SOURCE: US BioTec

March 07, 2006 09:33 ET

USBO Announces Long Term Strategy

Revenue Projections Could Increase 50% Within a Year

GLEASON, TN -- (MARKET WIRE) -- March 7, 2006 -- US BioTec, Inc. (OTC: USBO), an emerging player in the rapidly growing bio-chemical sector of the multi-billion dollar agri-business industry, announced today a long term strategy which will work in conjunction with one of the company's primary goals of moving from the Pink Sheets to the OTCBB. In order to facilitate this move, the company has achieved great progress toward securing its two-year audit, as a result of employing its present consulting group.

USBO will continue to focus on providing agriculture resources as its primary source of revenues; however, Chief Executive Officer, Jimmy Joyner announces a three-pronged approach to promote future growth of the company. These include; (i) negotiating exclusive marketing agreements, (ii) expansion of the company's distribution system, and (iii) securing a Florida marketing firm to provide sales and support to that area's large population of growers.

"Negotiations are underway which may create strategic relationships to further develop, market and distribute US BioTec's unique line of non-toxic and non-carcinogenic products in agriculture, lawn and garden markets. If the current distribution relationship is finalized, we will be in a position to greatly expand our sales without incurring the costs associated with creating and developing these marketing systems," stated Jimmy Joyner, CEO of US BioTec.

To assist with this growth concept, USBO will enhance its transportation and distribution subsidiary -- TelStar Logistics Corp. TelStar currently operates a fleet of trucks capable of transporting up to 80 tons of material per week to distributors from the company's present plant.

"Expanding our trucking operations would allow us to significantly grow this segment of our revenues. The transportation cashflow is immediate and expansion requires very little capital. The growing season for farmers is upon us and mandates the need for manufacturing and transporting our product," declares Jack Joyner, Chairman of the Board of TelStar Logistics Corp., a subsidiary of US BioTec, Inc.

The final cog in the strategy involves current negotiations with a company that has capabilities to market to vegetable and fruit growers primarily in Florida, whereby USBO would manufacture its biotech products for the Florida marketplace and transport them to the potential distributor for state wide sales, thus creating a seamless and cost effective operation. "This opportunity to develop a complete system to market to farming operations in large vegetable and fruit producing areas would be a significant milestone for USBO, and we look forward to continued negotiations with the present distributor as well as others. Completion of just these steps in our long-term strategic plan could result in increased revenues of $500,000 or more. Further steps could help take USBO to the next level with significantly higher revenues over the next 1-2 years," adds Jimmy Joyner.

All of US BioTec's products are non-toxic, non-carcinogenic and bio-degradable alternatives to the toxic and sometimes carcinogenic agrichemicals that have been widely used by farmers for decades. The agrichemical market, which is measured in the tens of billions of dollars annually, is controlled primarily by a handful of large multi-national corporations such as DuPont, Syngenta, Bayer, BASF, Dow Chemical and Monsanto.

About US BioTec

US BioTec was established to profitably develop, manufacture, market and distribute bio-degradable, non-toxic and non-carcinogenic products to agriculture, the commercial turf industry, forestry, golf courses, professional landscapers, nurseries and mass market retail lawn and garden markets. USBO is striving to be the U.S. market leader in the expanding bio-chemical sector of the annual multi-billion dollar agricultural chemical marketplace. The Company's products are designed to rehabilitate soils, repel insects and increase crop (plant) yields through environmentally friendly alternatives to toxic man-made pesticides and caustic synthetic fertilizers. To learn more about US BioTec and its products, please visit www.usbioteccorp.com.

Certain statements in this news release may contain forward-looking information within the meaning of the Federal securities laws. All statements, other than statements of fact, included in this release may include forward-looking statements that may involve risks and uncertainties. There can be no assurance that such statements will be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances or to reflect unanticipated events or developments.

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