PanAgra International Corporation Announces the Acquisition of a Controlling Interest in a Chinese Environmental Protection Vehicle Company

    NEW YORK, April 27 PanAgra International Corporation (OTC Bulletin Board: PNGR) today announced
that it and its newly-formed subsidiary Minghua Acquisition Corp., a Delaware
corporation ("Acquisition Corp."), have entered into a stock purchase
agreement (the "Agreement") with Mr. Li Chuquan and Mr. Chan Kuen Kwong
(collectively, the "Sellers") relating to the purchase by Acquisition Corp. of
all of the outstanding capital stock of Ming Hua Group International Holding
(Hong Kong) Limited, a corporation existing under the laws of the Hong Kong
Special Administrative Region of the Peoples Republic of China ("Ming Hua
Group International").  Ming Hua Group International holds, as its only asset,
an 85% equity interest in Shenzhen Minghua Environmental Protection Vehicles
Co., Ltd, a corporation existing under the laws of the Peoples Republic of
China (the "Environmental Vehicle Company").  Pursuant to the Agreement,
Acquisition Corp. is obligated to pay a $1,000,000 deposit to the Sellers
within fifteen days and to deliver to the Sellers 28,000,000 shares of PanAgra
Common Stock at the closing of the transactions contemplated by the Agreement
(the "Closing").  PanAgra will fund such cash amount and issue such shares on
behalf of Acquisition Corp. as a capital contribution to Acquisition Corp.
The deposit will be returned to Acquisition Corp. if the Closing does not
occur unless the failure to close results from a breach of the Agreement by
PanAgra or the Acquisition Corp.  The Closing is subject to various conditions
including the completion of a due diligence investigation by PanAgra and
Acquisition Corp. of Ming Hua Group International and the Environmental
Vehicle Company.  From and after the Closing, PanAgra will indirectly control
the Environmental Vehicle Company.
    The Environmental Vehicle Company is the owner of patented technology
relating to hybrid vehicles powered by a combination of a combustion diesel
engine and an electric power system (the "Minghua Hybrid Vehicle").  The
Environmental Vehicle Company is initially focusing its efforts on the Chinese
public transportation sector.   Minghua Hybrid Vehicles consist of four models
(coaches and mini-buses) that can be used in this sector.  The Environmental
Vehicle Company has not made any sales of Minghua Hybrid Vehicles to date,
however, it has entered into 4 non-binding letters of intent for the sale of
up to 110 coaches.
    The Environmental Vehicle Company believes that the Minghua Hybrid Vehicle
differs from other environmentally protective vehicles offered in the Chinese
market for the following reasons: (a) the Minghua Hybrid Vehicle offers an
automatic switch which allows the vehicle to select the optimal type of energy
(diesel or electric) for different types of travel, (b) the Minghua Hybrid
Vehicle operates with a parallel composite power system (i.e., the diesel
engine and the electric power system can be used alternatively and
independently, depending on the given conditions), (c) the Minghua Hybrid
Vehicle achieves a "zero-emission" level while operating on its battery, (d)
the battery used by the Minghua Hybrid Vehicle recharges when the vehicle is
running on diesel fuel, (e) the Minghua Hybrid Vehicle complies with European
II Discharge Standards.  The Minghua Hybrid Vehicle is the first of its kind
in China and may become a leading technology on a global scale.
    At the Closing Mr. Li Chuquan will obtain a controlling interest in
PanAgra.  As soon as practical after the Closing, PanAgra intends to change
its name to Minghua Group International Holdings Limited and at such time,
PanAgra intends to increase the size of its board and to appoint Mr. Li
Chuquan, the Chairman of Ming Hua Group International and the Environmental
Protection Vehicle Company, as chairman of PanAgra.

    Statements included in this press release, which are not historical in
nature, including, without limitation, statements regarding (i) the ability of
PanAgra and Acquisition Corp. to effect the Closing and the actions referred
to in this press release to be taken after the Closing, (ii) the viability of
the Environmental Vehicle Company's patent and its ability to exploit such
patent and (iii) the ability of the Environmental Vehicle Company to enter
into binding agreements for the sale of its vehicles, are forward-looking
statements made pursuant to the safe-harbor provisions of the Private
Securities Litigation Reform Act of 1995.  Forward-looking statements
regarding the acquisition of Ming Hua Group International, the company's
future business prospects, plans, objectives, expectations and intentions are
subject to certain risks, uncertainties and other factors that could cause
actual results to differ materially from those projected or suggested in the
forward looking statements, including unforeseen results of the Company's due
diligence review, the inability of PanAgra to obtain necessary governmental
(including foreign) and third party consents, the inability of PanAgra to
raise additional capital and the emergence of additional competing
technologies.  This press release shall not constitute an offer to sell or the
solicitation of an offer to buy the securities of PanAgra nor shall there be
any sale of these securities in any state in which such offer, solicitation or
sale would be unlawful prior to registration or qualifications under the
securities laws of any such state.

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