41% Increase in Gross Profit and 24% Growth in Revenue Reported by Online Auctioneer Tangible Asset Galleries in Filing of Form 10-SB.

LAGUNA BEACH, Calif.--(BUSINESS WIRE)--Aug. 25, 1999--

Filing of Form 10-SB Crucial Step In Company Becoming Fully

Reporting & Company's Plan to File For NASDAQ Small Cap

Tangible Asset Galleries, Inc. (OTC BB:TAGZE), today announced that it has filed a Form 10-SB with the Securities and Exchange Commission to become a fully reporting company.

The Form 10-SB will be available for the general public to view on EDGAR within two to three business days. This can be obtained online by clicking on the following links: www.sec.gov or www.freeedgar.com.

According to the Form 10-SB, the Company's Net Sales increased from $15,767,928 for the fiscal year ended December 31, 1997 to $19,535,978 for the fiscal year ended December 31, 1998, a 24% increase. Gross Profit increased 41% from $2,404,084 for the fiscal year ended December 31, 1997 to $3,389,394 for the fiscal year ended December 31, 1998. For the three-month period ended March 31, 1999, gross profit increased to $1,201,352 as compared to $769,545 for the three-month period ended March 31, 1998. Tangible Asset Galleries currently has approximately 18,100,354 Shares Issued & Outstanding and approximately 1,500,000 shares in the public float.

Tangible Asset Galleries recently launched its high-end coin and fine collectibles auction site, www.TAGZinc.com. The Company believes that its site will bring the online auction business to a new level of accountability and quality through its fully guaranteed auctions. Tangible Asset Galleries hopes to provide the opportunity for thousands of collectors and dealers to have access to Tangible Asset Galleries' unique and widely diversified items. In addition, TAGZInc.com just completed its inaugural auction which consisted of $4 million worth of rare coins.

The Web site is expected to compete with other auctions sites that have recently entered into the high-end collectible venue such as Gregg Manning Auctions, Inc. (Nasdaq:GMAI), Ebay.com's (Nasdaq:EBAY) purchase of Butterfield & Butterfield, and Amazon.com's (Nasdaq:AMZN) venture with Sotheby's (NYSE:BID).

"Our commitment to our shareholders and to the investing public is to provide as much information for them as possible about events occurring at Tangible Asset Galleries. On May 27, 1999 we released the Company's financial statements. We are pleased to say that we have completed our audit and the necessary forms and have submitted all of this to the SEC for approval," stated Silvano DiGenova, President & CEO of Tangible Asset Galleries, Inc.

In the event the SEC does not approve Tangible Asset Galleries' filing by September 1, 1999, the Company will request its market makers to file a Form 15c211 Exemption Request Form (NASD Rule 6530) in order to allow shareholders to continue to trade TAGZE stock on the pink sheets until the time that the Form 10-SB is approved.

DiGenova continued, "Once we have received final comments from the SEC and are a fully reporting company, we intend to begin the process of seeking a NASDAQ small cap listing. We are simply at a waiting stage while the SEC reviews our status. During this time we will continue to develop our proprietary, high-end auction site. We look forward to continuing our successful coin auctions as well as beginning to add art and other fine collectibles to our auction items."

About Tangible Asset Galleries Inc.

Tangible Asset Galleries Inc. is a dealer in rare coins, fine art and other rare collectibles. The company's chairman has been one of the pioneers of the industry since 1977. The company operates in several different sectors of the art and rare coin business including: fine art retail sales, fine art wholesale, rare coins retail and rare coins wholesale. Tangible Asset Galleries has entered the Internet sector by launching an online auction forum, www.Tagzinc.com . Founded in 1984, Tangible Asset Galleries has established marketing plans for each of its targeted sectors. In addition, the company has a management team of seasoned and well-known officers. DiGenova, founder of Tangible Asset Galleries, also co-founded the Professional Coin Grading Service (PCGS), one of the leading independent rare coin authentication and certification services.

Included in this release are "forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations reflected in such forward-looking statements will prove to have been correct. The Company's actual results could differ materially from those anticipated in the forward-looking statements as a result of certain factors including sales levels, distribution and competition trends and other market factors.