Mr. Osvaldo Iadarola reports

Audiotech has arranged a private placement of a total of 610,000 units to 18 investors at a price of 50 cents, to raise a total of $305,000.00. Each unit includes one common share and one detachable non-transferable share purchase warrant entitling the purchaser to purchase an additional share in the capital of the company over a term of two years at an exercise price of 60 cents per share until the date which is 12 months following the date of issuance of the unit, and at an exercise price of 70 cents after 12 months but prior to 4:30 p.m. (Kamloops time) on the day which is 24 months following the date of the issuance of the unit.

The private placement is subject to the acceptance of the Canadian Venture Exchange.