SOURCE: Megola Inc.

Megola Inc.

September 23, 2009 08:00 ET

Megola Inc. Provides Shareholder Update

POINT EDWARD, ON--(Marketwire - September 23, 2009) - Megola Inc. (PINKSHEETS: MGOA) is pleased to provide shareholders with the following update regarding financial filings, highlights of the fiscal year 2009, and provide management's outlook for fiscal 2010.

With the recent filing of the financial reports for the first three quarters of the 2009 fiscal year, Megola is now current for financial report filing with plans to complete and file the 2009 July 31 year-end statements within the 90 day filing period. This is a critical component of our strategy to re-establish MGOA back on the OTCBB. "Despite numerous setbacks with the filing of our financial statements, we have remained steadfast in our focus to become compliant and regain our status on the OTCBB," states Joel Gardner, CEO, Megola Inc.

"Throughout the past year, we have focused our efforts on establishing strong collaborative relationships with distribution groups that can penetrate a wide range of vertical markets, continuing to obtain further testing for our Hartindo Anti Fire product line and strengthening our balance sheet through our Preferred Share offering," commented Darryl Germain, COO for Megola. "While overall sales of Hartindo products were less than expected, we now have in place the necessary strategy and business model to execute our goal of increasing sales for future profitability."

Over the past year, Megola has entered into Definitive Agreements with Vulcan Technologies, LLC, Innovative Composites Incorporated and New Fire Solutions, LLC. Each of these groups brings its own area of expertise and experience along with a vast network of contacts in various industries and government and military applications. As well, each group has agreed to meet individual performance levels related to sales during the contract period in order to maintain their status as distributor for the Hartindo product line. Sales based on these contract minimums are expected to result in Gross Revenues in excess of $4M in fiscal 2010.

Over the past two years, Megola has dramatically shifted its primary focus away from the water and air product lines and put in place the necessary management, facilities, partnerships and business strategies to ensure the Hartindo Anti-Fire product line becomes the leading edge environmentally friendly product line in the world of fire safety.

Joel Gardner, President & CEO of Megola, concludes, "Megola is now firmly in position to build on the foundation we have created for growth and success. All the groundwork for getting these revolutionary products into the market place has been laid and we now expect to be rewarded for our efforts from the past two years."

Shareholders and investors are strongly cautioned against placing undue reliance on information set forth in these communications in making any investment decisions concerning our securities.

The matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. These risks are detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission including the company's Annual Report, Quarterly Reports and other periodic filings. These forward-looking statements speak only as of the date hereof. The company disclaims any intent or obligation to update these forward-looking statements.

Contact Information