European Micro Holdings Expects Shares to List On OTC Bulletin Board

Business Wire, April 5, 2001

Business & Technology Editors

MIAMI--(BUSINESS WIRE)--April 5, 2001

European Micro Holdings, Inc. (Nasdaq National Market: EMCC), an independent, focused distributor of microcomputer products, announced that the Company expects its shares of common stock to be delisted from The NASDAQ National Market. According to a letter received from The NASDAQ Stock Market, Inc., the Company's common stock has not maintained the $5.0 million minimum market value of its public float. The Company has until April 19, 2001 to demonstrate compliance with the required $5.0 million minimum market value of its public float for ten consecutive trading days. The Company does not expect to be able to comply with this requirement. Therefore, the Company expects that subsequent to April 19, 2001, its shares of common stock will be delisted from the NASDAQ National Market and will trade on the OTC Bulletin Board.

The OTC Bulletin Board is a regulated quotation service that displays real-time quotes, last-sale prices and volume information in over-the-counter (OTC) equity securities. An OTC equity security generally is any equity that is not listed or traded on the NASDAQ or a national securities exchange. Further information about the OTC Bulletin Board is available at www.otcbb.com.

In a joint statement, John Gallagher and Harry Shields, Co-Presidents and Co-Chairmen of EMCC, commented, "We do not expect the move to the NASD OTC Bulletin Board to hinder our ongoing efforts to purchase and distribute in-demand microcomputer products for our customers in North America, Western Europe and Asia. We intend to reapply for listing on NASDAQ when EMCC fulfills all of the necessary requirements. In the interim, shareholders and other interested parties may retrieve stock quotations and corporate information from a variety of sources, including www.otcbb.com and Yahoo! Finance."

European Micro Holdings, Inc. is an independent, focused distributor of microcomputer products. The Company monitors and capitalizes on worldwide market-price disparities to purchase a select group of in-demand products from other distributors in 28 countries in 13 currencies. Utilizing its multi-lingual sales staff, European Micro then quickly and efficiently sources these products to its customer base, which includes value-added resellers, corporate resellers, retailers, direct marketers and distributors throughout the world. The vast majority of the products sold by European Micro are manufactured by well-recognized companies such as IBM, Compaq, Hewlett-Packard and 3Com.

Statements contained in this news release regarding the expected quotation of its common stock on the NASD OTC Bulletin Board are forward-looking statements, subject to uncertainties and risks, many of which are beyond the Company's control, including, but not limited to, the willingness of the market-makers in the company's common stock to apply for and obtain quotation of the company's common stock on the NASD OTC Bulletin Board. Other risks are summarized under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended June 30, 2000 as filed with the Securities and Exchange Commission. Forward-looking statements by their nature involve substantial risks and uncertainties. As a result, actual results may differ materially depending on many factors, including those described above. The Company cautions that historical results are not necessarily indicative of the Company's future performance.