Company Contact:
Barbara Doonan
C-ME.com
(626) 793-5000
e-mail: ir@c-me.com

Investors and Media:
Lisa Lindberg/DianGriesel, Ph.D.
The Investor Relations Group
(212)736-2650
e-mail: TheProTeam@aol.com

For immediate release

C-ME.com Announces Year-End Results

PASADENA, CA - October 2, 2000 -Cyber Merchants Exchange, d.b.a. C-ME.com (OTC-BB: CMEE), announced their year-end results for the twelve months ended June 30, 2000. The complete 10K-SB is available at http://www.sec.gov.

  For the twelve months ended June 30, 2000, the Company had revenues totaling $645,530 as compared to $47,810 during the same period in 1999. The Company reported a net loss of $2,722,659 for the twelve months ended June 30, 2000 as compared to a net loss of $695,454 for the same period in the previous year. The increase in revenue was mainly due to an increase in subscriber fees and sales of its operation software to three joint ventures formed within the last twelve months. The increase in net loss is due primarily to a non-cash charge for stock-based compensation of $2,122,631 and to higher G&A expenses.

  Earnings before the non-cash stock-based compensation charge show a decrease in the loss of diluted earnings per share. This translates into a net loss of $600,028 or ($.10) diluted earnings per share. This indicates an improvement over ($0.12) for the twelve months ended June 30, 1999.

  The Company's stock option plan provides for granting of stock options to employees, officers, directors and other entities that have made contributions to the Company. Stated Frank Yuan, the Chairman and CEO of C-ME.com, "Although our income statement shows a higher net loss because of the granting of these stock options, we feel that in the long run it is advantageous to our shareholders. Everyone who receives our stock options -whether it is an employee, a consultant or a strategic retail partner - becomes part of the C-ME.com team with a financial stake in the Company."

  Yuan commented, "This is C-ME.com's first year as a public company and the strides in executing our business plan internationally have exceeded our initial expectations with revenues that have increased 1,350% over the last year. With over 80% of the world's merchandise produced in the Far East, we have given our retail partners direct access to these markets through the three joint ventures (Taiwan; China, Thailand/Philippines) with the ten offices we have established. In addition, we have signed a major strategic alliance with The CIT Group, Inc. (NYSE:CIT;TSE:CIT.U) which offers a financing platform in lieu of Letters of Credit for international trade business."

  John F. Busey, President of C-ME.com added that C-ME.com's financial stability has been greatly enhanced during the year. "With the funds we raised from the recent private placement resulting in our current working capital of $6.8 million as well as our conservatively-managed burn rate, we have the financial resources to realize our goal of becoming one of the leading global merchandise sourcing companies."

  About Cyber Merchants Exchange, Inc. d.b.a. C-ME.com

Cyber Merchants Exchange, Inc. d.b.a. C-ME.com (http://www.C-ME.com) is using its proprietary web-based software to create a global business-to-business e-commerce solution that streamlines the way retailers locate viable merchandise. C-ME.com's current retail partners include Factory 2-U Stores (NASDAQ: FTUS) and Burlington Coat Factory (NYSE: BCF). The company also provides vendors with custom web design, web hosting, and the Virtual Trade Show ™ ("VTS"), a vertical marketplace for vendors to display their product in an open environment. The company is currently forming multiple joint ventures in the Pacific Rim to facilitate direct international merchandise sourcing for its U.S. retail partners

  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.