SmarTire Systems Engages U.S. Investment Banking Firm

    RICHMOND, British Columbia--April 15, 2002-- SmarTire Systems Inc. , a leading developer of tire pressure and temperature monitoring technology, today announced the engagement of H.C. Wainwright & Co., Inc., a full service U.S. investment banking firm specializing in small cap growth companies, as the Company's financial advisor.
    Founded in 1868, H.C. Wainwright is one of the oldest private, independent investment banking firms in the U.S. With its principal offices in New York and Boston, Wainwright provides integrated investment banking, research, and capital market capabilities for companies in various sectors including technology and manufacturing.
    "We are extremely pleased to have such a highly respected firm join us at this critical stage in our Company's development," said Robert Rudman, President and Chief Executive Officer of SmarTire Systems Inc.
    "Tire pressure monitoring systems will be mandatory on passenger cars and light trucks after 2003 in the United States creating a surge in demand for this technology," added Rudman. "SmarTire is aggressively pursuing these mass market opportunities as well as developing tire monitoring solutions for other transportation applications including motorcycles, commercial, recreational and industrial vehicles."
    In addition to the Wainwright engagement, the Company completed a private placement for gross proceeds of US$1.31 million through the issuance of 750,000 shares. The financing was arranged with a U.K. institutional investor. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. Net proceeds from the private placement will be used for debt repayment and working capital.
    Since 1987, SmarTire has pioneered the research and development of tire monitoring technology and has advocated that tire monitoring will become the next major breakthrough in vehicle safety following airbags and anti-lock brakes. With the new Transportation Recall Enhancement Accountability and Documentation (TREAD) Act, improved tire safety standards will require tire pressure warning systems on new passenger cars and light trucks produced in the U.S. after 2003.
    SmarTire develops and markets technically advanced tire monitoring systems for all sectors of the automotive and transportation industries. Additional information can be found at www.smartire.com
    Kevin A. Carlson, C.A., Chief Financial Officer and Managing Director
    This news release may include statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Forward-looking statements in this release include, but are not limited to, those statements regarding, the anticipated demand for tire monitoring technology, sales of SmarTire's products and technology to original equipment manufacturers, the size of the market, the ability of the Company to complete additional financing, and, the impact and scope of the new United States legislation. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Factors that could cause actual results to differ materially include general factors such as insufficient investor interest in the Company's securities, the impact of competitive products and pricing and general economic conditions as they affect the Company's customers, and specific risks such as the uncertainty of the requirements demanded and timing specified by U.S. government, reliance on third party manufacturers to product SmarTire products and technology, and, the Company's ability to source product components in timely manner. Readers should also refer to the risk disclosures outlined in the Company's annual report of Form 10-KSB for the last completed fiscal year filed with the SEC.