Smartcool Systems Inc. (TSXV: SSC), is pleased to announce that the company's distributor in the Philippines, Smartcool S.E. Asia, has entered into a sales agreement with Walter Mart in the Philippines, to install Smartcool's Energy Savings Module (ESM(tm)) in their chain of Supermarkets and Community Shopping Centres.


Walter Mart, who currently operates 14 shopping malls with a further 3 under construction, forms part of the Abenson Retail Group, the Philippines largest appliance retail chain with over 70 stores nationwide. The Abenson Group also includes other super store retail outlets such as, Abenson (consumer electronics and home appliances), Avant (lifestyle electronics and appliances), Electroworld (computers and electronics) and Abea (modern lifestyle furniture).

The Abenson Group has committed to help develop strong communities from both an economic and environmental standpoint and Smartcool's ESM(tm) forms an integral part of this commitment. The ESM(tm) will initially be installed in the Walter Mart chain of malls and upon completion; a further rollout within the Abenson Group will be evaluated.

"The Philippines is an ideal location for our energy reduction technology to be installed," states George Burnes, President of Smartcool. "With high temperatures and high humidity the requirement to power air conditioning and refrigeration applications is great. When you include the high rates being paid for electricity in the Philippines one can see the enormous economic benefits that can be generated using our ESM(tm)."

"The Philippines provides a very large opportunity for Smartcool and in Smartcool S.E. Asia we have a distributor with a significant presence in this region and strong technical expertise in order to take advantage of this market opportunity," added Chris Lefaivre, Smartcool's Vice President of Sales. "In addition to this particular initiative, the distributor has developed many other relationships in the region in several other sectors. These vertical markets include supermarkets, cold storage facilities, manufacturing plants, property management groups and commercial buildings. With several other testing programs underway, we are confident that Smartcool S.E. Asia has the expertise to make the ESM(tm) a success in this region."

About Smartcool S.E. Asia:

Smartcool S.E. Asia was incorporated for the purpose of selling, marketing and distributing Smartcool's technologies in Asia. The management group has vast experience assisting companies to develop strategies for entry into the Asian market place by offering professional market research and competitive analysis enabling the implementation of well thought-out development plans. With engineers, sales people and technicians working from offices in Manila, and a solid reputation within the energy efficiency/environmental community, Smartcool S.E. Asia is well positioned to take advantage of opportunities in this region.

About Smartcool

Smartcool Systems Inc. (TSX-V: SSC) delivers cutting edge energy efficiency and cost reduction solutions for businesses around the world. The ESM™ and ECO3™ are Smartcool's unique retrofit technologies that reduce the energy consumption of compressors in air conditioning, refrigeration and heat pump systems. Energy savings achieved by the ESM™ and ECO3™are quantifiable and the products can qualify for government and utility rebates. The technology has been validatedby rigorous third party testing, government organizations and private business installations.

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.




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