2008 Loan Note Update

30 March 2010

Turbo Power Systems Inc. ("the Company")

2008 Loan Note Update

Turbo Power Systems is pleased to announce that it has agreed with the 2008 Loan Note holders to renegotiate the terms of the 2008 Loan Note to allow more flexibility in working capital.

Under the terms of the 2008 Loan Notes, if at any point during the time the 2008 Loan Notes are in issue the unrestricted cash balance of the Company falls below a threshold of £750,000 (the "Threshold Level"), the 2008 Loan Notes are repayable on demand at the request of the majority of the 2008 Loan Note holders.

Currently, the 2008 Loan Note holders have agreed to remove the requirement to maintain cash above the Threshold Level. This agreement expires on 1 April 2010.

The Company is pleased to announce that it has agreed with the Loan Note holders to extend this period by one month such that the requirement to maintain cash balances above the Threshold Level will be reinstated commencing 1 May 2010.

This agreement will help the Company to take advantage of existing and future opportunities whilst providing short term additional working capital.

For further information, please contact:

Turbo Power Systems Inc. Tel: +44 (0)20 8564 4460

Richard Bayliss

FinnCap Tel: +44 (0)20 7600 1658

Marc Young & Henrik Persson (Corporate Finance)

Stephen Norcross & Brian Patient (Corporate Broking)