Autoworks International Designs New Software Module ''ValuMaxx'' for Automobile Insurance Industry

TORONTO--April 17, 2006--Autoworks International Limited today announced that it is in the design and development phase of a new proprietary software module named ValuMaxx that is engineered to serve the interests of automobile insurers in the automobile salvage, inventory management and parts distribution sectors.

ValuMaxx, is designed to maximize the revenue received by insurers from vehicles deemed to be automobile salvage and from automobiles under repair implemented by insurers. The software module may assist in managing costs not only in individual insurers portfolio of salvage vehicles in a cost effective manner, but also in integrating all participating insurance companies and stakeholders in various phases of repair programs.

One of the key areas of concern to automobile insurers is the average cost per automobile repair claim. Typically, a significant percentage of damaged vehicles is recognized as salvage vehicles by insurers and auctioned to dealers and individual buyers. In this event, the insurance company is obligated to pay to the insured, the Actual Cash Value (ACV) of the vehicle appraised at the time of the accident. Proceeds from automobile salvage auctions, typically recover only up to 30% of the vehicle's ACV. The balance must then be paid by the insurance company to the insured in order to settle the property damage claim.

ValuMaxx, currently under development by the company, may provide automobile insurers with the opportunity to generate significantly higher automobile salvage revenue on the disposal of vehicles considered to be salvage material.

Under the business model implied by ValuMaxx, the salvage vehicles are aggregated into inventory at auto recyclers with which stakeholders have developed joint venture relationships. Rather than selling the salvage vehicles to wholesales they are instead dismantled of high value and high volume crash parts, appraised and allocated to an inventory directory on behalf of automobile insurers. The inventory of usable parts is then distributed as required for ongoing automobile repairs for other vehicles preventing the insurer from purchasing the required used parts from automobile recyclers. As a result, significant cost savings by insurers may be generated per repair claim.

Also, insurers will have the capability to exchange used parts with their peers at preferred rates, generating additional cost savings on any given repair claim. Additional revenue streams may result from the sale of mechanical or electrical parts to automobile repair facilities and from the sale of major component parts to core remanufacturers of salvaged parts not suitable for immediate resale.

Severely damaged vehicles will either be sold at automobile salvage auctions or crushed and recycled as scrap metal, maximizing all potential salvage revenue streams for insurers. Approximately 15% of all vehicles involved in collisions are disposed of by the insurer, resulting in the removal from service of approximately 15 million vehicles annually.

According to the Automotive Recycling Association, the total automotive recycling sector generates approximately $15 billion U.S. per annum in revenue. This includes vehicles disposed of after collision, theft, loss by fire, or water damage. Insurance companies account for the majority of vehicles entering the automotive recycling system.

Autoworks International Limited is an international software design, development and services provider focused primarily on generating internet based proprietary application software solutions for industries that may benefit from enhanced business to business communications, systems integration and coordination between their industry stakeholders. The software and services offerings may generate operating efficiencies and improved profitability to various industry participants.

Cautionary statement for purposes of the "Safe Harbor" provisions of The Private Securities Litigation Reform Act of 1995: Any statements in this report that refer to the forecasted, estimated or anticipated future results of Autoworks International Limited ("Autoworks" or the "Company") are forward-looking and reflect the Company's current analysis of existing trends and information. Actual results may differ from current expectations based on a number of factors affecting Autoworks businesses, including competitive conditions and changing market situations. Matters affecting the economy generally, including the state of economies worldwide, can affect Autoworks results. Forward-looking statements represent the Company's judgment only as of the date of this report. Since actual results could differ materially, the reader is cautioned not to rely on these forward-looking statements. Moreover, Autoworks disclaims any intent or obligation to update these forward-looking statements.