DATE: November 12, 1998
Trading Symbol: IHI (VSE) OTCBB IHITF (IHITF.OB for Yahoo)
PROGRESS REPORT ON IHI'S ACTIVITIES, PATENTS, FINANCING AND JOINT VENTURE PARTNERSHIPS
Hi-Tech to Build Show Home for the 1999 BC Home & Garden Show
Mr. Roger A. Rached, President of INTERNATIONAL HI-TECH INDUSTRIES INC. (the "Company") is very pleased to announce that the Company has been asked to provide the show home, in conjunction with the Greater Vancouver Home Builders' Association ("GVHBA"), for the 1999 B.C. Home & Garden Show to be held February 17-21, 1999 in B.C. Place Stadium in Vancouver. Designed by prominent architects, Dr. Omar Take of Paris and Mr. Gerald Hamilton of Vancouver, the steel and insulated-concrete home will be manufactured in the Company's research and development facility in Surrey then moved to the Company's new factory in Delta, B.C. for concrete applications and finishing. A rapid-construction demonstration will require the Company to erect the house in approximately two days and dismantle it after the show in the same amount of time. As a guarantee, the Company has posted a $100,000 letter of credit. The home will be showcased to 70,000 visitors and will then be moved to a site in central Vancouver at 846 King Edward Boulevard for display after the show, where it will be open for 12 months for visiting delegations and serve as a showroom for suppliers who have generously contributed product to the Hi-Tech Home. All donations of product and cash will be publicly acknowledged, both at the Show and the display site. Check the Company's website in the coming weeks at www.ihi.ca for updates.
18 New Patent Announcements
The Company is also pleased to announce that patents have been granted for Cuba, Burkina Faso, Benin, Central African Republic, Congo, Ivory Coast, Cameroon, Gabon, Guinea, Mali, Mauritania, Niger, Senegal, Chad and Togo. Additional divisional grants have also been received from Australia, Bangladesh and Pakistan.
Factory Progress
Painting and building envelope sealing and cladding for the Hopcott Road factory are almost completed and are in accordance with the long-term international warranty program specifications. Windows, storm water drainage system and the infrastructure have been completed. Contracts have now been let for the sophisticated and state of the art electrical and mechanical systems. Automatic overhead doors have been ordered and will be installed by the end of November.
Line of Credit Secured for Factory Machinery
The Company has received a line of credit from a related party for a total of $1 Million. The term of the line of credit is one year with an interest rate of 10%. The line of credit will be used for the purchase of manufacturing equipment for the Hopcott Road factory.
Equipment Lease Update
A detailed announcement will be released very soon.
Canadian Distribution Agreement Signed
Hi-Tech Canada Development Corporation (HCD), the Company's joint venture partner for Ontario, has been granted an exclusive distribution right for the Hi-Tech System in the Prairie Provinces in Canada. In addition, HCD has a non-exclusive distribution right for the rest of Canada. "HCD is a very prominent and professional group who we are very pleased to have representing the Hi-Tech System," said Mr. Rached. HCD can be reached through their offices in Calgary at: Tel: (403) 241-8882 or Fax: (403) 547-1490.
Three Additional U.S. Joint Venture Partnerships
The Company is pleased to announce that on November 8, 1998 its majority-owned subsidiary, IHI International Holdings Ltd. ("IHI international") has established its ninth, tenth and eleventh joint ventures for the United States with HAD 2000 Corp. a related company to Hi-Tech America Development Corp.
The territories cover the States of North and South Carolina and the State of Ohio. HAD 2000 Corp. will contribute U.S. $10 million for a 49% interest in each of the three factories in the above mentioned states. An additional irrevocable down payment of U.S $300,000 on account of a license fee of U.S. $3,000,000 covering the above three states has been paid. In addition, HAD 2000 Corp. will pay to IHI International the remainder of the license fee covering the above states in two installments, U.S. $1,800,000 by December 31, 1999 and U.S. $900,000 by March 31, 2000.
The business venture will involve the application in the above territories of the building technology licensed to IHI International. "We are ahead of schedule on our joint venture partnership business plan and we are excited to have so far twenty joint venture factories committed to be established worldwide with irrevocable down payments totaling U.S. $3,170,000," said Mr. Rached.
Through IHI International, the Company will continue to develop international strategic alliances in order to generate revenue and to market the Company's products on a worldwide basis. Further announcements will be released very soon.
International Hi-Tech Industries Inc. is a company whose principal business is the development and commercialization of a new building system in Canada, and internationally through its subsidiary, IHI International Holdings Ltd.
ON BEHALF OF THE BOARD OF DIRECTORS
THE VANCOUVER STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
"ROGER A. RACHED"
ROGER A. RACHED, PRESIDENT
The company's head office: phone (604) 733-5400
Or USA call 1-800-838-8090
E-Mail: info@ihiintl.com
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