Kenwick Industries, Inc. and Automax Group, Inc. Announce Settlement of an Outstanding Note

    DELRAY BEACH, Fla.--May 4, 2001--Kenwick Industries, Inc. (OTCBB:KWINE) and Automax Group, Inc. (Pink Sheets:AMMX) announced today that the companies have reached an agreement to settle an outstanding Note Payable in the amount of approximately $3,000,000 by assigning and transferring certain Accounts Receivables in full payment thereof. This being done as part of the Company's restructuring of its Automax Group, Inc. The Company in return will receive cash payments and inventory.
    The effect is that both assets and liabilities, after adjustments for uncollectible receivables, will be decreased by approximately $3,000,000.
    The Company has consolidated its used car subsidiary to Broward County, Florida. All key personnel will remain with the Company and we expect that this consolidation will give us an opportunity to tighten inventory controls and operate at a more efficient level.

ABOUT THE COMPANY

    Kenwick Industries, Inc. is a diversified company comprised of two divisions. The first is the majority-owned Automax subsidiary. 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 dealerships, and serves customers with limited credit histories, low incomes, or past credit problems who cannot access traditional financing.
    The second is American Video Language Institute (AVLI) which specializes in the production and marketing of video programs that teach English as a second language. AVLI Video Programs received a four star rating from the Video Rating Guide for Libraries and is currently being distributed worldwide to schools, libraries, business groups and organizations. The company is looking to expand its presence on the Internet to better sell its products worldwide and currently has its products on Amazon Z shops and Microsoft Encarta Language Learning websites.

    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 Kenwick) 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 Kenwick. 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.
    For additional information on Kenwick Industries or Automax Group call Marc Jablon of Big Apple Consulting USA at (407) 884-0444.