Rubber Technology International Inc. Reports Profitable Quarter; Revenues for Second Quarter Reach $629,134

    LOS ANGELES--July 11, 2001--Rubber Technology International Inc. (OTC BB:RTEK) today reported unaudited revenues for its Second Quarter ended May 31, 2001, of $629,134 compared with $174,916 in revenues for the Second Quarter of fiscal year 2000.
    The company reports that, compared to the same quarter last year, unaudited EBIDTA (earnings before interest, depreciation, taxes and amortization) profit for the Second Quarter ended May 31, 2001, is $132,366 compared with a loss of $248,196 for the Second Quarter ended May 31, 2000, resulting in an overall increase in EBIDTA of $380,562. The company expects to file its quarterly report on Form 10-QSB with the Securities and Exchange Commission in a timely manner.
    According to Tom Reichman, chief operations officer, "The improved revenues resulted from fulfilling deliveries of crumb rubber for use in the rubberized asphalt industry in connection with the contracts that we announced in our previous press releases."
    Reichman continued, "All facets of the company are meeting our growth plans with regard to manufacturing and deliveries."

    ABOUT THE COMPANY:
    Rubber Technology International Inc. is a leader in the tire recycling industry and receives scrap tires in compliance with California State law that prohibits putting whole scrap tires in the dump. RTI offers an ecological solution to recalled and scrap tires, grinding them into crumb rubber for use in their molded products and for sale as a raw material as well as for use as safety landing material under playground equipment. The largest quantity of crumb rubber is sold to the asphalt industry for use in rubberized asphalt, which is a rapidly expanding industry.

    Statements about the company's future expectations and all other statements in this press release, other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E,of the Securities Exchange Act of 1934, and as the term is defined in the Private Litigation Reform Act of 1995 that involve risks and uncertainties including, without limitation, continued acceptance of the company's products, legislative and marketplace changes, and governmental regulations affecting the company's operations. The company intends that such "forward-looking statements" be subject to the safe harbors created thereby. Since these statements involve certain risks and uncertainties and are subject to change at any time, the company's actual results may differ materially from expected results.

    More information about potential factors that could affect Rubber Technology's business and financial results is included in the company's quarterly reports on Form 10-QSB and annual reports on Form 10-KSB on file with the Securities and Exchange Commission. The company cautions investors that its business and financial performance are subject to substantial risks and uncertainties.