TSO3 and 3M continue contract negotiations; parties agree to extend timeline by Dec 21

TSO3 Inc. ("TSO3") (TSX: TOS), an innovator in low temperature sterilization technology for medical devices in healthcare settings through the use of ozone, today announced that discussions with 3M continue, with the intent of signing a definitive agreement which would provide 3M with a global license and distribution rights to TSO3's STERIZONE 125L sterilizer including new cycles recently announced by TSO3.

On September 2nd TSO3 announced that the parties had agreed to a ninety (90) days exclusive period for the purpose of completing due diligence and negotiating a definitive agreement. "Teams from each company have worked diligently to complete the significant amount of due diligence that is customary in such agreements and we are pleased with the positive feedback received from 3M through this entire process" commented R.M. (Ric) Rumble, President and CEO of TSO3 "With a small amount of work still to complete, the parties have agreed to extend the exclusivity period till December 21, 2009".

"We have completed our due diligence review and the companies are now working towards finalizing an agreement for defined rights to TSO(3)'s sterilization technology" stated Mark A. Schroer, Business Development Manager at 3M Infection Prevention Division. "Significant resources have been applied from both companies and we believe that we will be able to bring negotiations to a conclusion within the revised timeline".