Auto Data Network to Acquire Regulatory and Compliance Specialist IFAct LTD to Support Legislative Changes in the UK Aftersales Market

NEW YORK & TUNBRIDGE WELLS, UK--Feb. 9, 2004--Auto Data Network Inc. (OTCBB: ADNW), a provider of software and real-time data services to the automotive industry, today announced that they have agreed Heads of Agreement to acquire IFAct, LTD, a specialist in regulatory requirements of the General Insurance Standards Council, to support its new range of insurance related services to United Kingdom auto dealerships.

IFAct is one of the leading compliance consultancy practices in the United Kingdom specialising in providing expertise and support solutions on FSA regulation and compliance, and is one of a series of targeted acquisitions being made by Auto Data to extend its range of specialist services to dealership customers.

Auto Data Network's Chairman Chris Glover commented, "Insurance and financial services products are of great commercial value to our dealership customers. Research has demonstrated that income from these products represents approximately 35 percent of an average dealership's profit. The impending regulation of general insurance presents a real challenge to our clients to continue to offer these products in the future. The acquisition of IFAct will enable us to provide essential expertise and support to our customers in this complex area, and forwards our Group's investment in providing solutions that tackle real commercial issues."

"Motor dealership operators have expressed that presently there is no comparable service offering available to those who wish to continue to offer insurance services after January 14th 2005. We already have two manufacturers interested in using our service," Mr. Glover continued. "The combination of Auto Data's software and IFAct's services creates a unique union of high level expertise and skills, coupled with cost effective on-line compliance software solutions. UK regulation necessitate that insurance services are supported with a level of supervisory services that IFAct provides. Collectively, we will offer our customers a solution to protect and maintain their source of earnings from insurance and, equally important; enable them to continue to offer value-added services and alternative choices to their clients."

About Auto Data Network

Auto Data Network is a group of established companies that provide software products and services to the automotive industry. The company's main customer base is the auto dealership marketplace. This marketplace consists of approximately 78,000 dealers in North America and 92,000 dealers in Europe. The company estimates that this represents a $15 billion market for software and services specifically for auto dealerships. The company supplies a suite of software solutions and services that enable dealerships to run their businesses more efficiently, while achieving considerable cost savings. The majority of the company's current solutions are focused on serving the aftermarket and finance areas of dealerships. These areas are of particular importance as the aftermarket business is responsible for 48% of a dealership's profit, while representing only 12% of its overall revenue. The second most profitable area is vehicle finance and insurance, which contributes 35% of profits from only 2% of revenues. For more information, please visit us at www.autodatanetwork.com.

About IFAct Ltd

IFAct Ltd delivers effective and viable long-term solutions that focus on the regulatory requirements of the General Insurance Standards Council. The IFAct group of companies is owned and run by working directors who understand the needs of regulated firms to comply with the rules in a practical and commercial manner, as a logical progression of their own best business practices. Our consultants are trained and experienced in both PIA/FSA and GISC arenas. For more information on IFAct, please visit www.ifact.co.uk.

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).