Pan American Motorsports, Inc. Sells Controlling Interest To Queench, Inc.

SALT LAKE CITY, May 31 Pan American Motorsports, Inc. is pleased to announce that Queench Inc., a bottled water company based in New York, has completed the terms of an agreement to purchase a controlling interest in Pan American Motorsports, Inc. As a result of the transaction described above, Queench currently owns approximately 36% of the issued and outstanding shares of the Company, and has an option to increase its ownership to 40%.

Pan American Motorsports, Inc. was the owner/operator of the American IndyCar Series. At the end of the 2001 racing season it became apparent that conditions were unfavorable to continue its involvement as the owner and sanctioning organization for the American IndyCar Series. Management believed that a change of direction and focus along with a revised management team would benefit the Company and its shareholders, and entered into the transaction with Queench as a means of exploring new opportunities for the Company.

Pan American Motorsports, Inc. President, Bret Decker, who has resigned in connection with the closing of the transaction, says, "We are thrilled to have an exciting company like Queench assuming the management of the Company and bringing their experience on board. The quality of Queench products and the potential performance orientation of the Queench product align well with the quality and performance expected in auto racing. Pan American is looking forward to Queench's involvement and is very enthusiastic about the positive effect Queench will have on the Company and the potential benefit to the shareholders."

In connection with the transaction, the board of directors, consisting of Bret Decker, Gary Ryan and Michael Carter, have resigned, and Spencer Gillette, Morris Lewis and Lennox Parris, also directors of Queench, have been appointed as the new directors of the Company. Lyndell Parris will serve as the new President and CEO, Mark Young will serve as Vice President, and Josh Pierre, will serve as the new Secretary, of the Company. New management has indicated that, over the next few weeks, the board or directors will appoint additional officers and directors, to diversify its management group.