Gateway International Holdings Inc. Announces Acquisition of Nelson Engineering Inc.

    ANAHEIM, Calif.--April 26, 2002--Gateway International Holdings Inc. (OTC BB:GWIH) today announced that it signed a definitive agreement for the acquisition of Nelson Engineering Inc. on April 26, 2002.
    The company finalized the agreement pursuant to a Letter of Intent signed on Feb. 15, 2002; this is the second acquisition for the quarter, the first being Bechler Cams Inc. The transaction is expected to close upon the company's completion of due diligence and the filing of appropriate documents with California and Nevada Secretaries of State.
    Gateway International Holdings (Gateway) plans to capitalize on growth opportunities in the rapidly expanding machine tool and manufacturing markets. Gateway intends to expand by acquisition and unite existing specialty firms within an organization that maximizes each company's individual strengths as part of a stronger combined whole. The company will achieve increased sales, greater purchasing power, consolidated support functions and increased diversity in a growth industry as a result.
    Nelson Engineering (Nelson) is a first-tier manufacturer of precision machine parts to customers throughout the United States. The company was founded in 1987 and operates from an 18,000 square foot facility in Garden Grove, Calif. The company is SAE, AS9100, ISO 9002 and ANSI/ASQC Q9002 compliant. They are a Boeing approved supplier and work for companies like Eaton Aerospace and Parker Hannifin Companies (Aerospace & Defense), ITT Cannon and BP Microsystems (Electronics), Cal Quality and Baxter Healthcare (Medical) and Vortech and Toyota Racing Development (Automotive) to name just a few.
    Under the terms of the agreement, Gateway will purchase the stock of Nelson and related assets from the Nelson's principal stockholders for 3.125 million restricted shares of Gateway common stock.
    This news release contains forward-looking statements. The words "estimate," "possible" and "seeking" and similar expressions identify forward-looking statements, which speak only as to the date the statement was made. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events or otherwise.
    Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be accurately predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by or underlying the forward-looking statements.
    The risks and uncertainties to which forward-looking statements are subject to include, but are not limited to, the effects of government regulation, competition and other material risks.