Pioneering Announces 2010 Third Quarter Results

/NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA/

Reports Another Profit in Q3 and its Ninth Consecutive Quarter of Revenue Growth

MISSISSAUGA, ON, Aug. 31 /CNW/ - Pioneering Technology Corp., TSX-V:PTE ("Pioneering" or the "Company"), an energy smart product innovation and consumer goods company, announced its 2010 third quarter results for the period ended June 30, 2010. Detailed results are available on SEDAR (www.sedar.com).

The Company continued to grow its top-line during the period, while also investing time, money and resources commercializing new innovative customer need-driven products directed at its existing customer and distribution base. At present, results are driven almost exclusively from Pioneering's Safe-T-element cooking technology business. Sales continue to trend upwards as adoption for this product in its primary channels (affordable, senior's, university and military multi-residential housing) and with key influencers continues to grow.

During the three months ended June 30, 2010, Company business highlights from the MD&A include the following:

    
    -  Ninth consecutive quarter of revenue growth.
    -  Fourth consecutive quarter of operating profit.
    -  Q3 revenue increased 13% vs. Q2 and up 110% vs. Q3 2009.
    -  A growing Safe-T-element sales pipeline and continued progress with
       key influencers and through the U.S. Vision 20/20 task force.
    -  Introduction of the Safe-T-sensor for microwaves - a natural line
       extension, is already enjoying success - in July, Ohio University
       received $350,000 from FEMA for the purchase of this product - this is
       the biggest sale to date of a growing customer base for this product.
    -  Recognition from the US federal government for both products is
       starting to significantly impact sales velocity.

    Highlights for the nine months ended June 30, 2010 include:

    -  Revenue of over $2.2 million is up over 175% vs. the same period in
       2009.
    -  Revenue for the rolling 12 months is $2.8 million - up 200% versus the
       previous 12 months.
    -  Safe-T-element unit sales for the nine months are up 118% vs. total
       2009 year.
    -  Gross margins for sales of the Safe-T-element are above 57%.
    -  Operating income has increased $588,899 vs. year ago.
    -  Net income has increased $464,122 vs. year ago.
    -  Cash flow from operations has increased $507,198 vs. year ago.

    Q3 2010 and year-to-date Financial Summary ($'000's)

    -------------------------------------------------------------------------
                                     Q3 2010   Q3 2009   2010 YTD   2009 YTD
    -------------------------------------------------------------------------
    TOTAL REVENUE                       $860      $409     $2,240       $812
    -------------------------------------------------------------------------
    Expenses                            $368      $207     $1,000       $764
    -------------------------------------------------------------------------
    Operating income (loss)              $72       $(3)      $275      $(315)
    -------------------------------------------------------------------------
    Net income (loss)                    $19      $(11)      $113      $(351)
    -------------------------------------------------------------------------
    Net income per share (loss)       $0.001   $(0.001)     $0.01     $(0.02)
    -------------------------------------------------------------------------
    

Pioneering CEO Kevin Callahan said of the results, "We are very pleased with where the Company is now going. Revenue continues to increase, the Company has been profitable for four straight quarters, we have made significant improvements to our Balance Sheet and we are investing in the business. Most importantly we have real, ownable product innovation in big product categories. Stay tuned because there is a lot more to come."

The statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, competition in the Company's target markets, the demand for the Company's products, the availability of funding, the efficacy of the Company's technology and governmental regulation. These forward-looking statements are made as of the date hereof an, except as required by applicable law, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations and projections.

The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy and accuracy of this release.

SOURCE PIONEERING TECHNOLOGY CORP.

For further information: For further information: Kathy Skretkowicz at (905) 712-2061 x229

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PIONEERING TECHNOLOGY CORP.

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