Media Contact:
Townsend Heald
214/259-3428
townsend.heald@ketchum.com

Company Contact:
Patrick G. Mackey
214/777-4161
pmackey@novonetworks.net


              NOVO ACQUIRES INTEREST IN PACIUGO

DALLAS (December 20, 2002) - Novo Networks, Inc. (OTC BB:
NVNW) today announced that it has acquired a 33% ownership
interest in Paciugo Management, LLC (and one of its
affiliates), a privately held gelato manufacturing,
retailing and catering operation, based in Dallas, for $2.5
million. Novo also secured a two-year option to purchase an
additional 17.3% of Paciugo for $1.5 million.

The proceeds will be used primarily to open new locations
and expand operations.  Under the terms of the purchase
agreement, Novo will participate in strategic development
and perform certain fee-based administrative functions,
while Paciugo's founder, Ugo Ginatta, will remain focused on
day-to-day operations and product development.

"Paciugo has developed a product that rivals the best gelato
found in Italy.  This commitment to quality has been
recognized not only by the community, but by the media as
well, helping the company grow to seven stores in a short
period of time," said Barrett Wissman, President of Novo.
"Based on this track record, we hope to expand the concept
and introduce Paciugo's brand of gelato to other parts of
the state and perhaps the country."

"We are fortunate to have found a partner in Novo with the
ability to provide us with both financial and managerial
assistance," said Mr. Ginatta.  "We look forward to forging
a strong working relationship with Novo."

Gelato is Italian ice cream with little fat or sugar and no
added preservatives.  Paciugo uses recipes from Italy and
makes more than 30 flavors daily.  There are locations
throughout the Dallas area, including Central Market-Dallas,
Central Market-Plano, Highland Park Village, Las Colinas,
Lovers Lane, Renaissance Tower and West Village.  For more
information about Paciugo, please refer to the following
website:  www.paciugo.com.



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