C-Me Nasdaq SmallCap Application Not Approved.

Business Editors

PASADENA, Calif.--(BUSINESS WIRE)--March 16, 2001

Cyber Merchants Exchange, (C-Me) (OTC-BB: CMEE), announced today that its application for listing on The Nasdaq SmallCap Market has been declined.

About Cyber Merchants Exchange, Inc. (C-Me)

C-ME (http://www.C-ME.com) uses its proprietary web-based software to create a global B2B e-commerce solution that streamlines the way retailers locate finished and made-to-order viable merchandise. C-Me's current retail partners include Factory 2-U Stores (NASDAQ: FTUS) and Burlington Coat Factory (NYSE: BCF). Other retailers include: McWhorter's, Sacks SFO and Susie's Deals, which are based in California and L & L Wings which is based in New York. The company is currently forming multiple joint ventures in the Pacific Rim to facilitate direct international merchandise sourcing for its U.S. retail partners. C-Me has operations in North America, Asia, Europe and the Middle East.

Certain of the statements made herein constitute forward-looking statements that involve risks and uncertainties. In such instances, actual results could differ materially as a result of a variety of factors including the risks associated with the effect of changing economic conditions at home and abroad, variations in cash flow, reliance on collaborative retail customers, reliance on intellectual property legislation, use of proprietary un-patented technology, dependence on the Internet and on new product development, variations in new product and service development, risks associated with rapid technological change, and potential of introduced or undetected flaws and defects in products and services and other risk factors detailed in forms filed with the Securities and Exchange Commission from time to time.