Powerstar International Inc.

July 18, 2007 19:19 ET

Powerstar International Inc. Acquires Skyboard Corporation

Powerstar Becomes Largest Outdoor Digital Signage Operator in Alberta

CALGARY, ALBERTA--(Marketwire - July 18, 2007) - Powerstar International Inc. (Powerstar) (TSX VENTURE:PWS), the wireless and digital signage solutions provider, is pleased to announce the completion of its previously announced acquisition of Skyboard Corporation (Skyboard) of Calgary, Alberta. The final purchase consideration was four million, one hundred and seventy-nine thousand and thirty-four (4,179,034) common shares of Powerstar at a deemed price of $0.5265 per common share, being a 15% discount to the twenty day weighted trading average prior to closing and forty nine thousand, eight hundred and eighty ($49,880.25) in cash.

Skyboard operates six outdoor video billboards in Alberta and has sales contracts for an additional twenty-two digital billboards across Canada. These billboards reach about fourteen million people each week. Skyboard recently acquired HighPoint Media Ltd of Edmonton, one of the largest and most experienced video billboard marketing companies in North America. The acquisition of HighPoint is leveraging Skyboard's nine year history of designing and building LED displays with the acquired media service of HighPoint. Skyboard will operate as a wholly owned subsidiary of Powerstar and aggressively expand advertising display locations. For more information on Skyboard, please visit www.skyboard.ca.

"Not only does this acquisition signal our entry into the digital signage market, we expect it to provide strong growing revenues," said Dr. Hatim Zaghloul, Chairman and CEO of Powerstar, "Robert Hoogveld is a veteran in this industry and will spearhead our presence in the digital signage market. Terry Balaban and Ken Rochat have an excellent sales record that we hope to build on."

"By joining the Powerstar group of companies, Skyboard's years of experience will now be exploited to grow the digital display advertising business," said Mr. Robert Hoogveld, president of Skyboard Corporation. "We will continue to build new video billboards and complete a number of acquisitions of existing networks., We are looking at growing our business both organically and through more acquisitions. The approach is to acquire companies having long term infrastructure and advertising contracts in digital signage. We will expand our outdoor billboard presence to include indoor applications offering the advertiser recognized demographics within specific market segments."

About Powerstar International Inc.

Powerstar is a provider of digital signage/communications networks for consumers, businesses and the US government. Powerstar provides services under its Solutrea brand and companies. The company provides public Wi-Fi networks, digital signage, corporate communications and business television over wireless, satellite and terrestrial platforms. Powerstar International Inc.'s shares trade on the TSX Venture Exchange, trading as TSX-V: PWS. For more information visit www.solutrea.com.

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