of directors of SSG, including the company’s chairman and CEO, Michael J. Blumenfeld. The plaintiffs filed the lawsuits as a class action on behalf of the public shareholders of SSG in connection with the pending Agreement and Plan of Merger pursuant to which Collegiate Pacific will acquire the remaining 46.8% of the outstanding capital stock of SSG that it does not already own.

The lawsuit alleges the consideration to be paid to the public shareholders of SSG is inadequate and that the defendants breached certain fiduciary duties owed to the SSG public shareholders. The plaintiffs seek to enjoin the transaction with SSG or, alternatively, to rescind the transaction and/or recover damages in the event the transaction is consummated. Collegiate Pacific intends to vigorously defend the lawsuits…