CTW Reports Second Quarter 2009 Financial Results

Catch the Wind Ltd. (TSX-V: CTW), developer and manufacturer of the Vindicator® laser wind sensor (LWS) and other wind sensing products, announced its financial results for the three and six-month periods ended June 30, 2009. All figures are in U.S. dollars unless otherwise stated.

“Consistent with our strategy, we focused our Q2 efforts on identifying select wind farm operators, turbine manufacturers and other key organizations within the renewable energy sector to initiate testing of our laser wind sensing technology,” said Phil Rogers, President and CEO of Catch the Wind Ltd. “As evidenced by the number of evaluation programs we have recently signed with quality partners, our progress will help to validate our technology and accelerate the commercialization of the Vindicator® Laser Wind Sensor.”

Second Quarter Highlights

• Completed a private placement of 16.7 million common shares at a price of CDN $1.30 per share, generating gross proceeds of approximately CDN $21.8 million.
• Net loss from operations was $2.1 million or $0.05 per basic share, compared to a net loss of $1.7 million or $0.04 per basic share for Q1 of 2009 and a net loss of $0.2 million for Q2 of 2008.
• Net cash used in operating activities was $3.1 million, compared to net cash used in operating activities of $2.2 million for Q1 of 2009 and a net cash benefit from operating activities of $0.2 million for Q2 of 2008.

Highlights Subsequent to Quarter End

• Entered the test phase of a trial program with Nebraska Public Power District, following the successful development of capabilities to integrate the Vindicator® LWS to a turbine control system.
• Signed an evaluation program agreement with Hélimax Energy Inc., an independent consulting firm specializing in utility-scale wind energy project development.
• Delivered the first Vindicator® LWS for commercial use to AXYS Technologies, Inc., a leading provider of environmental data acquisition, processing and telemetry systems for marine and terrestrial applications.
• Entered into a trial program agreement with Canadian Hydro Developers, Inc. to supply eight Vindicator® LWS test units for direct side-by-side comparison on a designated wind farm with turbines not equipped with forward wind measurement capabilities.
• Signed a cooperative research and development agreement with the National Renewable Energy Laboratory, the U.S. Department of Energy’s primary laboratory for renewable energy research and development.

Financial Performance
Catch the Wind is an early stage development company focused on the commercialization of its Vindicator® LWS. Revenue relating to the commercial sales of the Vindicator® LWS will be recognized upon delivery and acceptance of the units upon full commercialization.

Operating expenses for Q2 and year-to-date 2009 were $2.1 million and $3.8 million, respectively, compared to $0.2 million and $0.3 million for the same periods of 2008. The expenses consisted of salaries and benefits, professional engineering fees, inventory valuation adjustments, general and administrative costs, consulting fees, other professional fees, and sales and marketing costs associated with the development and marketing of the Vindicator® LWS.

Net loss for Q2 2009 was $2.1 million or $0.05 per basic share compared to a net loss of $0.2 million for the same period of 2008. On a year-to-date basis, net loss for 2009 was $3.8 million or $0.09 per basic share, compared to $0.3 million for the same period of 2008. The Company had no publicly traded shares during the first six months of 2008.

Net cash usage from operating activities for Q2 2009 and year-to-date was $3.1 million and $5.4 million, respectively.

At June 30, the Company held cash and cash equivalents of $19 million.

Outlook
“The preliminary feedback we have received on our technology has been very encouraging,” Mr. Rogers said. “In the coming months, we expect to receive empirical data from a number of trial programs currently under way. These results, we believe, will demonstrate that the Vindicator® LWS delivers capabilities for accurate forward measurement of wind speed and direction, and more importantly, for addressing the wind energy sector’s need for reduced turbine maintenance costs and stress loads as well as increased energy output.”

Catch the Wind will file its financial statements for the period ended June 30, 2009 and related Management’s Discussion and Analysis (MD&A) with securities regulatory authorities on or before August 30, 2009. Catch the Wind’s financial statements, MD&A and related documents will be available via SEDAR as well as through CTW’s website.

Conference Call
Catch the Wind will hold a conference call to discuss its 2009 second-quarter and year-to-date financial results on Thursday, August 27, 2009 at 10:00 a.m. ET.

To access the conference call by telephone, dial 416-644-3419 or 1-800-595-8550. Please connect approximately 15 minutes prior to the beginning of the call to ensure participation. A question and answer session for analysts and institutional investors will follow management’s presentation.

A live audio webcast of the conference call will be available on CTW’s website. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast. The webcast will be archived at the above web site for 30 days.

A taped rebroadcast will be available to listeners from noon August 27 until midnight on Thursday, September 3, 2009. To access the rebroadcast, please dial 416-640-1917 or 1-877-289-8525 and enter passcode 21312911, followed by the number sign.

Forward-Looking Information
This news release includes certain forward-looking statements within the meaning of Canadian securities laws. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed in such forward-looking statements. Forward-looking statements in this news release, include, but are not limited to, economic performance and future plans and objectives of Catch the Wind. Any number of important factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although Catch the Wind believes that the assumptions and factors used in making the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed timeframes or at all. Catch the Wind disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact:
Catch the Wind Ltd.
Claudia Jaques
Vice President and General Counsel
703 393 0754
cjaques@catchthewindinc.com

The Equicom Group
Joe Racanelli
416 815 0700 ext. 243
jracanelli@equicomgroup.com