CORUNNA, Ontario, July 22, 2004 (PRIMEZONE) -- Megola, Inc. (OTCBB:MGOA), a leading solution provider in physical water treatment, microbiological control, wastewater treatment and air purification, is pleased to announce today that it has signed a Distributor Agreement with AquaPure Systems, Inc., a leading distributor of water treatment products to the residential marketplace in the Greater Toronto Area (GTA). Under the terms of the agreement, AquaPure will begin to sell Megola's ScaleGuard systems in its retail outlets, through its outside sales force and through its online retail operations.
"We have already begun to build a very strong distributor channel for Megola's ScaleGuard systems and AquaPure is the latest addition to this program. This alliance will provide us with immediate access to Canada's largest residential market, the Greater Toronto Area. For years AquaPure has essentially been a competitor of Megola. The fact that they are now distributing ScaleGuard units and with the increasing widespread banning of salt water softeners is another indication that the industry has come to realize that Megola offers one of, if not the leading solutions to hard water problems at a zero tolerance level of harm to the environment. Megola is confident that AquaPure's spotless reputation and strong industry relationships will lead to much wider implementation of ScaleGuard units in the regional residential marketplace," says Dennis Davies, Distribution Manager for Megola, Inc.
Tony DiCorte, President of AquaPure commented, "Megola products are key components of the water treatment solutions we offer our customers. We chose Megola because of the technology that has been built into their ScaleGuard devices: performance, ease-of-use and reliability. We could not find a better product that offers a simple solution to hard water problems without any harmful effects to the environment."
Hard water is a serious, extremely prevalent problem, affecting approximately 85% of water users in North America. The problems associated with scale and hard water affects households, commercial and industrial operations equally. Megola's ScaleGuard technology eliminates the build-up of scale caused by hard water in all types of applications in a manner that is both exceptionally cost effective and environmentally safe. Unlike traditional water softening technology that may require the introduction of salts, corrosive chemicals or other additives to hard water, ScaleGuard units use a revolutionary electromagnetic technology to both prevent the ongoing build-up of scale and eliminate historical scale build-up in water delivery systems and machinery.
"AquaPure is expected to be a very suitable partner for Megola. Their standing within the Toronto market, past sales history and knowledge in this industry should lead to considerable numbers of ScaleGuard units being sold for residential uses in AquaPure's territory. The future looks ever brighter since AquaPure is also expanding as a franchise, which will likely translate into even more distributors of Megola's product lines," adds Joel Gardner, Chief Executive Officer of Megola, Inc.
About AquaPure
Aqua Pure Systems, Inc., operates nine retail outlets and is a distributor of water filtration, treatment and purification products and is a provider of water-related services specializing in a variety of drinking water and total home systems, including reverse osmosis, ultraviolet light, under-sink and countertop filters, as well as dispensers, water coolers, and distillers. Many of these products can be used to reduce or remove water contaminants such as bacteria and viruses (Cryptosporidium, Giardia, etc.), iron, lead, chlorine, and sediment, whether you use water from a public or private source. Megola's ScaleGaurd systems will be carried throughout these outlet stores and AquaPure will be using their present sales force in the marketing of these systems to their customers. Consumers will also be able to purchase the ScaleGuard product line directly online. For more information on AquaPure, visit their website at http://www.aquapure.ca.
About Megola
Megola (www.megolacorp.com), which went public last year, is in the process of greatly expanding both the scope of its offerings and its reach throughout the global marketplace. The company announced earlier this year that it has launched a new business model, which it believes could significantly boost its revenues. Under this new model, the company has begun partnering with clients to provide "tailor-made" solutions to the clients' air/water-quality problems and then share in the cost savings generated through theses partnerships. The company also entered into an agreement to cross-promote its products with Chinese market leader, Dalian Bingshan H2O3 in Asia. This agreement is already leading to significantly increased revenues in new overseas markets.
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.