DGTW DigitalTown Inc (CE)

DigitalTown, Inc. (OTC BB:DGTW) today announced that it has selected Prep Sportswear, a privately held company, to offer school spirit apparel, including hats, t-shirts, sweatshirts as well as competitive team apparel through the company�s portal and network of 27,000 individual school spirit sites. Prep Sportswear, based in Seattle, is an experienced on-line retailer of custom, promotional apparel products already working with thousands of teams, schools, clubs and other organizations. Prep Sportswear offers high-quality products with blanks provided from a variety of branded suppliers, including Nike, Adidas, and Champion. The Company noted that, in addition to the direct financial benefits of the partners, that a significant driver of this effort is its ability to enhance its value proposition to users and to reinforce its relationships with a number of important constituencies. The company believes that boosters, coaches, student organizations, and alumni organizations will be able to easily utilize this service to serve their fundraising, team management, and event-management needs as well as other spirit-related activities. Additionally, the company believes that this agreement will demonstrate the monetization potential of the company�s intellectual property to other potential development partners. Richard Pomije, Chief Executive Officer of DigitalTown, commented, �This important partnership is expected to develop into a large, meaningful source of revenues and profitability for DigitalTown. We will be able to offer a variety of products bearing the logos and emblems of 27,000 unique high schools. We believe that we will find a significant, vibrant customer base comprised of students, boosters, and alumni. Ultimately, we believe that this partnership will represent a meaningful part of our overall effort to empower school communities.� Marcia Appel, DigitalTown�s spokeswoman and a member of the strategic planning team, commented, �Our research shows that, with minimal advertising, school spiritwear sales can significantly exceed $10,000 of revenue per site every year. Once our platform and network of spirit sites is fully operational, this represents a tremendous potential to drive revenues. Our agreement provides for a very competitive royalty structure on sales, which will limit our risk level and enable us to continue to focus on community development, which is our overarching mission.� Chad Hartvigson, Chief Executive Officer of Prep Sportswear, said, �We are very excited to cement this relationship with what we believe to be one of the most exciting new portals in social networking. DigitalTown�s network of websites directly complements our existing business and capabilities. We believe this deal is an excellent growth vehicle for us and we are looking forward to a test launch of this business in the Fall.� About DigitalTown, Inc. DigitalTown, Inc., based in Burnsville, MN, is developing a nationwide network of more than 27,000 online communities for high school alumni, boosters, students and local citizens. About Prep Sportswear Prep Sportswear (www.prepsportswear.com) is the leading online marketplace empowering individual consumers with similar interests to create, design and buy personalized products. Initially focused on serving schools and teams, Prep Sportswear is rapidly growing into the booster club, collegiate, corporate and recreational sports markets. Our vertically integrated technology platform, on-demand dynamic imaging, automated manufacturing and fulfillment process, and partner integration solutions result in a highly scalable platform. The company�s solutions help schools, teams, booster clubs and community service organizations improve fundraising capabilities, increase revenues, and reduce the cost and complexity of managing and marketing apparel and uniform purchasing. Prep Sportswear is a growing network of over 600,000 stores, covering 4.3 million teams worldwide and offering over 100 billion unique product combinations with the ability to personalize each item. Prep Sportswear is privately funded and located in Seattle, WA. More information about the company can be found at: http://www.prepsportswear.com/aboutus.aspx?category=aboutus Safe Harbor Language Any statements contained herein related to future events are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on forward-looking statements. DigitalTown, Inc. undertakes no obligation to update any such statements to reflect actual events. For more information, please visit www.digitaltown.com.