The Auxer Group Inc. Announces of Intent to Acquire Hardyston Distributors

25 February 1999

The Auxer Group Inc. Announces a Letter of Intent to Acquire Hardyston Distributors

    WAYNE N.J.--Feb. 24, 1999--The Auxer Group, Inc. (OTC BB:AXGI) announced today that it has signed a letter of intent with Hardyston Distributors to purchase its assets and business operations.
    The closing date is scheduled for late March or early April 1999.
    This acquisition will establish a foundation for Auxer in automotive distribution. Initial plans outline a strong growth and sales development program in northern New Jersey with the addition of one to two more distribution locations over the next 24 months as well as introducing an Internet site designed to distribute automotive parts and accessories through E-Commerce.
    Hardyston Distributors is an automotive parts distributor based in northern New Jersey. The company has grown into a strong regional distributor. Hardyston Distributors has a tremendous reputation for immediate response deliveries, high-level customer service and support to include qualified mechanics assisting buyers with purchases. Hardyston has been very successful in competing locally with giants such as NAPA due to the company's ability to effectively research the best quality parts and offer them at better prices.
    "I believe this acquisition will be very positive for both groups as Hardyston has grown to its current limitations and desperately needs the professional management, administrative support functions, and capital that Auxer can provide. These missing components will enable Hardyston to continue to grow its sales to the next level and expand its coverage area. For Auxer, this acquisition will represent a strong step forward towards becoming an overall profitable company as well as provide a solid distribution network for its EasyTest(R), Garry's(R) Royal Satin and Formula 2000 product lines. Hardyston Distributors is on pace for over $1 Million in total revenue over the next 12 months with its current location and the operations are profitable," said Eugene Chiaramonte Jr., chairman of The Auxer Group.

    ABOUT THE COMPANY

    The Auxer Group, Inc. is an investment holding company that is comprised of three wholly owned subsidiaries: Harvey Westbury Corporation, CT Industries and Universal Filtration. Auxer Group is a manufacturer, wholesaler and distributor of automotive, marine and aviation after-market and hardware products. These products are currently sold to major retail chains around the country including, PEP BOYS, MANNY, MO and JACK, CARQUEST, PARTS AMERICA (WESTERN AUTO), WAL MART, KMART, WEST MARINE just to name a few. The Auxer Group's most well known products include FORMULA 2000 ULTIMATE (a high performance engine treatment), GARRY'S ROYAL SATIN WAX AND POLISHES (a 70-year-old superior car and marine wax line).

    Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the company's products, competition, new products and technological changes, intellectual property rights and other risks.