Auto Data Network's Subsidiary Launches Complete Insurance and Compliance Solution for the UK Motor Trade.

Automotive Writers

NEW YORK, NY & TUNBRIDGE WELLS, UK--(BUSINESS WIRE)--Feb. 27, 2004

Auto Data Network Inc. (OTCBB: ADNW), a provider of software and real-time data services to the automotive industry, today announced that its subsidiary, County Services plans to launch its new Insurance & Compliance solution, Auto Network UK, at an industry debate it is hosting on March 9 at the Society of Motor Manufacturers and Traders headquarters in London. The debate, which will focus on the impact of the incoming EU Insurance Mediation Directive that becomes law in January 2005, will be chaired by UK Motoring Celebrity, Quentin Willson, and include a panel of representatives from the automotive industry organizations and the regulator, the FSA.

Following the recent acquisition of Ifact Auto Data Network's subsidiary, County Services, has extensive expertise in both auto industry regulatory compliance and financial services. Its new offering, Auto Network UK, was designed to provide practical and affordable answers to achieving and maintaining compliance with the forthcoming new regulations on the sale of insurance products.

County Services offers a unique, nationwide, end-to-end solution that guides dealers through option choices to process support. It also assists dealers through the process of seeking direct authorization and provides an alternative to direct authorization through its Auto Network UK membership program.

Mike Millard, who heads up Auto Network UK says, "Vehicle retailers and manufacturers earn a sizeable proportion of their income through the sale of insurance and other financial products. Beginning January 14, 2005, it will be considered a criminal offence to either sell, advise on or provide administration of insurance products - whether motor insurance, warranty, GAP or payment protection - without authorization from the Financial Services Authority." "Our initial research indicates that this new market represents a $50 million opportunity in terms of compliance services, consultancy and training. The new EU Regulations will closely regulate the selling of insurance products by the UK motor trade," Mr. Millard added. "The stark fact is that the authorization clock is ticking, and those failing to submit applications before July 2004 are likely to miss the deadline."

Auto Data Network is a group of established companies which provide software products and services to the automotive industry. The company's main customer base is the auto dealership marketplace. This marketplace consists of approximately 78,000 dealers in North America and 92,000 dealers in Europe. The company estimates that this represents a $15 billion market for Software and Services specifically for auto dealerships. The company supplies a suite of software solutions and services that enable dealerships to run their businesses more efficiently whilst achieving considerable cost savings. The majority of the company's current solutions are focused on serving the aftermarket and finance areas of dealerships. These areas are of particular importance as the aftermarket business is responsible for 48% of a dealerships profit from 12% of their overall revenue. The second most profitable area is vehicle finance and insurance this area contributes 35% of profits from 2% of revenues.

This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the Company's business including increased competition; the ability of the Company to expand its operations through either acquisitions or internal growth, to attract and retain qualified professionals, and to expand commercial relationships; technological obsolescence; general economic conditions; and other risks detailed time to time in the Company's filings with the Securities and Exchange Commission (SEC).