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Carnegie Cook Reports Strong Year End Results

Earnings per share were $0.14 (fourteen cents), up 180% over the same period in 2000.

``We have established a strong revenue base through our mechanization of the Jockey Clubs and opening of OTB's,'' said Jay Goldberg, Chairman and Chief Executive Officer.

``Included in current assets is a $130,000 deposit made for Proprietary Gaming Machines (PGM's) to be installed throughout Brazil. This marks the beginning of the truly dynamic phase of our business plan in which the revenue stream from the Jockey Clubs supports the massive expansion our revenue base through PGM's. Our working capital position has increased from $333,059 at December 31, 2000 to $3,785, 304 at December 31, 2001. In addition, the portion of working capital made up of cash and cash equivalents continues to increase. For example, only 60% of working capital was made up of cash and cash equivalents at June 30, 2001 compared to 89% at December 31, 2001.

``Further to this point, working capital has increased $2,023,903, or 142%, since June 30 2001.

``SG&A expenses have decreased to 10% of Net Revenue, well below our budgeted goal of 16% to 18% of Net Revenues. The company had Net Income of $2,982,645 and $1,170,797 for the years ending December 31, 2001 and December 31, 2000 respectively, or an increase of 155%.

``We achieved this on a Gross Revenue increase of 117% by reducing our SG&A from 21% of Net Revenue in 2000 to 10% of Net Revenue in 2001. We also feel that as more OTB's open and the PGM's are installed, we can further reduce this percentage and therefore increase even more what we consider to be a very impressive revenue stream.''

     The following is a condensed consolidated statement of earnings for the
     years ending December 31, 2001 and December 31, 2000.


                                Twelve Months Ending           Percentage
                          Dec. 31, 2001    Dec. 31, 2000  Increase/(Decrease)

     Gross Revenue          $3,500,141      $1,611,723              117%
     Net Revenue             3,232,794       1,496,332              122%
     SG&A Expenses             341,149         325,535                5%

     Net Income             $2,982,645      $1,170,797              155%

     EPS                         $0.14           $0.05              180%


     The following represents highlights from the balance sheets at December
     31, 2001 and December 31, 2000.


                          Dec. 31, 2001   Dec. 31, 2000   Increase/(Decrease)

     Cash on Hand           $1,890,523        $374,633        $1,515,890
     Current Assets          3,875,285         374,633         3,500,652
     Long Term Tangible
     Assets                 11,349,625      10,825,844        523,781(1)

     Total Assets          $15,690,204     $11,705,786        $3,984,418

     Current Liabilities       $76,596         $41,574           $35,022
     Long Term Note             39,415           - 0 -         39,415(2)
     Common Stock               20,985          14,986             5,999
     Paid in Capital        10,351,454       9,433,502           917,952
     Retained Earnings       4,853,369       1,870,724         2,982,645
     Shareholders' Equity   15,225,808      11,319,212         3,906,596

     Total Liabilities
      & Equity             $15,690,204     $11,705,786        $3,984,418

     (1)  Increase from purchase of building and purchase of equipment and
          machinery for installation into OTB's as well as for mechanization
          of Jockey Clubs.
     (2)  Represents remaining mortgage on Building purchase referred
          to in (1).  Current portion of this mortgage is included in current
          liabilities.

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