UNITED STATES SECURITIES AND EXCHANGE COMMISSION

   LITIGATION RELEASE NO.16688/ September 6, 2000

   SECURITIES AND EXCHANGE COMMISSION v. LEE E. GAHR AND CHILL TECH
   INDUSTRIES, INC., Civ. No. CV-S-00-1088-KJD-RJJ (USDC Nevada)

   The Securities and Exchange Commission announced today that it filed a
   federal court action against Chill Tech Industries, Inc. ("Chill
   Tech"), a Nevada corporation, and its chief operating officer, Lee E.
   Gahr ("Gahr"), a Vancouver, British Columbia resident. The
   Commission's complaint alleges that between September 1998 and May
   2000, Chill Tech and Gahr made numerous false and misleading
   statements through the company's Internet website (www.chilltech.com),
   various press releases, phony unsolicited faxes, and a magazine
   article. According to the complaint, these statements concerned (1)
   the "environmentally friendly" nature of, purported testing, and Chill
   Tech's ability to manufacture, the "Arctic Can," purportedly a
   self-cooling beverage can; (2) supposed sales presentations of the
   Arctic Can to various well-known companies and governmental entities
   and related revenue and earnings projections; (3) financial and stock
   projections, and predictions of future listing of Chill Tech's common
   stock on the Nasdaq Stock Market, Inc. ("Nasdaq"); and (4) Chill
   Tech's receipt of financing commitments and agreements to acquire
   substantial assets. This information was false and misleading because
   the Arctic Can contained Freon, an environmentally banned substance,
   Chill Tech neither tested nor had the ability to manufacture the
   Arctic Can; the company's sales "presentations" at best consisted of
   unsolicited correspondence. The financial projections lacked a
   reasonable basis because, among other reasons, they were predicated on
   fictitious business relations and undermined by Chill Tech's
   developmental stage status, lack of a viable product, and lack of
   significant assets or revenues. Further, Gahr sold his personal
   holdings of Chill Tech common stock into the resulting inflated market
   for profits of at least $278,738. This action is part of the fourth
   nationwide Internet fraud sweep conducted by the Commission since
   October 1998.

   The Commission's complaint charges that Gahr and Chill Tech violated
   Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
   thereunder. The Commission further alleges that Gahr also violated
   Sections 17(a)(1), 17(a)(2), 17(a)(3), 5(a) and 5(c) of the Securities
   Act of 1934. The Commission seeks disgorgement and civil penalties
   against Gahr and permanent injunctions against both Gahr and Chill
   Tech.

   For tips on how to avoid Internet "pump-and-dump" stock manipulation
   schemes, visit . For more information about Internet fraud, visit . To