Auto Data Network in Letter of Intent to Acquire AutoMatrix

    TUNBRIDGE WELLS, U.K.--Dec. 19, 2002--Auto Data Network Inc.(OTCBB: ADNW.OB), provider of a regional, national and European real time data network serving the automotive sector, today announced a letter-of-intent to acquire AutoMatrix UK Limited for an undisclosed amount in cash and stock.
    The terms of the acquisition are subject to a confidentiality agreement. The acquisition is expected to close in the next sixty days.
    AutoMatrix UK Limited is an innovative Automotive Retailer based in the north east of England. Established in 1999, they have successfully developed a new approach to vehicle retailing which gives the customer unlimited choice by sourcing all of their vehicle requirements through numerous trade suppliers. No physical stock is carried therefore massively reducing costs and the need for oversized premises.
    Auto Data Network's CEO Chris Glover commented, "AutoMatrix will be an integral component of our Company's business. We are extremely excited about this acquisition as there are considerable synergistic benefits for the rest of our group. This acquisition will create additional sales opportunities across the group. As we have previously stated Auto Data Network is consolidating fragmented software companies that service the auto industry. Automatrix is expected to play a prominent role in our future developments".
    Auto Data Network comprises a group of established, automotive companies providing real time data and transactional services to manufacturers, retailers and consumers thereby enabling industry-wide revenue generation, communication and information collection. Services are integrated onto a single transaction platform and data network. The platform propositions are integrated as a communications channel that allows all automotive sector participants to transact within a single environment, in which transactional data is added and modified on the network. This process creates a unique source of "Intelligent Information(TM)" that can be accessed by subscribing companies to analyze and react to changes in market conditions.

    This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the Company's business including increased competition; the ability of the Company to expand its operations through either acquisitions or internal growth, to attract and retain qualified professionals, and to expand commercial relationships; technological obsolescence; general economic conditions; and other risks detailed time to time in the Company's filings with the Securities and Exchange Commission (SEC).