Fareport Capital Inc.

Fareport Capital Inc.

August 25, 2006 17:00 ET

Fareport Capital Inc. Update

TORONTO, ONTARIO--(CCNMatthews - Aug. 25, 2006) - Fareport Capital Inc. ("Fareport" or the "Company")(TSX VENTURE:CAB) wishes to provide an update with regards to its compliance with Ontario Securities Commission ("OSC") Policy 57-603.

Further to the press release of August 11, 2006, the Company is up-to-date with respect to its financial statements and management reporting. Management is currently in advanced stages of negotiating a refinancing agreement that if successful, will provide Fareport with financial stability and a means for future growth. As a result of this significant progress, the Company expects to finalize the transaction in the next 2 to 3 weeks, at which time further details will be provided.

Regarding the previously announced agreement to settle the civil claim against Fareport's former management, advisors and certain investors, the revised settlement agreement will be completed pending closing of a new financing arrangement.

The temporary management and insider cease trade order (the "MCTO") imposed pursuant to OSC Policy 57-603 continues to be in effect. The MCTO prohibits present and certain past directors, officers and insiders of Fareport from trading in securities of Fareport.

Fareport will continue to provide updates on these and related matters in accordance with OSC Policy 57-603.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Fareport Capital Inc.
    Mr. Lou Elmaleh
    Chairman and Chief Executive Officer
    (416) 750-1167 Ext. 400