24PetWatch(TM) Announces Record Setting Microchip Sales

OAKVILLE, ONTARIO--(Marketwire - Feb. 6, 2012) - Pethealth Inc. (TSX:PTZ) ("Pethealth" or the "Company"), North America's leading provider of companion animal RFID technology for lost pet recovery operating in Canada, the United States, and the United Kingdom announces record microchip sales in January following strong growth in 2011.

The Company sold a total of 130,250 microchips in January, up 20.3% from January 2011 and surpassing the Company's previous monthly record of 121,895 microchip sales in August 2011. The increase in sales was driven in large part by the Company's introduction of the MiniChip™, a much smaller and less surgically invasive microchip ideally suited for cats, kittens and smaller dogs, and record sales in the United Kingdom. The January results came on the back of the Company's record sales of 1,341,000 microchips for 2011.

Sales in microchips also helped drive a record number of registrations in the Company's 24PetWatch database, with over 98,000 new pets registered over the month, bringing the total number of pets registered in the 24PetWatch database to over 5.3 million. The 24PetWatch database plays a key role in Pethealth's insurance and non-insurance operations alike and is supported by an in-house call centre that received nearly 22,000 inbound calls in January resulting in a record of over 7,400 unit sales of identification tags, Emergency Care policies, and annual and lifetime maintenance plans.

Microchips are sold through the Company's extensive network of shelters, animal welfare groups, and veterinary clinics which totaled 5,657 across the United States, Canada, and the United Kingdom last year.

About Pethealth Inc.

Pethealth is a leading provider of companion animal services in North America. In addition, the Company is the leading provider of management software to North American animal welfare organizations through its cloud-based application and is the leading provider of pet related database management services to the North American companion animal industry. Pethealth offers a unique range of products and services for veterinarians, shelters and pet owners through a number of wholly owned subsidiaries using a range of brand names including PetCare, 24PetWatch, PetProtect, petPals Direct, ShelterCare, PetPoint, Petango.com and ThePetangoStore.com.

Pethealth is based in Oakville, Ontario. To find out more about Pethealth, visit the web site at www.pethealthinc.com.