Boreal Productions Inc. (OTCBB

BPRO) Announces Signing of an LOI With DSG Tag Systems Inc. - Seite 2

The letter of intent is non-binding with respect to commercial terms, but includes binding obligations typical in the circumstances, including those relating to a period of exclusive dealing and confidentiality. No finder's fees will be paid as a result of this transaction.

Further details concerning the Proposed Transaction and DSG (including financial information) will be set out in a further comprehensive press release, when a definitive agreement is reached between the parties.

All information contained in this press release relating to DSG was provided by DSG to Boreal for inclusion herein. Boreal has not independently verified such information and shall bear no liability for any misrepresentation contained therein.

Completion of the Proposed Transaction is subject to a number of conditions, including, but not limited to, shareholder approval of DSG. The Proposed Transaction cannot close until the required conditions have been met. There can be no assurance that the Proposed Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed by Boreal in connection with the Proposed Transaction, any information released or received with respect to the Proposed Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Boreal should be considered to be highly speculative.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.

Forward-looking statements

This news release contains certain "forward-looking statements" including, for example, statements relating to the completion of the Proposed Transaction (including its proposed terms and conditions) and Private Placement. Such forward-looking statements involve risks and uncertainties, both known and unknown. The results or events depicted in these forward-looking statements may differ materially from actual results or events. The forward-looking events and circumstances discussed in this release, including the completion of the Proposed Transaction (including its proposed terms and conditions) and the Private Placement, may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting, Boreal or the Resulting Issuer, including failure to obtain regulatory or shareholder approvals, market conditions, economic factors, the state of equity markets generally and risks associated with growth, the protection of intellectual property and competition. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, Boreal and DSG disclaim any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

Boreal Productions Inc.
[e-mail]
310.510.6826

DSG Tag Systems Inc.
[e-mail]
www.dsgtag.com
604.575.3848 x 113