Auxer Focuses On New Strategy; Company Plans to Streamline and Make New Investments

    WEST PATERSON, N.J.--April 15, 2002--The Auxer Group, Inc. (OTCBB:AXGI) (www.axgiinvestor.com) announced today that its initial phase of restructuring nears completion. While Auxer's 2001 results, which will be released today, showed losses, the Company expects the restructuring efforts, which occurred in the first quarter of 2002 to positively impact the Company's operations.
    The Company has reduced operating expenses and developed a new strategy that will focus on acquiring operations in conjunction with streamlining and eliminating product lines which do not fit Auxer's growth plans and direction.
    "Auxer is nearing the completion of a difficult restructuring phase. I am working to streamline Auxer's current operating subsidiaries by eliminating overhead and product lines that do not fit Auxer's future. Our team has entered discussions with new acquisition candidates and investment opportunities. I expect to release more information on our strategy and candidates for investments over the next several weeks," said Eugene Chiaramonte, Chairman of The Auxer Group, Inc.

    ABOUT THE COMPANY

    The Auxer Group is a holding company that consists of two groups; a Telecommunications Group and an Automotive Group. The Telecommunications Group is focused on distribution of prepaid products, which includes The X-Factor(TM) and Platinum Series(TM). The Automotive Group is focused on aftermarket wholesale and distribution of automotive and marine products and parts, which includes Easy Test(R) and Garry's Royal Satin(TM).

    Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the company's products, competition, new products and technological changes, intellectual property rights and other risks.

    For further information please contact the Company at (800) 201-3972 and ask for investor relations or Eugene Chiaramonte or visit our website www.axgiinvestor.com.