Automax Group Consolidates Used Car Subsidiary

    NORTH LAUDERDALE, Fla.--Feb. 12, 2002--Automax Group, Inc. (Pink Sheets:AMXX), as part of restructuring the Company's debt and preparing for future growth, has consolidated its used car subsidiary to Broward County, Florida. All key personnel remain with the Company and the consolidation has given the Company an opportunity to tighten inventory controls and operate at a more efficient level.
    Automax Group, Inc. is a "Buy here - Pay here" used car sales and finance company that has served the South Florida sub-prime auto market for 3 years. Automax underwrites, finances and services loans generated at its dealership, and serves customers with limited credit histories, low incomes, or past credit problems who cannot access traditional financing. To date, the Company has been financing its own Accounts Receivable. Automax recently contracted with a finance company located in California that will do special financing for Automax. This is anticipated to greatly enhance the company's cash flow.
    President Ken Wulwick expresses promise for the company over the next 24 months. He states, "We expect to open several new locations in the Broward County area with future openings in Palm Beach County. We are also contemplating the opening of check cashing stores as a natural extension of services to the clientele that we serve. We shall continue to seek acquisitions in related industries and services."
    As a shareholder update, on September 5, 2001 Automax announced that it signed a Letter of Intent to acquire all of the outstanding shares of Tagit Marketing and Development, Inc. After a thorough review of the acquisition, the Board of Directors has decided to cancel the proposed acquisition.
    Also, Automax Group, Inc. reached an agreement last year, May 4, 2001, to settle an outstanding Note Payable by assigning and transferring certain accounts receivables as full payment. The debt reduction has enhanced the balance sheet and Automax realized a decrease of approximately $3,000,000 in liabilities.

    The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Automax) contains statements that are forward-looking. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ from those expressed in any forward-looking statement made by or on behalf of Automax. These risks and uncertainties include, but are not limited to, those relating to development and expansion activities, dependence on existing management, financing activities, and market competition factors.

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