International Machine and Welding, Inc. Reports Second Quarter Results of Operations

BARTOW, Fla., Sept. 24 -- American Commerce Solutions, Inc. (BULLETIN BOARD: AACS) wholly owned subsidiary, International Machine and Welding, Inc., today released preliminary results of operations for the second quarter ending August 31, 2004.

Daniel L. Hefner, President and Chief Executive Officer of American Commerce Solutions, Inc. stated, "Based upon the company's books and records, we are pleased to announce that International Machine and Welding, Inc. will report a 48% increase in revenue over the same quarter last year. Sales for the second quarter totaled $642,732 compared to $434,300 for the same period last year."

Hefner continued, "Gross profit increased from $241,557 to $272,791 or 12.9% when compared with the same quarter last year. Net loss from operations was $82,796 for the quarter compared to $63,803 loss for the same period last year. This is somewhat distorted, however, since we booked a $32,898 charge in August, reflecting our 2% hurricane insurance deductible for the storm damage we experienced. Without this one time non-cash charge, our net loss would have been $13,000 less than the same quarter in 2003. When we add back depreciation of $81,477 we have positive cash flow of $31,579."

"The third quarter has started with a bang," stated John Shearer, the division President. "September started the new quarter with in-house work in excess of $225,000. Month after month we are gaining momentum as we implement our more aggressive sales effort. Soon we will be adding new specialty machining capability to our already diverse mix of impressive equipment. Each piece that is added creates new revenue opportunity and continues to make us a standout in our market."

Shearer encouraged those interested to view photographs of International Machine & Welding at the company website, http://www.aacssymbol.com/ .

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this release that are not historical, are forward-looking statements that are subject to risks and uncertainties that could cause results to differ materially from those expressed in the forward- looking statements, including but not limited to, certain delays and risks detailed from time to time in the company's filings with the Securities and Exchange Commission.