PowerTech reports significantly increased sales for its first quarter



    TERREBONNE, QC, Feb. 25 /CNW Telbec/ - PowerTech Corporation Inc.
"PowerTech" (TSX-V: PWB) today reported its results for the first quarter
ended December 31, 2008. Revenues increased to $423,059 from $84,932 for the
same quarter last year. The unaudited net loss for the quarter decreased to
$325,170 ($0.01 per share) compared to a net loss of $571,510 ($0.02 per
share) for the same period last year.

    
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    Selected financial information

    For the three-month period ended December 31(*)
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                                                   Q1/2009           Q1/2008
                                                 ----------------------------

    Revenues                                       423,059            84,932
    Net Loss                                      (325,170)         (571,510)
    Basic and diluted loss per share                 (0.01)            (0.02)
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    (*) unaudited

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    Additional Highlights

    - Significant increase in quarterly revenues largely explained by:
      - Continued deliveries in regards to the OEM agreement with NPK
        Construction Equipment covering the United States, Mexico and Latin
        America.

    - Gross margins for the quarter ended December 31, 2008; represent 40.8 %
      of revenues compared to 8.0% of revenues for the period ended December
      31, 2007.
      - An increase in the number of units sold and the larger production
        runs allowed negotiating better supply terms.

    - The net loss was significantly lower than the corresponding quarter of
      2008;
      - Explained by higher revenues and better gross margins, as well as a
        series of measures taken at yearend aiming to reduce overall
        operating costs

    - PowerTech completed during the first quarter the first deliveries of
      the NPK personalised series 3000 PicBuckets(R). Similar to the series
      2000 NPK version, this new series partially falls under the minimal
      contractual quantities required by the distribution agreement signed
      with NPK Construction Equipment in February 2007.

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    Commenting on these quarterly results, Mr. Carol Murray, President and
Chief Executive Officer of PowerTech stated: "We are pleased with these recent
results reflecting the development and completion of new sales opportunities
as well as our improvements in supply chain and cost reductions. Furthermore,
having delivered the first units of the new series 3000 NPK personalised
PicBucket(R) and receiving positive feedback in regards to the upcoming series
5000 PowerTech PicBucket(R), of which a first unit has already been sold, we
feel we are in good shape to continue our long term growth. We remain excited
with the growing acceptance of our technology as a mean to significantly
enhance productivity especially for large infrastructure works and intend to
fully benefit from this opportunity to the benefit of our shareholders."

    
    Additional financial details about the Fiscal year ended
    December 31, 2008
    

    The financial information in regards to the three-month period ended
December 31, 2008 should be read in conjunction with the financial statements
and the interim management and discussion analysis dated December 31, 2008.
These documents are available at www.sedar.com.

    Outlook

    The Company's continues to focus on the expansion of its distribution
network, including the deployment of the series 5000 PicBucket(R) towards
applications with immediate benefits such as such as concrete crushing and
recycling. Despite the challenging business conditions currently prevailing in
North-America and abroad, PowerTech believes that it stands to benefit from an
increase in infrastructure spending and from the need for the industry to
increase its productivity. The Company is currently working on acquiring
additional financing that will provide financial resources for an additional
12-24 months. However, due to current financial and economic conditions it may
be difficult to raise additional capital in the short term or to conclude
appropriate financings at advantageous terms. The Company has obtained some
short term financing such as financing of SR&ED credits and purchase orders.
The Company has also reduced its overall cash burn until it can secure
additional financing.

    Forward looking statements disclaimer

    Certain statements included herein, including those that express
management's expectations or estimates of our future performance, constitute
"forward-looking statements" within the meaning of applicable securities laws.
Forward-looking statements are necessarily based upon a number of estimates
and assumptions that, while considered reasonable by management at this time,
are inherently subject to significant business, economic and competitive
uncertainties and contingencies. Investors are cautioned not to put undue
reliance on forward-looking statements. We disclaim any intent or obligation
to update publicly these forward looking statements, whether as a result of
new information, future events or otherwise.

    
    "Neither TSX Venture Exchange nor its Regulation Services Provider (as
    that term is defined in the policies of the TSX Venture Exchange) accepts
    responsibility for the adequacy or accuracy of this release."
    

    About PowerTech (www.powertechci.com)

    PowerTech is the only company in the world that manufactures and
commercializes percussion technology with interchangeable tools and
accessories for the construction, demolition and military industries.
    PowerTech's percussion technology is a technological breakthrough that
combines the power of a hydraulic hammer with the stripping force and
manoeuvrability of a conventional bucket. Powertech's products are marketed
under the PicBucket(R) and PicHammer(R) names as well as under world renowned
private label brands thru OEM agreements with large manufacturers.
    The trademarks PicBucket(R), PicHammer(R) and the Powertech logo are
registered trademarks of PowerTech Canada Inc.
    %SEDAR: 00020841EF




For further information:

For further information: Mr. Carol Murray, President and Chief Executive
Officer, PowerTech Corporation Inc., (450) 963-6400, #101, Fax: (450)
963-4411, carol.murray@powertechci.com; Mr. Marc Jasmin CMA, Partner,
Jasmin-Dumais Financial Communications Inc., Investor Relations, (514)
231-2360, Fax: (514) 221-3762, marc@comjamais.com

Organization Profile

POWERTECH CORPORATION INC.

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