JEMTEC Inc.
TSX VENTURE : JTC

JEMTEC Inc.

July 13, 2007 16:30 ET

JEMTEC ESP Agreement With Ontario Will Not Be Extended

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 13, 2007) - JEMTEC (TSX VENTURE:JTC), ("JEMTEC" or the "Company"), the leading provider of integrated technology systems for community based corrections in Canada, has received notice that the Ontario Ministry of Community Safety and Correctional Service has decided not exercise its right to extend the present Services Agreement beyond the contracted term of January 2008. This is a material event for JEMTEC as this Services Agreement accounts for approximately 87% of the Company's revenue. The Company will bid on the new Request for Proposal when it is put out by the Ministry. JEMTEC has provided these tools for the Ministry in Ontario since 1996 under several different agreements.

The Company continues to look at various acquisitions and partnerships as a path to growth. The Company's financial situation is strong with working capital of $2.5 million as of April 30, 2007. The Company has no major liabilities attached to the Services Agreement as all employees are contracted and all monitoring technology is rented.

Established in 1981, JEMTEC, holds exclusive rights for a variety of offender community control technologies and is the leading provider of community offender monitoring solutions to Canadian Corrections. The common shares of JEMTEC trade through the facilities of the TSX Venture Exchange under the symbol (JTC).

This news release may contain forward-looking information. Actual future results may differ materially. All figures are in Canadian dollars. The risks, uncertainties, and other factors that could influence actual results are described in the company's annual report to shareholders and in TSX reports.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • JEMTEC Inc.
    Eric Caton
    President
    1-877-929-4559
    1-877-929-4198 (FAX)
    Website: www.jemtec.ca