Prepaid Depot, Inc. Updates the Public About the Company.

Business Editors

DAVIE, Fla.--(BUSINESS WIRE)--Aug. 27, 2001

Prepaid Depot, Inc. (OTC:PPDD) was founded in April 2001, by William A. Judd, III, and Lee Schwartz.

With the intent to provide the most reliable phone card distribution business in the telecommunications industry, Prepaid Depot is quickly establishing itself a leader in managing and distributing domestic and international prepaid phone cards. Through innovative technology, a proven network of distributors and retailers, and the vast marketing and operations expertise of their management team, Prepaid Depot expects to dramatically increase market share.

Prepaid Depot will be updating shareholders as developments occur via future Press Releases.

William A. Judd, III is CEO and founder of Prepaid Depot. He has extensive experience in taking start-up company's to a multi-million dollar level. In 1997, he launched American Prepaid, American Phone Card, and Protelcard with only three employees. Under his leadership, these companies grew to over $4.5 million in monthly revenues.

Lee Schwartz is Vice President of Prepaid Depot. He was previously managing marketing and accounting for 1Voice Telecommunications, a prepaid long distance and calling card company. While there, he contributed to the development of several calling card platforms for the national market.

Under his direction, 1Voice dominated the South Florida market in distribution of their products. During his tenure at 1Voice, Schwartz developed relationships with internationally recognized telecommunication companies such as AT&T, Viatel, Qwest, System One, and BTS.

With the relationships established by Judd with distributors and retailers, and Schwartz with the major telecommunication carriers, Prepaid Depot plans to quickly increase the number of products to between 20-22, and enter into marketing agreements with a minimum of 3000 more distributors. Because the targeted distributors have a past affiliation with Judd, Prepaid Depot will grow in sales and revenue much faster than the average new phone card company.

Opportunities to increase market share through aggressive marketing of the current prepaid phone card line, expansion of the product line, and through acquisition of other smaller prepaid carriers. PPDD has identified several acquisition targets with which they will soon begin negotiations. Judd feels strongly that at least two of these acquisition targets will be acquired by year-end 2001, increasing revenues significantly.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements, other than the statements of historical facts, contained in this release which are not historical facts may be deemed to contain forward-looking statements with respect to events, the occurrence of which involves risk and uncertainties, including, without limitation, demand and competition for the Company's products and services, the availability to the Company of adequate financing to support its anticipated activities, the ability of the Company to generate cash flow from operations and the ability of the Company to manage its operations.