Regulatory Approval for TruBrand Materials, China

Spectra Systems Corporation

("The Company" or "Spectra Systems")

Regulatory Approval for TruBrandTM Materials in China

Spectra Systems, a leading supplier of authentication technology for banknotes, brand authentication and tax stamps, is delighted to report that an approval for the use of Spectra's TruBrandTM materials on tobacco products sold in China has been granted. The approval was issued by The Tobacco Standardization Research Center (CTSRC) in Beijing to one of Spectra System's potential customers. This potential customer had applied for the approval, and remains interested in using TruBrandTM materials on their products.

This approval of Spectra System's TruBrandTM materials should open the way for production testing and commercialization of this breakthrough smartphone technology. Assuming this approval is granted to other applicants, which the directors believe is highly likely, then other manufacturers of tobacco products in the People's Republic of China will also be able to test and potentially commercialize the technology. Further updates will be provided, as appropriate.

Dr. Nabil Lawandy, CEO of Spectra Systems stated: "We believe the approval by the CTSRC is a critical achievement in the commercialization process of our TruBrandTM technology for the large tobacco industry in China. The opportunity for the Company is significant with over 200 billion cigarette packages being sold annually in China"

Enquiries:

Spectra Systems Corporation

Dr. Nabil Lawandy, Chief Executive Officer Tel: +1 (0) 401 274 4700

WH Ireland Limited

Chris Fielding (Head of Corporate Finance) Tel: +44 (0) 20 7220 1650