EREX-"The Dragonfly" (fka EREX)

[jmhollen]

Minority Shareholder Group Lawsuit Against E-Rex, Inc. and its Directors Dismissed with Prejudice by United States District Court, District of Nevada

MIAMI, July 29, 2002 (PRIMEZONE) -- Today E-Rex, Inc. (OTCBB:EREX) announced that the civil lawsuit filed by a minority shareholder group in United States District Court, District of Nevada, has been dismissed with prejudice. Federal Judge James C. Mahan commented that the plaintiff's complaint did not meet the standards applied in the Federal Courts for these types of cases.

"We are obviously pleased with the result because it puts to rest all of the frivolous claims made against E-Rex and its management," commented Ruben F. Sanchez, Attorney for E-Rex. "The plaintiffs were unable to provide any facts or evidence to substantiate their lawsuit."

In responding to the group's civil action and at E-Rex's formal request, Judge James C. Mahan appointed a special master to audit E-Rex's financial records at the plaintiff's expense. The judge never granted the plaintiff's request to appoint a receiver to temporarily run the Company nor did he grant the group's request of class action status.

E-Rex still intends to pursue legal action already filed in U.S. District Court in California against Chris Ford, Terry Shores, June Blackwell, The Carol J. Gamble Trust, Steve Rigg, Michael J. Capelouto, Randy Lamberto, Ressonyia Andersen, David Simmermacher, Suavek Kownacki, and the Sage Group Strategies for alleged securities violations, attempted illegal takeover, stock manipulation, defamation, extortion and violation of Federal Rico Statues.

"With this distraction behind us, E-Rex can now focus its energies exclusively on executing the strategic partnerships that will provide us the market striking power to make Dragonfly a tremendous success," stated Carl Dilley, E-Rex President.

About E-Rex, Inc.

Headquartered in Miami, E-Rex, Inc. is a technology company dedicated to designing and the future production of stand alone user-friendly portable devices and direct Internet access products targeted at mobile enterprise users.

Further details on the Company can be found online at http://www.e-rex.net.

CONTACT: E-Rex, Inc.
Mitch Ackles, Corporate Communications Director
[phone]
[e-mail]