SpongeTech Announces Strong Revenue Growth

Company Shows Net Operating Profit for the Quarter Ended November 30, 2007

NEW YORK, Jan. 15 /PRNewswire-FirstCall/ -- SpongeTech Delivery Systems,
Inc (OTC Bulletin Board: SPNG) announced its financial results for the three
and six months ended November 30, 2007. The Company achieved a first-ever net
profit for the three-month period ended November 30, 2007, the second quarter
of SpongeTech's 2008 fiscal year. Although the profit of just over $8,000 was
rather nominal, it represents a key milestone in the development of this
emerging consumer goods company. In addition the Company had sales for the
second quarter in 2007, of $343,052 USD compared to $11,316 USD, in sales
ending same quarter in 2006.
Additional financial detail and discussion can be found in the Company's
10-QSB for the quarter ended November 30, 2007.
Steven Moskowitz, SpongeTech COO, commented, "We are pleased with the
growth of the company and I expect our sales will grow even more over the next
few months. We attended a motorcycle and boat show during last week of
December, where our booth was of great interest with attendees. We fielded a
lot of questions and indication of interest in our products. We were also
approached by distributors that are interested in working with us. With the
sales we have pending, the contacts we have made and the contracts we are
negotiating, I think we are heading for another good year. We, as a company
are excited with the company's prospective growth moving forward."
About SpongeTech Delivery Systems
SpongeTech Delivery Systems is a development stage company which designs,
produces and markets a unique line of reusable cleaning products for the
automotive aftermarket parts industry. These sponge-based products utilize
SpongeTech's proprietary, patent (and patent-pending) technologies involving
hydrophilic (liquid absorbing) foam and polyurethane matrices. The Company's
sponges are specially configured with an outer contact layer and an inner
matrix, the latter of which comes pre-loaded with specially formulated soaps
and wax that are released when the sponge is wetted and applied to a surface
with minimal pressure. The Company's primary product line has been designed
specifically for automotive/vehicle applications, however, SpongeTech is
currently exploring additional applications for its technology including an
anti-bacterial, kitchen and bath cleaner, as well as a unique 'foaming' bath
sponge for children.
"Safe Harbor Statement" Under The Private Securities Litigation Reform Act
of 1995: The statements in the press release that relate to the Company's
expectations with regard to the future impact on the Company's results from
new products in development are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. The results
anticipated by any or all of these forward-looking statements may not occur.
Additional risks and uncertainties are set forth in the Company's Annual
Report on Form 10-KSB for the year ended December 31, 2005, the Company's
Quarterly Report on Form 10-QSB for the first quarter ended March 31, 2006.
The Company undertakes no obligation to publicly release the result of any
revisions to these forward-looking statements that may be made to reflect
events or circumstances after the date hereof, or to reflect the occurrence of
unanticipated events or changes in the Company's plans or expectations.

BALANCE SHEET:

November
30, 2007
Assets
Current assets:
Cash $21,064
Accounts receivable 116,815
Other assets 641,894
Total current assets 779,773
Long term assets 314,929
Total assets $1,094,702

Liabilities and Stockholders' Equity
Total liabilities $273,280
Stockholders' equity (deficiency) 821,422
Total liabilities and stockholders' equity
(deficiency) $1,094,702

RESULTS OF OPERATIONS

Three months Six Months
ended November 30, ended November 30,
2007 2006 2007 2006

Sales $278,976 $27 $343,052 $11,316
Cost of goods sold 35,110 17 48,676 4,656
Gross profit 243,866 10 294,376 6,660
Operating expenses
Selling, general and
administrative costs 230,862 86,002 287,648 91,260
Depreciation and
amortization expense 4,336 1,072 8,321 2,142
Total operating
expenses 235,198 87,074 295,969 93,402
Net income (loss) $8,668 $(87,064) $(1,593) $(89,742)
Basic and diluted income
(loss) per common stock
Net income (loss) per
share - basic and
diluted $0.00 $(0.00) $(0.00) $(0.00)
Weighted average
common stock
outstanding 67,842,406 34,072,626 60,842,406 34,072,626

SOURCE SpongeTech Delivery Systems Inc.

Bill Young - Investor Relations, SpongeTech Delivery Systems, Inc.,
+1-877-776-6438, wayoung55@aol.com