NowAuto Update

SCOTTSDALE, Ariz., June 30 -- NowAuto announced today a shareholder update for recent events. NowAuto has retained the Law Offices of Gary Agron, a SEC and Corporate attorney based in Denver, Colorado, to complete the previously announced merger with a fully reporting Bulletin Board Company. The merger is expected to close in July which will make NowAuto a 12G fully reporting company. It plans to file for NASDAQ Small Cap Listing this year. The new entity will be named NowAuto Group once the merger is completed. The definitive agreement is expected to be signed in the next 10 days.

"We are excited about this opportunity which will allow NowAuto access to higher quality capital markets. We anticipate becoming a fully reporting company will also increase shareholder value. We have been working very hard in June to bring in experienced sales staff, increase our auto inventory, and make some changes that will make NowAuto more efficient and profitable for the second half of the year," said Scott Miller, CEO.

NowAuto announced last week that based on its improved outlook for the second half of 2005 for its existing businesses; NowAuto guidance was reaffirmed for $25 million in sales and diluted net income per common share of $0.30 - $0.33.

NowAuto also announced that is has entered into a marketing agreement with QuePasa.com, a search engine that focuses on the Hispanic market. QuePasa.com users can click on the Arizona link on the front page and then click on any city to view the NowAuto ad. Currently, NowAuto is the only dealership with this ad campaign.

Wholly owned subsidiary Sunburst Car Company, the largest independent volume dealership in Arizona will have its 13th year anniversary on Saturday, July 30th. To celebrate, Sunburst Car Co will give away a vehicle and have a free Bar-B-Que. Sunburst will also auction off over 150 vehicles making it the largest auction of the season. All media, shareholders, and the general public are invited to this event. "We are going to market this event everywhere. It will be a great start to the back-to-school season and generate our best performance of the fiscal year," said Miller. The Sunburst Car Company website is http://www.sunburstcarco.com/.

Wholly owned subsidiary Navicom GPS has signed a 6-month marketing agreement with DuPont Registry Auto Magazine. Navicom will have a full page ad in the magazine beginning in the September 2005 issue. DuPont Registry is a nationwide publication that focuses on the prime auto market. The website for DuPont is http://dupontregistry.com/.

Navicom GPS was also featured on ABC News last week. To view the news story, visit http://www.nowauto.net/ and click on the TV icon at the top of the website. Once on the TV archive page, click on watch Navicom on the news.

Those interested in learning more about parent company NowAuto can email info@nowauto.com and request to be added to the investor news alert.