SmarTire Australian Distributor Wins OEM Supply Agreement

Holden Special Vehicles to offer SmarTire TPMS as standard equipment on new series of vehicles

RICHMOND, BC, Sept. 30 -- SmarTire Systems Inc. (OTCBB: SMTR) announced today that its Australian distributor Autron Electronics has signed an agreement with Holden Special Vehicles (HSV) to supply the soon to be released all wheel drive series of vehicles with SmarTire tire pressure monitoring systems (TPMS) as standard equipment. HSV creates niche premium performance luxury cars sourced from Holden Ltd., a subsidiary of General Motors Corporation. Holden represents over 25% of the Australian domestic automobile market.

The new HSV all wheel drive series will be unveiled at the Sydney Motor Show from October 16th to 26th. To facilitate the seamless integration with the high quality dash layouts on the HSV models, Autron and SmarTire have developed a custom circular gauge display that has the same features and functionality of the standard SmarTire Full Function Display. This new gauge allows for the checking of tire pressures while driving and alerts the driver to a loss of tire pressure.

In addition to the HSV all-wheel drive models, the SmarTire system will soon be offered as an option across the full range of HSV vehicles. Joe Xuereb, National Sales Manager for Autron commented, "Once HSV experienced the SmarTire system, they were hooked on the added safety and benefits that the system would provide their customers. The deal clincher was the development of the circular gauge, which allows the system to be effectively installed as an OEM option in the instrument pod fitted across the HSV model range. Following its introduction on the HSV range, the SmarTire system will also be offered as an option on the Holden range of vehicles within approximately six months."

"We understand that Holden will be exporting vehicles to the USA in the future and the ability to include a NHTSA compliant tire monitoring solution is key to making the introduction a success," stated Nigel Hammond, General Manager SmarTire Europe. "We see the addition of a circular gauge to our product portfolio as an ideal solution in offering OEMs an easily integrated tire monitoring product. Not only will it give us the ability to support the HSV business via Autron but it will also open the door to any vehicle manufacturer currently using a circular gauge display."

Autron Electronics, based in Melbourne, manufactures and markets a range of cruise control and electronic drive-by-wire systems under the brand name of Auscruise. Autron Electronics is the official importer for SmarTire in Australia and New Zealand. Additional information can be found at Autron.com.au.

SmarTire Systems Inc. develops and markets proprietary tire monitoring systems for the transportation industry worldwide. Incorporated in 1987, SmarTire is a public company with offices in North America and Europe. Additional information can be found at www.smartire.com.