Clearford Announces Resumption of Trading and Business Direction



    OTTAWA, July 15 /CNW Telbec/ - Clearford Industries Inc. ("Clearford",
the "Company", TSX-V: CLI) today announced that on July 15, 2008, the TSX
Venture Exchange approved the trade resumption of Clearford's stock for
July 17, 2008. Trading of the Company's stock had been halted on December 13,
2007 as a result of the announced Letter of Intent ("LOI") signed to purchase
a private precast concrete company in Ontario. The name of the target company
could not be disclosed at that time, per a term of the LOI. The transaction
considered in the LOI and subsequent Share Purchase Agreement ("SPA") has been
assigned as disclosed by the Company in a press release on June 25, 2008.
    The divestiture of the Brooklin Concrete Division assets and assignment
of the SPA, announced on June 25, 2008 (the "Transaction") have a July 31,
2008 target closing date and are subject to shareholder approval, TSX Venture
approval and the standard terms of a transaction of this nature. Shareholders
are advised to review the fulsome disclosure provided in the management
information circular filed on SEDAR. Upon the successful conclusion of the
Transaction, Clearford will be exclusively focused upon the wastewater market.
    Over the course of the two and one half years that Clearford has owned
Brooklin Concrete, the Brooklin Division has provided approximately $5,000,000
of financial resources to the Wastewater Division. In addition, the
Transaction indicated above is expected to result in the immediate repayment
in full of Clearford's bank debt and convertible debentures and forecasted to
leave the Company with a tangible net asset position of $4,000,000, all of
which will be applied to fund the Wastewater Division.
    Research on the SBS(TM) system has been directed to achieve the
conversion of sewage into electricity and clean water, with no requirement to
pump the clarifier tanks for periods as long as the design life of a historic
sewer system. Specific areas of research that have been undertaken (and in
some cases the filing of provisional patents), include: advancements in the
conversion of the solid portion of sewage waste into methane gas; the
collection and conveyance of this gas for conversion into electricity; and
matching the effluent flowing from SBS(TM) with world-leading treatment
options.
    "The Board will consider adjustments in management to reflect the focus
of the Company after the sale of the Concrete Division, and expects to
announce the results of this review prior to the Annual General Meeting on
July 30, 2008. The period of Clearford's stock halt was both a long and
productive one for Clearford. We have been focused on the global market and
the advancements of the SBS(TM) system, both of which Management believes are
required to become a world leader in the design and license of wastewater
infrastructure," stated Bruce Linton, President and CEO of Clearford.
"Wastewater and water infrastructure is unavailable to nearly half the
population of the world. Further, for many of those with sewage and water
systems, the systems are of a quality or age that demand wholesale
replacement. The enhanced SBS(TM) system offers a durable, economical solution
that will allow communities to satisfy per capita demand for clean water with
as little as 10% of the water required by the current western standard sewage
systems."

    HSBC Covenants
    --------------

    It has been confirmed as of June 30, 2008, Clearford was in contravention
of certain covenants of its facility letter agreement with HSBC, including the
ratio of EBITDA to Interest Expense covenant, the ratio of Funded Debt to
EBITDA covenant and the current ratio covenant. HSBC has agreed to extend the
credit facility terms and defer obligations of the Company under its terms to
July 31, 2008, which is the scheduled closing of the Transaction that was
announced June 25, 2008.

    Clearford also confirmed today that pursuant to the Intercreditor
Agreement entered into with HSBC and BNY Trust Company of Canada as previously
announced on May 8, 2008, no payments will be made to the debenture holders,
including the interest payment due and owing on June 30, 2008, and such
payments will be postponed until the closing of the Transaction on July 31,
2008.

    Forward-Looking Statements

    Any forward looking statements made in this press release involve risks
and uncertainties, and actual results could differ materially from those
expressed or implied in such statements. However, except as expressly required
by applicable securities law we disclaim any intention and assume no
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release. More detailed information of the matters
    described herein is included in the public documents Clearford files from
    time to time with Canadian securities regulatory authorities.

    About Clearford Industries Inc.

    Clearford Industries Inc. is comprised of two divisions: the Wastewater
Systems Division and the Brooklin Concrete Division. The Wastewater Systems
Division designs and implements the patented Small Bore Sewer(TM) (SBS(TM)), a
watertight small diameter wastewater collection system for developers,
municipalities and First Nations communities who need to create, expand or
upgrade their sewage systems. This solution provides servicing with superior
operational and environmental performance at a significantly lower cost when
compared to historic gravity sewers. With its first installation in 1989, the
SBS(TM) has since had several installations within Canada and the U.S. The
Brooklin Concrete Division has been in operation since 1952, with 4 locations
in Ontario, including: Brooklin, Newmarket, Huntsville and Haliburton. A
leading producer of septic tanks in Ontario, Brooklin manufactures precast
concrete products ranging from interlocking pavers and patio slabs, to
retaining walls and storage structures. For more information on Clearford
Industries Inc., please visit www.clearford.com.




For further information:

For further information: Mr. Bruce Linton, President and CEO, Clearford
Industries Inc., (613) 599-6474 ext. 301, www.clearford.com

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Clearford Industries Inc.

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