welcome

Envirokare Tech, Inc. is engaged in the application design, development and manufacturing, utilizing proprietary thermoplastic composite technologies including TPF Thermoplastic Flowforming™ technology. Subsequent to end of the fiscal year ended December 31, 2004 and upon the closing of the Merger Agreement between the Company's subsidiary Envirokare Composite Corp. ("ECC") and Thermoplastic Composite Designs, Inc ("TCD") and of the Joint Venture Agreement (LRM Industries, LLC, or "LRM") between Envirokare Composite Corp. and NOVA Chemicals, Inc. described below, the Company's TPF Thermoplastic Flowforming™ business is being conducted through its position and interest in LRM.

technology

The TPF Thermoplastic Flowforming™ Process is a proprietary process developed by TCD, that enables the manufacture of large structural parts using long-fiber reinforced thermoplastic resins. The Process utilizes recycled or virgin resins and is designed to reuse its own production scrap, thereby eliminating production waste by-products. TPF Thermoplastic Flowforming™ process patents have been issued. These patents provide a system and method for forming an article from thermoplastic material and fiber.

Historically, advanced composite materials were utilized almost exclusively by the military and aerospace industries where such usage was normally restricted to the manufacture of small parts due to the inordinate cost of hand application, i.e., the process of manually applying layers of composite materials to a mold or shape. Envirokare believes that the TPF Thermoplastic Flowforming™ process provides a cost-effective alternative for the in-line production of larger, long-fiber reinforced plastic parts at very low processing costs. The Process has key advantages over many manufacturing processes currently in use such as compression molding, injection molding and rotational molding, including significantly, cost savings realized in the reduced labor required to create larger parts made using the TPF Thermoplastic Flowforming™ process. The cost required to assemble multiple smaller components to generate a complete larger part, which often occurs in current production environments, is higher than with the TPF Thermoplastic Flowforming™ process. Material costs will typically also be lower because of its use of recycled material, reuse of its own production scrap and in-line compounding, which is the process of mixing raw material components as an actual part of the production process.

The TPF Thermoplastic Flowforming™ process has application in a broad range of industries including: agriculture, automotive, material handling, transportation, marine, medical, waste management and aerospace. TPF Thermoplastic Flowforming™ composite products are an advantaged replacement for many wood, aluminum, steel, other metal alloys, concrete, other plastic and fiberglass products, by providing products that have corrosion resistance, are lighter and cost less to manufacture. As a thermoplastic process, TPF Thermoplastic Flowforming™ has an additional advantage in that it does not emit volatile organic contaminants (VOCs).

The Company entered into agreements acquiring specific application rights to this technology through license and merger agreements with TCD dated March 30, 2001, wherein the Company, through its wholly-owned subsidiary ECC, was granted rights to commercially exploit the TPF Thermoplastic Flowforming™ Process in certain specific field-of-use applications. These merger terms were modified from the March 30, 2001 agreement, and the Company generally expanded their rights to acquire the entire TPF Thermoplastic Flowforming™ technology through its merger with TCD into ECC, and the Company made the technology rights available to LRM Industries, LLC, its 50% owned joint venture entity, effective March 3, 2005.

NOTE REGARDING FORWARD LOOKING STATEMENTS

This News Release contains forward-looking statements. In particular, when used in the preceding discussion, the words "plan," "confident that," "anticipate," "believe," "expect," "intend to," and similar conditional expressions are subject to certain risks and uncertainties, and actual results could differ materially from those expressed in any forward-looking statements. Such risks and uncertainties include, but are not limited to, market conditions, competitive factors, the ability to successfully complete additional financings, and other risks.