SOURCE: Greenstone Holdings, Inc.

March 02, 2007 07:00 ET

Beacon Equity Research Initiates Coverage on Greenstone Holdings, Inc. With Target Price of 25 Cents

NEW YORK, NY -- (MARKET WIRE) -- March 2, 2007 -- Greenstone Holdings, Inc. (PINKSHEETS: GSHG) announced today that Beacon Equity Research initiated coverage on the Company with target price of 25 cents per share.

In the report, the analyst writes, "Greenstone Holdings operates in the fast-growing green building and construction segment. Green building refers to products that are energy efficient and/or environmentally friendly. GreenShield™, the Company's main product protects wood structures from fire, mold, termite and water damage. The market for the Company's technology is estimated at $30 billion and growing.

"The Company has received an initial order of 500 gallons for its proprietary Greenstone chemical solution for the treatment of railroad ties from ECORail Products Inc. This opens the door for Greenstone to explore many other opportunities in the railroad industry, which is a key market for its chemical solutions. The Company has established relationships with a number of key railroad industry executives and is aggressively pursuing additional sales opportunities in this market. Based on the large number of inquiries from potential customers, existing orders and the product's demonstrated benefits, we believe Greenstone Holdings will generate revenues of approximately $7 million in 2007. We expect a rapid ramp up in sales as the Company's products become deployed commercially, and are estimating sales will more than double in 2008 to $15 million and expand 30% annually over the next five years.

"Other companies in the green building materials segment that investors should consider for valuation comparison include Headwaters, Inc., Advanced Environmental Recycling Technologies and Trex."

The full report is available at

Beacon Equity Research Disclosure

The analysts contributing to this report do not hold any shares of Greenstone Holdings, Inc. (GSHG). Additionally, the analysts contributing to this report certify that the views expressed herein accurately reflect the analysts' personal views as to the subject securities and issuers. The analyst(s) writing this report recognize and aspire to all of the CFA Institute Guidelines for Independent Research. Beacon Equity Research ("Beacon") certifies that no part of the analysts' compensation was, is, or will be, directly or indirectly, related to the specific recommendation or views expressed by the analysts in the report. Beacon has directly been compensated a total of ten thousand five hundred dollars by Inside Wall Street and Emerging Markets Consulting for enrollment in its research program. This report is based on data obtained from sources we believe to be reliable, but is not guaranteed as to accuracy and does not purport to be complete. As such, the report should not be construed as advice designed to meet the particular investment needs of any investor. Any opinions expressed herein are subject to change.

About Greenstone Holdings, Inc.

Greenstone Holdings (, through its operating subsidiaries, is in the business of providing a variety of unique chemical technologies that are primarily used in the building and construction industry. The Chemical Technology Division's first brand name product, GreenShield(tm), offers building materials such as plywood, drywall, and lumber protection from the environment. It also offers added fire retardancy to the material it is applied to. GreenShield covers a wide range of applications such as building material, fencing, railroad tie, and utility pole. The $25 billion water damage market is one example of many which GreenShield can be useful in.

Forward-Looking Statements:

Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors effecting the Company's operations, markets, products and prices and other factors discussed in the Company's various filings with the Securities and Exchange Commission.

Contact Information

    Michael Ferrone
    Chief Executive Officer
    Greenstone Holdings, Inc.
    Phone: (212) 835-1616