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Klegg Mini Hits Virgin Megastore in Times Square, NY

Anticipates Strong Order Demand Within Virgin Megastore

Klegg Electronics, Inc. (OTC: KLGE) is pleased to announce Virgin Megastore will sell Klegg's world's smallest color display MP3 player known as the Klegg Mini in their high traffic Times Square location. Times Square is known for millions of visitors walking on sidewalks each day to shop, view historical sites and attend world famous music and Broadway shows.

Klegg Electronics and Virgin Megastore will be holding a special 3-day promotion, during the St. Patrick 's Day parade weekend. Klegg will show their 30-second Paula Abdul commercial to over 4 million people, via 2 huge 14' x 11' screens located on 59th & 5th and 85th & 5th). The commercial will air over 96 times during the course of the weekend, directing traffic to the Virgin Megastore. Individuals who purchase the Klegg Mini MP3 from the Times Square Virgin Megastore (THIS WEEKEND) will receive a discount on the product and will also have the option to enter Klegg's $4,000 home theater give-a-way featuring a 42" Plasma, and Klegg M6-501 surround sound system.

The Klegg M6-501 surround sound system features the world's smallest high-end loudspeakers. Each loudspeaker is enclosed in zinc-alloy, has gold plated connectors, and are 100% magnetically shielded. The M6-501 comes complete with a high-end digital pre-amp, subwoofer/amplifier, and 5 satellite speakers.

Management anticipates strong order demand from this retail location as thousands of potential customers enter the Virgin Megastore each day and view the Klegg Mini. The Times Square Virgin Megastore will carry the Klegg Mini 256 and Klegg Mini 512.

Dennis Gentles, President of Klegg Electronics, states, "This is an exciting time for our company. We are honored to have our world's smallest color display MP3 player available for sale in the heart of Times Square in Virgin Megastore. This will help create brand awareness of our product and fuel continued record sales during the peak tourist season in the summer."

The miniature MP3 which is powered by SigmaTel is approximately 1.8 inches in length, 1.6 inches in width and 1/2 inch thick. This color display MP3 player comes in three colors: metallic blue, metallic pink and pearl white. The miniature MP3 features: 128/256/512 MB flash memory, playback photos, slide shows, one-inch 4,096 color display, voice recording with play, pause, fast forward, reverse, next track, previous track and shuffle play. Other features include: 26-hour battery life, Li-ion rechargeable battery, CD Driver, software, headphones and FM tuner.

Klegg's miniature MP3, which was broadcast on CBS, NBC and ESPN, can be purchased through our dealer network, Virgin Megastore in Times Square, NY, in the coming weeks; customer service at (888) GO KLEGG or online at http://www.klegg.com.

About Klegg Electronics, Inc.:

Klegg Electronics, Inc. (KLGE) is a manufacturer and distributor of high-quality consumer electronics. Klegg Electronics has focused on designing a variety of products that work seamlessly together within the home. The corporation is headquartered in Las Vegas, NV.

For more information on becoming a dealer please contact Investor Relations at (973) 351-3868 for Stephen Taylor or visit the company website at: http://www.kleggusa.com.

Cautionary Statement for the Purpose of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995: Forward-looking statements in this news release are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Certain important factors could cause results to differ materially from those anticipated by the forward-looking statements, including the impact of changed economic or business conditions, the impact of competition, the success of existing and new product releases, the management of our growth, other risk factors inherent in the internet, and extreme sports industries, and other factors discussed from time to time in reports filed by the company with the Securities and Exchange Commission.

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