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Electrobike Obtains Financing & Consignment Of Bikes from Chinese Partner

1 July 1999

BAT Subsidiary Electrobike Obtains Financing & Consignment Of Bikes from Chinese Partner

    CHULA VISTA, Calif., July 1 --  BAT International's
(OTC Bulletin Board: BAAT) subsidiary, Electrobike, has reached an agreement
with its joint venture partner, Suzhou Machinery Holding in Suzhou China, to
produce 2000 electric bikes using a proprietary design developed by
Electrobike.  Suzhou Machinery Holding (SMH) has agreed to provide an initial
production run of 2000 electric bicycles on consignment to Electrobike on
120 day terms and finance all production tooling and manufacturing costs to
produce the initial electric bicycles.  Electrobike will also receive direct
payments of $325,000 from SMH for delivering specific tooling and parts for
the production effort this summer.
    Electrobike has transferred numerous technologies to SMH to allow them to
gear up production capacity for both Christmas/Holiday Shopping Season, 1999
and Spring, 2000.  Electrobike is also implementing a marketing plan that will
allow mass merchandising of this product line starting later this year.
Electrobike has negotiated with numerous major retail stores this spring and
several companies are tentatively interested in introducing the product as a
part of a test market program during the Christmas/Holiday Shopping Season.
The test market program this Christmas/Holiday Shopping Season will be used to
introduce the product so that large scale mass merchandising can occur in year
2000.  Details of the design of the electric bicycle, target market segment,
market entry price and names of specific retailers cannot be divulged at this
time for competitive reasons.
    BAT International is organized as a holding company with major ownership
position in a set of subsidiary companies now commercializing advanced
automotive and energy technology products developed by BAT.  Technologies
developed over the last six years include electric vehicles, composite
chassis, super-efficient or high power engines, electric bicycles and
scooters, advanced batteries, lubricant additives, and electric power
generation (for information see BAT & Electrobike web sites at http://www.baat.com &
http://www.electrobike.com).

    This press release contains forward-looking statements that should not be
used to make an investment decision.  Please refer to the Company's web site
and other sources for more detailed Company information (Investor Relations
(619) 409-8977).