SprayCool's SprayCool Technology Qualifies for Avista Utilities Rebate Program to Help Address Data Center Cooling, Power Issues

Utility company to reward customers for helping curtail exponential energy growth
in data centers by deploying SprayCool's SprayCool-enabled servers

Liberty Lake, Wash. - (Nov. 28, 2006) - SprayCool, the maker of SprayCoolTM technology and products, today announced that it has qualified for an Avista Utilities rebate program that will reward corporate users who deploy energy-efficient, SprayCool-enabled servers to reduce energy usage.

The "prescriptive rebate program" was added to Avista's menu of energy efficiency offerings after the Spokane-based electric and natural gas utility evaluated the benefits of SprayCool's SprayCool technology. Avista determined that for data centers, co-location facilities or other large facilities concerned with thermal performance of rack-mounted electronic equipment, SprayCool technology can help reduce electricity and natural gas consumption, thereby conserving energy and reducing operational costs. Avista will make the rebate program available to qualifying commercial and government customers.

SprayCool announced the program today at the 2006 Gartner Data Center Conference, which is being held today through Friday in Las Vegas. SprayCool is a Silver Sponsor of the show.

The rebate program offers companies a compelling way to reduce energy usage without sacrificing performance as well as realize significant cost savings, said Jeff Severs, president and chief executive officer of SprayCool. In addition to reducing power consumption, SprayCool-enabled servers provide for a greater than three-fold increase in the amount of computing power that can be in installed in data centers, he said.

"Forward-thinking utility companies such as Avista are looking for ways to encourage and reward customers for reducing power consumption," Severs said. "Our SprayCool technology provides utility and power companies a dramatic solution to help reduce the exponential growth of power consumption and the associated thermal issues in data centers."

SprayCool is dedicated to reducing power consumption in order to help data centers become more environmentally friendly, or 'green,' said Patchen Noelke, director of marketing at SprayCool. The company is a founding member of The Green Grid, a global consortium dedicated to developing and promoting energy efficiency for data centers. (Founding members include AMD, Intel, Dell, IBM, Microsoft, Hewlett Packard, Sun Microsystems, APC, VMWare SprayCool and Rackable Systems.)

"Cooling in the data center remains the single largest opportunity to reduce the energy impact on the environment," Noelke said. "Power consumption for cooling is far outstripping power consumption for computing in the data center. By creating programs that positively impact both the environment and the bottom line, companies such as SprayCool and Avista are leading the way in reducing power consumption in the data center now and in the future."

Under the rebate program, Avista rewards customers for installing SprayCool-enabled servers. The program provides a rebate of $100 per SprayCool-enabled server or up to $3,600 for each SprayCool-enabled rack. The program is applicable to any new construction or upgrades of existing facilities and infrastructure.

"We constantly are seeking technologies and solutions such as SprayCool that aid in the overall reduction in energy usage," said Bruce Folsom, senior manager of demand side management at Avista Utilities. "In addition to the traditional electric energy savings, these solutions can be combined with other technologies within certain facilities resulting in a reduction in natural gas utilization. The results benefit everyone."

Cooling and power efficiency are huge issues for data center owners and operators. Nearly 90 percent of members of AFCOM, a society of data center managers, are concerned that electricity costs or restrictions in electricity supplies could impact existing operations and slow or halt the construction of new data centers, according to a survey conducted by AFCOM. The Gartner Group, an industry analyst firm that has been tracking these problems for years, reported in 2004 that 80 percent of data centers are power-, cooling- or space-constrained.

"This partnership with Avista is an important first step in mainstreaming liquid cooling solutions for data centers and large users of computing power who are looking for ways to build an energy efficient technology portfolio," Severs said. "We believe it offers a compelling return on investment for organizations seeking greater computing performance without sacrificing the environment."

About SprayCool, Inc.
SprayCool, Inc., a privately held corporation headquartered near Spokane, WA, uses its innovative technology, SprayCool™, to revolutionize how electronics are packaged, powered and cooled. It is the leading technology that enables the development and delivery of electronic system solutions for problems with heat, noise, space and reliability.

SprayCool is committed to power savings/energy efficiency/green issues in the data center. The company is one of the founding members of The Green Grid, a global consortium dedicated to developing and promoting energy efficiency for data centers.

For the past two years, SprayCool has been ranked as one of Washington State's fastest growing private companies by the Puget Sound Business Journal and as one of Deloitte's Fast 50 Technology companies in the Pacific Northwest.

About SprayCool™ System Solutions
SprayCool System Solutions use a fine mist of liquid, sprayed in a thin layer, which evaporates, to cool electronics. The process continuously cycles within a closed loop system. Companies are using SprayCool System Solutions to enable the next generation of electronics.

About Avista
Avista Corp. is an energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. Avista Utilities is a company operating division that provides service to 341,000 electric and 298,000 natural gas customers in three western states. Avista's non-regulated subsidiaries include Advantage IQ and Avista Energy. Avista Corp.'s stock is traded under the ticker symbol "AVA." For more information about Avista, please visit www.avistacorp.com.

Media Contacts:
Bob Silver
MWW Group for SprayCool, Inc.
206-689-8505
bsilver@mww.com