PAAT Exercises Expansion Option

21 December 2000

PAAT Exercises Expansion Option

    EL CAJON, Calif.--Dec. 21, 2000--PanAmerican Automotive Corp. (OTC:PAAT)(PAAT) is pleased to announce that it has agreed to exercise its option, with World Transport Authority Inc. (OTCBB:WTAI) (WTAI) for the expansion of its territory for the production of the WorldStar vehicle in Central America.
    PanAmerican currently holds the Master License for Costa Rica and the expanded territories include the countries of Nicaragua, Honduras, Guatemala, San Salvador and Belize. The purchase will be satisfied by the issuance of 1,000,000 common shares of PanAmerican to World Transport Authority Inc.
    PanAmerican Automotive Corp. additionally will be acquiring the Master License for the region known geographically as the Caribbean. Countries to be included under this Master License are as follows: Antigua, Bermuda, Bahamas, Barbados, Dominique, Grenada, Haiti, Jamaica, Monserrat, St. Kits & Nevis, Saint Lucia, Saint Vincent & Grenadines, Surinam, Trinidad & Tobago and the Dominican Republic. The purchase will be satisfied by the issuance of 2,000,000 shares of PAAT stock to World Transport Authority Inc.
    PanAmerican Automotive Corp. is also acquiring the Master License for the country of Mexico. This obligation will be satisfied by the issuance of 4,000,000 common shares from the treasury of PanAmerican Automotive Corp. to World Transport Authority Inc.
    The above-mentioned transactions are expected to close no later than the last week of December 2000. At that time the PAAT stock will be issued to WTAI as payment for the fees. World Transport Authority Inc. has represented that it is free to enter into agreements concerning the country of Mexico, since previous license agreements for this territory are null and void.
    Upon closing of the Master License agreements, it is the intention of PanAmerican Automotive Corporation to initiate a 5 for 1 forward split of the corporation's common shares. In conjunction with the split, PAAT will increase the authorized capital share structure of the corporation to accommodate the forward split. The record date for the forward split of the company's shares will be Tuesday, Jan. 23, 2001.
    PanAmerican Automotive Corp. is pleased to announce the appointment of Daniel S. Peterson to the position of president, secretary/treasurer and director of the corporation. Fredrick DaSilva has also been appointed to the position of director. Michael Keller and Scott Kalin have both resigned from the corporation in order that they can devote their full attention to their duties at World Transport Authority Inc.
    Company President and spokesman Daniel Peterson is quoted as saying, "With the expansion of our territory, PanAmerican is now poised for dramatic growth going into the year 2001. We look forward to working with World Transport Authority Inc. to introduce the WorldStar vehicle and its unique micro-manufacturing process throughout our newly expanded territories."

    This press release contains forward-looking statements within the definition of Section 27A of the Securities Act of 1933, as amended and such sections 21E of the Securities Act of 1934, amended. These forward-looking statements should not be used to make an investment decision.