– VANCOUVER, BC, CANADA – Service Systems International, Ltd. (OTCBB: SVSY) has granted an exclusive manufacturing license for its Ultra Guard® UV (ultraviolet) wastewater disinfection systems to Vitzrosys Co., Ltd, one of Korea’s leading high technology suppliers to that country’s utilities sector.

This agreement provides Vitzrosys with an exclusive license to manufacture Ultra Guard Single Lamp Reactor (SLR) systems for sale and installation in South Korea over a ten-year period. Service Systems will contribute a key component produced by its subsidiary, UV Systems Technology, Inc. in North America. Vitzrosys also has the exclusive right to market the systems within South Korea and the non-exclusive right to market the systems in surrounding territories not serviced by a sales agent of Service Systems.

Service Systems received a cash payment upon ratifying the agreement and earns a royalty paid on every unit produced by Vitzrosys for the life of the contract. The amount of the one-time payment and the royalty fee remain undisclosed as part of Service Systems’ strategic marketing practice.

In aligning forces, Service Systems and Vitzrosys are positioned to capture significant market share in one of the fastest growing geographical markets for UV disinfection. The Korean government has announced its intention and committed funds to aggressively introduce disinfection technology into state-owned wastewater treatment facilities immediately. Vitzrosys estimates the government’s expenditures for disinfection equipment will grow to USD $40 million per year by 2004 and estimates its annual share of that market to reach USD $10 million (2004). Vitzrosys already holds over 40 percent market share of all the Distributed Control Systems (DCS) & Supervisory Control & Data Acquisition (SCADA) Systems sold to the same client base.

Korean governmental guidelines make purchasing foreign manufactured systems prohibitive. Under this new arrangement, Service Systems is effectively in business in Korea immediately, without capital outlay or added duties (typically 15%) and with the benefits of low cost, quality manufacturing in Asia.

Mr. Peter Colak, Service Systems VP of Sales and Marketing, explains “We are especially pleased when companies, founded on a rich base of experience that includes previous sales of competing UV equipment, choose the Ultra Guard® system. Vitzrosys’s power equipment is distributed throughout large-scale municipal applications and most public buildings (hospitals, airports, etc.) in Korea. Service Systems’ exclusive association with Vitzrosys Group, which was initiated by this leading technology supplier, is further evidence of our ability to compete on a global scale.”

Expressions of interest and requests for additional information should be directed to Service Systems at www.servicesystems.com or www.ultraGuard®.com.