SCHEDULE 14A (RULE 14A-101) SCHEDULE 14A INFORMATION PROXY STATEMENT PURSUANT TO SECTION 14(A) OF THE SECURITIES EXCHANGE ACT OF 1934 Filed by the Registrant [ ] Filed by a Party other than the Registrant [X] Check the appropriate box: [ ] Preliminary Proxy Statement [ ] Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) [ ] Definitive Proxy Statement [ ] Definitive Additional Materials [X] Soliciting Material Under Rule 14a-12 Cyber Merchants Exchange, Inc. (NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) (NAME OF PERSON(S) FILING PROXY STATEMENT, IF OTHER THAN THE REGISTRANT) Payment of Filing Fee (Check the appropriate box): [x] No fee required. [ ] Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11. (1) Title of each class of securities to which transaction applies: (2) Aggregate number of securities to which transaction applies: (3) Per unit price or other underlying value of transaction computed pursuant to Exchange Act Rule 0-11 (set forth the amount on which the filing fee is calculated and state how it was determined): (4) Proposed maximum aggregate value of transaction: (5) Total fee paid: [ ] Fee paid previously with preliminary materials: [ ] Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing. (1) Amount Previously Paid: (2) Form, Schedule or Registration Statement No.: (3) Filing Party: (4) Date Filed: (LETTERHEAD OF CYBER MERCHANTS EXCHANGE, INC.) November 23, 2004 Re: Annual Shareholders Meeting of Dec. 10, 2004 Postponed Dear Shareholders, This letter serves as notice that our Annual Shareholders Meeting, originally scheduled for December 10, 2004, has been postponed to a later date. The Company has entered into a Securities Purchase Agreement with Keating Reverse Merger Fund, LLC providing for the investment by Keating of $425,000 and the reorganization of the Company. An amended proxy statement has been filed with the Securities and Exchange Commission ("SEC") on November 19, 2004 and is pending approval of the SEC. Once the SEC has approved the proxy statement, the Company will establish a new record date, mailing date and annual shareholder meeting date. You will receive a copy of the new proxy statement which will fully describe the reorganization. The reorganization requires shareholder approval. You should read the proxy statement when it becomes available because it will contain important information about the reorganization. You will also be able to obtain the proxy statement and other documents that are filed with the Securities and Exchange Commission for free on the SEC's web site at www.sec.gov. Stockholders may also obtain copies of the proxy statement and other documents that are filed with the SEC for free from the Company when the documents become available. Sincerely, /s/ Luz Jimenez ----------------------- Luz Jimenez Corporate Secretary