Advanced Powerline Technologies, Inc., Today Announces Short Selling Concerns.

Advanced Powerline Technologies, Inc., Today Announces Short Selling Concerns. WOODWARD, OK -- (PINKSHEETS) - July 7, 2006 -- Advanced Powerline Technologies, Inc., (Pink Sheets: APWL - News) announces today management concerns regarding the possible short selling of the company's stock. Advanced Powerline Technologies, Inc., (Pink Sheets: APWL - News) Interim President Timothy Pace stated today, "Advanced Powerline Technologies, Inc., has announced our short term goal to import and sell high-quality flat panel LCD High Definition Televisions (HDTV), our mid-term goal of bringing the manufacturing of those televisions to the United States, and our long term goal of becoming a world leader in Broadband over Powerline (BPL) and Power Line Communication (PLC) friendly products. In pursuit of these goals, we have acquired high quality products, we are in the process of growing our sales, and our customers have expressed great satisfaction with the products they have received. In spite of these accomplishments I am dismayed, as are many of you, with our share price, which recently hit an unprecedented low." There are approximately 14.2 million shares in the DTC, which are free trading shares, with about 11.6 million of those shares in the public float. The Depository Trust Company shows little movement of these shares even though there are several hundred thousand supposedly traded each day. Management has spoken directly to several persons who have large positions in the stock and can discover none who are selling at these prices. It is our opinion that there is a significant short position in our stock. The company is concerned that as we continue to grow and expand our asset base and our product lines, that the company could become a takeover target due to the current undervaluation of our shares. We are in negotiations for funding and are confident that these negotiations will come to fruitful conclusions. Should that take place the possibility of a takeover attempt will increase. If there is a significant short position, shareholders who have their holdings in street name accounts, with the shares held by CEDE & Co., may have difficulty establishing their ownership to fulfill a tender offer. Therefore Management recommends that shareholders convert their shares to certificate form to protect their investment. This is the only way of guaranteeing your position as the company continues to develop. Management at Advanced Powerline Technologies, Inc., has worked hard this past year to create a valuable company for our shareholders (we are all part of that constituency). We want our loyal investors to benefit from those efforts and believe this advice is consistent with those desires. Advanced Powerline Technologies, Inc.'s principal business focus is to create and develop Broadband over Power Line (BPL) and Power Line Communications (PLC) friendly devices, products and services. The company's principal products at this time are liquid crystal display (LCD) digital televisions with high definition tuners (HDTV). The company intends on marketing the sales of High Definition Digital Televisions (HDTV) internationally and domestically. Upon the completion of research, development, and the verification of test results of the company's Broadband over Power Line (BPL) and Power Line Communications (PLC) devices, the company intends to utilize the technology within the existing product platforms to enhance their capabilities. Advanced Powerline Technologies, Inc.'s main products will become Broadband over Power Line (BPL) and Power Line Communications (PLC) friendly devices with the Company's related hardware and system service. Certain oral statements made by management from time to time and certain statements contained in press releases and periodic reports issued by Advanced Powerline Technologies, Inc., (the ``company''), as well as those contained herein, that are not historical facts are ``forward-looking'' statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, and because such statements involve risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements, including those in Management's Discussion and Analysis, are statements regarding the intent, belief, or current expectations, estimates, or projections of the company, its directors, or its officers about the company and the industry in which it operates and are based on assumptions made by management. Forward-looking statements include without limitation statements regarding: (a) the company's strategies regarding growth and business expansion, including future acquisitions; (b) the company's financing plans; (c) trends affecting the company's financial condition or results of operations; (d) the company's ability to continue to control costs and to meet its liquidity and other financing needs; (e) the declaration and payment of dividends; and (f) the company's ability to respond to changes in customer demand and regulations. Although the company believes that its expectations are based on reasonable assumptions, it can give no assurance that the anticipated results will occur. When issued in this report, the words ``expects,'' ``anticipates,'' ``intends,'' ``plans,'' ``believes,'' ``seeks,'' ``estimates,'' and similar expressions are generally intended to identify forward-looking statements. Important factors that could cause the actual results to differ materially from those in the forward-looking statements include, among other items, (i) changes in the regulatory and general economic environment; (ii) conditions in the capital markets, including the interest rate environment and the availability of capital; (iii) changes in the competitive marketplace that could affect the company's revenue and/or cost and expenses, such as increased competition, lack of qualified marketing, management or other personnel, and increased labor and inventory costs; (iv) changes in technology or customer requirements, which could render the company's technologies noncompetitive or obsolete; (v) new product introductions, product sales mix, and the geographic mix of sales. The company disclaims any intention or obligation to update or revise forward-looking statements, whether as a result of new information, future events, or otherwise. Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements which are not historical facts contained in this advertisement are forward-looking statements that involve certain risks and uncertainties including, but not limited to, risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, governmental approval processes, the impact of competitive products or pricing, technological changes, and the effect of economic conditions. -------------------------------------------------------------------------------- CONTACT: Advanced Powerline Technologies, Inc. Christopher Holley, Vice President Investor Relations Telephone (310) 544-8894 E-mail: [email protected]