Tice Announces Fiscal 2003 Results

    KNOXVILLE, Tenn.--July 3, 2003--Tice Technology, Inc. (OTCBB:TICE) reported a net loss from continuing operations of $980,246, or $0.04 per diluted share for the fiscal year ended March 31, 2003, compared to a net loss from continuing operations of $518,357, or $0.02 per diluted share in the previous fiscal year. The Company posted a net loss, including both continuing operations and discontinued operations, of $1,694,281, or $0.07 per diluted share for the fiscal year ended March 31, 2003, compared to a net loss of $5,293,423, or $0.23 per diluted share in the previous fiscal year.
    Tice is currently negotiating an extension of time to repay certain secured creditors. Two lending institutions and a pool of private investors hold notes from Tice in the amount of $400,000, $375,000 and $580,000, respectively. These notes are due ranging from June 30 to July 15 of 2003, and Tice is currently negotiating the extension of this time until December of 2003, when it expects to complete its financing related to the Atmospheric Glow Technologies, LLC ("A-G Tech") acquisition described below. The two lending institutions have granted tentative approval to the request, and Tice is holding ongoing discussions with the pool of private investors. The notes payable to the pool of private investors is collateralized by the Company's Electronic Gearing Technology patent and proceeds from this patent which includes a license agreement with an international sewing machine manufacturer. In addition, the Company is in negotiations with several potential investors to 1) provide interim bridge funding of up to $1.5 million to Tice for operations and advances to A-G Tech until the consummation of the A-G Tech acquisition later this year and 2) equity investment of up to $7 million to fulfill the requirements of the letter of intent with A-G Tech. While the Company can make no assurances that this necessary funding will be obtained or all debt negotiations will be successful, the Company anticipates it will successfully consummate its acquisition of A-G Tech by December 31, 2003.
    During the past fiscal year, the Company signed a letter of intent to purchase the assets of Atmospheric Glow Technologies, LLC. Assuming execution of a definitive agreement, Tice will acquire the assets of A-G Tech, subject to Tice meeting certain conditions. These include Tice meeting a minimum threshold of $6.5 million in new funding, divesting itself of both LandOak Company and MidSouth Sign Company, obtaining the approval of its shareholders for an increase the number of authorized shares, completing a definitive purchase agreement with A-G Tech by December 31, 2003, and other more minor conditions. If this transaction is successfully consummated, A-G Tech will receive approximately 87.5 million Tice common shares and 500,000 Tice Class B common shares. A portion of the new funding requirement has been met and the Company has completed the divestiture of MidSouth, and other conditions are expected to be met by December 31, 2003.
    A-G Tech is a Tennessee limited liability company formed to advance the patented One Atmosphere Uniform Glow Discharge Plasma (OAUGDP(TM)) technology and develop related products for commercialization in multiple large international markets. Management believes that the OAUGDP is an exciting breakthrough technology offering capabilities that other plasma technologies cannot provide. Because of its proprietary unique features, OAUGDP costs less to generate and therefore Tice management believes that its products will prove viable in a number of markets where other plasma technologies are too expensive and/or technologically impracticable. Moreover, AG Tech's OAUGDP is expanding the applicability of its technology and has targeted new market and product opportunities to create additional value.
    Tice is a publicly traded holding company now with two wholly owned subsidiaries: LandOak Company, Inc., until recently, an automobile and equipment rental and leasing Company for individual and commercial clients throughout the upper East Tennessee area. LandOak is expected to be divested by December 31, 2003. Tice Engineering and Sales, Inc. (founded in 1965), until August 2001, provided engineering and technical solutions for specialized, industrial sewing equipment and is widely known in the apparel industry for its patented Electronic Gearing Technology. Recently Tice Engineering and Sales was awarded another patent for its Electronic Gearing Technology, Inc. in Mexico. The Company receives royalty income on this patented technology through a license agreement with an international sewing machine manufacturer.
    Statements in this release that are not historical facts are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In addition, words such as "believes", "anticipates", "expects", and similar expressions are intended to identify forward looking statements. Such forward looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievement of events of the Company, or events, or timing of events, relating to the Company to differ materially from any future results, performance, or achievements of the forward-looking statements. The Company cannot assure that it will be able to anticipate or respond timely to the changes, which could adversely affect its operating results in one or more fiscal quarters. Results of operations in any past period should not be considered indicative of results to be expected in future periods. Fluctuations in operating results may result in fluctuations in the price of the Company's securities.