SmarTire Announces Changes to Board of Directors

Moves Reflect Long-Term Corporate Strategy

RICHMOND, British Columbia, May 10 -- SmarTire Systems Inc. today announced several changes to its board of directors and leadership structure, and CEO David Warkentin commented on the company's long-term corporate strategy.

Former Chairman of the Board Robert Rudman and director Johnny Christiansen have resigned in order to pursue other opportunities. William Cronin, a board member since 2001, and previously from 1995 to 1998, has been appointed to serve as Interim Chairman. David Warkentin, SmarTire's CEO, said, "We wish Robert and Johnny all the best in their future endeavors, and appreciate their efforts in getting SmarTire to this point in our corporate evolution."

Messrs. Rudman and Christiansen have agreed to accept 5,719,601 common shares of the company in lieu of approximately US$113,000 in outstanding director's fees.

In other board news, David Warkentin and George O'Leary have joined the board of directors. Mr. O'Leary is the CEO of SKS Consulting, which he formed in 2000 with the mission to help companies focus on executing their core business strategy. SKS Consulting is currently a consultant to SmarTire. From 1996 to 2000, Mr. O'Leary was CEO and President of Communication Resources Inc., where annual revenues grew from $5 million to $40 million during his tenure.

"These changes reflect SmarTire's growth process and strategic focus," Warkentin said. "As we move into an era in which the trucking and fleet industry becomes our primary market, we are focused on our products, and on taking SmarTire to a higher performance level with efficient operations, increased revenues and profits. We plan to focus on fiscal disciplines and demonstrating our achievements to shareholders through clearer communications and a more focused strategy."

As part of its focus on better communications with shareholders, SmarTire also announced today that it has engaged the services of Walek & Associates, a New York-based public relations and investor relations agency.

The company also announced that it has promoted Greg Tooke to Vice President, Product and Supply Chain. A nine-year SmarTire veteran, Tooke was previously Director of Business and Product Development.

About SmarTire Systems Inc.

SmarTire develops and markets proprietary advanced wireless sensing and control systems worldwide under the SmartWave(TM) trademark. SmarTire has developed numerous patent-protected wireless technologies and advanced tire monitoring solutions since it was founded in 1987. Its proprietary SmartWave platform provides a foundation for the addition of multiple wireless sensing and control applications. The initial product release on the SmartWave platform is SmartWave TPMS, which leverages on SmarTire's background and knowledge in tire monitoring solutions. SmarTire has offices in North America and Europe. For more information, visit http://www.smartire.com/.