Oct 23, 2007

San Antonio, Texas – October 22, 2007 – XPEL Technologies Corp. (TSXV:DAP.U) announced today the signing of a letter of intent to acquire Performance Tools Distributing ("Performance Tools") of Dublin, Ohio. Performance Tools is the preeminent global supplier of window film tools, paint protection and vinyl installation tools, as well as a distributor of paint protection film operating a certified paint protection training center from its facilities in Ohio. Performance Tools is expected to contribute in excess of US $3 million to XPEL's top-line revenues in 2008.

XPEL's Chief Executive Officer, Steven J. McAuley, stated, "The acquisition of Performance Tools further enhances our ability to grow in this exciting industry and support our important installer network throughout the world. We realize the importance of high quality installations of our products coupled with the need for the right tools, equipment and installation techniques, which are absolutely critical to achieving complete customer satisfaction." Mr. McAuley further commented, "The Performance Tools team of highly skilled industry professionals will be a great addition to the XPEL team offering added reach for our Company. The team is truly customer service focused and will benefit from the established global distribution network of XPEL."

Performance Tools President, George R. Lewis, added, "The opportunity for us to join forces with XPEL enables Performance Tools to achieve much greater levels of growth with the strength of the XPEL brand and direct access to its global distribution network. I am truly excited about this joining of forces, which includes the significant investment capability XPEL brings to help develop new products and sales channels in the years ahead."

The contemplated transaction as described herein is subject to final due diligence review, the execution of a definitive agreement, and regulatory approval by the TSX Venture Exchange and any other entities maintaining jurisdiction. Additional details of the transaction will be disclosed upon final closing.