ABCI Holdings/American Boardsports Expands International Distribution; ABCI Launches 7Distribution, a Vertically Integrated Distribution Network.

Business Editors/Sports Writers

SAN DIEGO--(BUSINESS WIRE)--Jan. 28, 2002

ABCI Holdings Inc./American Boardsports Co. (OTCBB:ABCI), innovative producer of snowboard, wakeboard and skateboard products today announced the launch of 7Distribution, a vertically integrated international network for distributing action sports products and accessories.

7Distribution is a wholly owned division of ABCI Holdings.

7Distribution will be headquartered in San Diego and is chartered with developing and managing offline and online product sales, marketing, and distribution of American Boardsports products in Japan, Europe, Australia, South America, Canada, and the United States. 7Distribution will also market and distribute action or extreme sports products produced by other manufacturers.

"The focus of 7Distribution will be to establish a physical presence for American Boardsports internationally as well as in the U.S.," said Floyd Ryan, president of ABCI Holdings/American Boardsports. "Our immediate goal is to increase market penetration and brand identity. The international integration of 7Distribution will also allow the company to streamline the conventional distribution model, vertically enabling the company to reach action sports retailers globally while increasing margins and profitability."

7Distribution will have the exclusive distribution rights for all American Boardsports products. The Division will also work to develop strategic alliances for the integration of compatible action sports products and services produced by other quality manufacturers. 7Distribution will distribute its core brand label products through specialty shops catering exclusively to the snowboard, wakeboard and skateboard markets. The goal is to sell directly to a tight community of high-end resellers, reducing the discount perception of the products. 7Distribution will also manage American Boardsports' OEM and licensing by selling private label boards and accessories to mass-market retailers for remarketing under different brand names.

"We see enormous potential in the international marketplace," added Ryan. "We chartered 7Distribution as a separate division so it will be able to establish direct, exclusive relationships with international master distributors. The master distributors will be responsible for sales, marketing and distribution of a broad range of action sports products within their geocentric market. Through 7Distribution we can maximize our return from every sales channel."

About ABCI Holdings/American Boardsports Co.

Founded in 1993, ABCI Holdings Inc./American Boardsports Co. (OTCBB:ABCI) is a sporting goods manufacturer that designs and produces branded consumer products for the rapidly growing outdoor action sports sector. Products include snowboards, wakeboards, skateboards along with related accessories and apparel. ABCI utilizes manufacturing facilities worldwide and is known for innovation and technology in action sports products. ABCI's brand names include "Thruster(TM)" wakeboards, "REVelation(TM)" "Rev(TM)" snowboards, "Human(TM)" skateboards, "Republic(TM)" skateboards, "Competition Brand(TM)" and the "Freedom Grove(TM)."

The company has marketed and developed its brands nearly years and now plans an aggressive sales and acquisition strategy to build market share. The action sports lifestyle appeals to the generation "X", "Y" and "I" consumers, which are demographic groups between the ages of 8 to 35. More information is available at the company Web site www.americanboards.com.

Except for the historical information contained herein, this press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from the results predicted and reported results should not be considered an indication of future performance. In addition to the factors discussed in the filings with the Securities and Exchange Commission, among the other factors that could cause actual results to differ materially are the following: adverse changes in the business conditions and the general economy; competitive factors, such as rival companies' pricing and marketing efforts; availability of third-party material products at reasonable prices; the financial condition of the customer; risks of obsolescence due to shifts in market demand; and litigation involving product liabilities and consumer issues. ABCI Holdings Inc. cautions readers not to place undue reliance upon any such forward looking statements, which speak only as of the date made. ABCI expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the company's expectations or any change in events, conditions or circumstances on which any such statement is based.