Auxer Announces CT Industries' Projections to Equal Clifton Telecard's; CTI's Grand Opening and X Factor Launch Deemed a Success.

Business Editors

WEST PATERSON, N.J.--(BUSINESS WIRE)--April 16, 2001

The Auxer Group (OTCBB:AXGI-News) announced today that its subsidiary, CT Industries, Inc. (CTI), projects a sales pace equivalent to its sister company, Clifton Telecard, by 3rd Quarter 2001.

Clifton Telecard's sales for the 4th Quarter were on a $34 million annualized pace. "Depending on the speed of the X Factor product line development, which will contain our feature products, The X Cell Phone and the X Calling Card, the later of which is already being distributed nationally, actual sales could exceed these projections," states Ryan Shaver, Executive Vice President, CT Industries.

In other company news, CTI's grand opening was deemed a major success. Over the past two weeks the company has added distribution accounts in Florida, California, Louisiana, Mississippi, Maryland, North Carolina, Washington D.C., New Jersey, Ohio, Minnesota, and Wisconsin.

The company plans to have distributors in every state by the end of May 2001 and information on these distributors will be released as the negotiations are finalized.

This weekend's launch of the X Factor on NBC was also another major milestone for the company. More information will be announced on The X Factor Grand Prix of Sonoma, scheduled for July 22, 2001 at the California Sears Point Raceway, in the weeks to come.

About The Auxer Group, Inc.

The company, located in West Paterson, NJ, is a holding company divided into two major groups. With the addition of CT Industries, the recently formed Telecom Group consists of three subsidiaries.

Also included in the group are Auxer Telecom, Inc., a telecommunications service provider headquartered in Los Angeles and Clifton Telecard, Inc. (http://www.cliftontelecard.com/), a wholesale distributor of prepaid phone cards.

Clifton's website allows online purchasing and distributes the prepaid cards under the following trademarks: Original, Original Texas, Original New York, Northern Star, Half Penny, and Prestige. The Automotive Group is lead by Harvey Westbury Corp., a 35-year old manufacturer and distributor and 25- year member of AAIA (Automotive Aftermarket Industry Association).

Also a member of the NMMA (National Marine Manufacturers Association), the group manufactures and distributes several products including: Formula 2000 (Synthetic Engine Treatment), Easy Test (Testers), Air Conditioning Kits and accessories, and several other products which can be found at http://www.harveywestbury.com/.

The Mechanics Depot, a specialty distributor of automotive parts and accessories to local mechanics, service stations, and dealers, rounds out the Automotive Group.

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This is a publication of M. Johnson & Associates (M.J&A), a financial communications and investor relations company. M.J&A serves as special advisor to the featured Company and has received fees for services and expenses for preparation and distribution of materials of said Company.

This press release contains forward-looking information within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934 and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. For those statements, the Company claims the protection of the safe harbor for forward-looking statements provisions contained in the Private Securities Litigation Reform Act of 1995 and any amendments thereto. Such forward-looking statements by definition involve risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. In particular, there is no assurance that reserves, production, pricing levels or other factors pertaining to the manufacturing and retail operations will be sustained at the expected rates or levels over time. Discussions of factors, which may affect future results, are contained in the Company's most recent filings.

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