American Technologies Group Signs a 5 Year, 25 Million Dollar Distribution Agreement for The Force in Japan.

MONROVIA, Calif.--(BUSINESS WIRE)--Dec. 17, 1996--American Technologies Group, Inc. (ATG) (ATEG.U-Bulletin Board), announced today that it entered into an exclusive distribution agreement with Great Asiam Inc. (Asiam), a trading company which principally exports goods to the Far East, to distribute The Force in Japan through December 31, 2001, provided Asiam purchases a minimum of 6 container loads of The Force in 1997, 12 container loads of The Force on 1998 and 18 container loads of The Force each year thereafter for a total of 72 containers valued at approximately $25.6 million. A container load contains 1,140 cases, with each case containing 24 boxes of The Force.

Asiam has 30 days to acquire all permits required to import The Force into Japan. Within 60 days of obtaining the permits, Asiam shall purchase the initial 2 container loads of The Force.

David Gann, ATG's Director of Marketing, indicated that "Great Asiam has a proven track record of sales into Japan of automotive aftermarket products. We will, of course, be providing full support to Asiam. This contract follows recent introductory sales in India and South Africa and represents strong evidence that our efforts to export The Force are bearing fruit."

ATG is an emerging company providing environmental solutions worldwide. Its core technologies and products include The Force, fuel additives, CFC-free refrigerants, water purification and heavy particle beam developments. These technologies have numerous applications in the nuclear, energy, water, mining and oil and gas industries.

CONTACT: American Technologies Group, Inc.

Jim Nicastro, 818/357-5000

George Garcy/John Thompson, 310/859-9725