SOURCE: McKenzie Bay International

March 18, 2009 09:15 ET

McKenzie Bay (MKBY) Settles MTI Lawsuit; Appoints New Board

BRIGHTON, MI--(Marketwire - March 18, 2009) - A negotiated settlement has been achieved concerning a Federal District Court lawsuit between McKenzie Bay International Ltd. (PINKSHEETS: MKBY) and MTI Lighting Specialists / Energy Management Co. ("MTI").

Effective immediately, McKenzie Bay welcomes five new Directors to the Board. They include Mark Cecil, Michael A. Pollakowski, Kevin B. Cook, Lawrence F. Leete, and Dilip K. Nigam. Also effective immediately, the Board accepts the resignation of two Directors, John Popp and John Sawarin, who have also resigned as Officers of the Company and subsidiaries. Mr. Cook has been appointed as President, Mr. Pollakowski as CFO and Mr. Cecil will serve as Chairman of the Board of McKenzie Bay.

Upon full investigation, the Board has determined that the stock issuances made by former Chairman Gary Westerholm to MTI on or about August, 2007 were authorized and in accordance with Board resolutions and at proper value at time of issuance.

As a first priority, the new Board intends to order a review of prior actions and contractual arrangements for accuracy as they relate to shareholder value. Review issues include Y.A. Global Investments L.P. (aka Cornell Capital Partners) stock issuance / loan payment history, MTI agreements, patents, intellectual property rights and other contractual agreements.

Through the experience of these new Board members, the Company is redirecting its business activities entirely into the renewable energy technology sector. A fresh business plan seeks acquisition of rights or ownership in renewable energy technologies for licensing to qualified manufacturers and developers. Licensing agreements are intended to establish multiple recurring and/or non-recurring revenue streams as well as long-term value creation from residual ownerships.

The Company looks forward to the completion of the Ishpeming, Michigan, WindStor® installation at Pioneer Bluff Apartments by MTI. The final construction phase began March 9th and completion is soon anticipated.

Company offices are presently being relocated to Brighton, Michigan.

For further information about this release contact, Investor Relations, Rich Kaiser, Yes International (757) 306-6090, yes@yesinternational.com

Certain statements made in this press release constitute forward-looking statements and do not guarantee future performance. Actual results or developments may differ materially from the projections in the forward-looking statements. Forward-looking statements are based solely on the estimates and opinions of management at the time the statements are made.