CyberEdge Enterprises, Inc.: Corporate Update

    NEW YORK--Jan. 7, 2003--CyberEdge Enterprises, Inc. (Pink Sheets: CYBT) Agrees to acquire all of the issued and outstanding shares of WAYNE'S FAMOUS PHILLIES (TM).
    CYBT has entered into an agreement to acquire Locklear, Lynch and Schultz, Inc., a Virginia corporation doing business as "WAYNE'S FAMOUS PHILLIES"(TM). WAYNE'S operates a quality retail food business chain serving an overlooked and neglected market - those consumers looking for a wholesome food product while they have their cars serviced. Located in Virginia Beach, Virginia WAYNE'S operates two facilities under its trademark name "WAYNE'S FAMOUS PHILLIES"(TM) with its prototype location in a new structure in the existing CAR SPA building. A third and fourth location in existing CAR SPA buildings will be opened in Atlanta, Georgia in January 2003 and Jacksonville, Florida in February 2003. The acquisition is subject to final due diligence by both parties, and is anticipated to close no later than January 31, 2003.
    Based on the completion of the Atlanta facility WAYNE'S will formalize its relationship with CAR SPA for the build out of all of the CAR SPA'S existing ten facilities and be part of their rollout program so that future construction will incorporate WAYNE'S FAMOUS PHILLIES(TM) at the time the CAR SPA building is constructed. This will eliminate or significantly reduce rework/retro fit costs that WAYNE'S has experienced or will experience for the existing locations of CAR SPA.
    The future model for development of WAYNE'S is to operate as owner/operator of 10 WAYNE'S facilities in the CAR SPA locations and to develop a franchise operation for the further rollout of WAYNE'S at CAR SPA's new facilities. WAYNE'S is currently negotiating with three potential franchisees in Dallas and Florida.
    Except for historical matters contained herein, the matters discussed in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that these forward-looking statements reflect numerous assumptions and involve risks and uncertainties that may affect CyberEdge Enterprises, Inc. and its subsidiary businesses and prospects and cause actual results to differ materially from these forward-looking statements. Among the factors that could cause actual results to differ are CyberEdge Enterprises, Inc. operating history; competition; low barriers to entry; reliance on strategic relationships; rapid technological changes; inability to complete transactions on favorable terms.