62% Increase in Distribution of Stain Pen(R) Twin Pack

Source Direct Holdings, Inc. (OTC BB: SDRT) today announced that a spectacular 62% quarter-over-quarter increase in distribution was achieved with the welcomed addition of 386 stores to the already impressive 4,000 major retailers currently selling the Stain Pen® twin pack (including Albertsons, Kroger, Safeway, and Kmart Super Centers). The 386 new stores, located in Oregon, Washington and Idaho, are the direct result of an exclusive agreement with thriving international products broker Morgan & Sampson USA, which allows ATA Retail Services to manage and distribute Stain Pen® nationwide. ATA Retail Services has grown its distribution network to more than 5,600 major U.S. outlets and continues to deliver exceptional opportunities in distribution to the Source Direct growing family of products.

No bigger than a tube of lipstick, Stain Pen® is the leading portable personal spot remover small enough to slip into any purse, briefcase, pocket or glove box, for instant color-safe stain removal on even the toughest stains. Targeting the discerning, on-the-go consumer, Stain Pen® satisfies an unmet need for emergency stain removal in a biodegradable, non-toxic formulation that consumers are comfortable using on even their finest clothing. Independent testing has proven Stain Pen® to successfully remove set-in, 2-year-old stains already repeatedly washed and dried in high temperatures.

Source Direct Holdings, Inc. is aggressively expanding into new and highly effective channels of distribution with innovative, proven products that successfully compete with national brands through superior quality and attractive price points. Source Direct is a state-of-the-art cleaning technology company headquartered in Idaho Falls, Idaho, with manufacturing facilities in Nampa, Idaho. The company manufactures and markets a proprietary line of all-purpose, all-surface, highly effective, non-toxic, biodegradable cleaning products to the multi-billion dollar consumer household, commercial, industrial and private-label automotive cleaning products industry. Simply WoW® is a registered trademark; Stain Pen® and "Works On The Spot"® are trademarks of Source Direct Holdings, Inc.

Forward-Looking Statements

Certain statements contained in this press release are forward-looking statements that involve risks and uncertainties. The statements contained herein that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements deal with the Company's current plans, intentions, beliefs and expectations and statements of future economic performance. Statements containing terms like "believes," "does not believe," "plans," "expects," "intends," "estimates," "anticipates" and other phrases of similar meaning are considered to imply uncertainty and are forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to differ materially from what is currently anticipated. Factors that could cause or contribute to such differences include those discussed from time to time in reports filed by the Company with the Securities and Exchange Commission. The Company cannot guarantee its future results, levels of activity, performance or achievements.

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