SOURCE: Power2Ship Inc.

June 26, 2006 09:13 ET

Power2Ship Fiscal Year 2006 Sales Estimated to Exceed $30 Million

BOCA RATON, FL -- (MARKET WIRE) -- June 26, 2006 -- Power2Ship, Inc. (OTCBB: PWRI), the provider of a web-based, logistics, collaborative marketplace for the freight transportation industry, expects gross revenue for the fiscal year ending June 30, 2006 to be approximately $30.1 million, an increase of approximately $20.9 million or 226%, from $9.25 million during fiscal year 2005. Richard Hersh, the Company's Chairman and Chief Executive Officer, commented, "We hit our sales projections for the year. This growth was achieved through a combination of the acquisitions we made in March 2005, internal growth generated by these acquired operations and the improvement of our existing operations. Fiscal year 2007 is expected to be another banner year with double digit growth in all our operations as well as the prospect for additional growth if funding is available for acquisitions and from implementation of our logistics software and consulting services with current and new customers in the U.S. and abroad."

About Power2Ship, Inc.

Power2Ship (P2S) created the MobileMarket™, a web-based application that specializes in the collection and processing of real-time transportation information using proprietary, event-driven software that optimizes the utilization of transportation assets and provides exception-based information to trading partners. P2S' services are offered to the supply chain management industry including manufacturers and distributors of goods as well as service providers that transport goods. In addition, P2S has two wholly owned subsidiaries, Commodity Express Transportation, which operates a fleet of tractors and trailers, a freight brokerage and a warehouse operation, and Power2Ship Intermodal, which is a non-asset based drayage company that arranges the transportation of freight containers arriving at various ports and rail terminals. P2S also is seeking to incorporate the P2S MobileMarket™ into solutions that address global transportation security issues by collaborating with L-3 Communications and other technology and defense companies. Finally, P2S seeks merger, acquisition, and joint venture opportunities with strategic third party providers in the supply chain arena.

This press release includes certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include, but are not limited to, statements regarding our current business plans, strategies and objectives that involve risks and uncertainties that could cause actual results to differ materially from anticipated results. The forward-looking statements are based on our current expectations and what we believe are reasonable assumptions; however, our actual performance, results and achievements could differ materially from those expressed in, or implied by, these forward-looking statements. Factors, within and beyond our control, that could cause or contribute to such differences include, among others, the following: we have a history of losses and an accumulated deficit, expect losses to continue for the foreseeable future and will need to raise additional working capital in order to implement our business model and sustain our operations; the loss of one or more of our major customers could materially and adversely effect our future revenue and business operations; as well as those factors discussed under "Risk Factors" in our Form SB-2/A dated December 15, 2004 and various disclosures in other reports filed from time to time with the United States Securities and Exchange Commission.

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