April 13, 1999

Trading Symbol VSE: CCB
US SEC Exemption No. 82-3378


SITTINGBOURNE, Kent, England - Graham Withington, General Manager, CON-SPACE COMMUNICATIONS (UK) LTD., (VSE:CCB) announced today that H.M. Customs and Excise has now taken delivery of a significant quantity of confined space communication systems supplied by the company.

One of the more difficult tasks faced by customs is the search for contraband onboard ocean going ships. For example, freighters carry cargo, but they also have many relatively inaccessible areas that can be used to hide contraband. These locations are very difficult to enter and move around in, they are very dangerous and are, in fact, confined spaces. H.M. Customs selected CON-SPACE equipment after stringent tests showed that using this equipment improved the safety and effectiveness of the teams of Customs officers, known as Rummage Crews, during ship search operations.

"CON-SPACE systems were evaluated over an extended period and used in many real search operations before being accepted" said Withington, "In fact, Canadian Customs Rummage Teams have been using our equipment for sometime now as a direct result of the British recommendation". He added, "Customs officers from several other countries are also considering the CON-SPACE equipment."

CON-SPACE is recognized in the World Safety Market as the leading provider of confined space communication equipment. For example, in January, the US Navy assigned a 'Justification and Approval' number to a similar CON-SPACE system for shipboard maintenance and damage control. The USAF, Canadian Airforce and twenty world airlines, including British Airways, use this equipment for work in aircraft fuel tanks.

The Company designs, manufactures and markets this and other specialized communication equipment, which is used throughout the UK, North America and many other parts of the world by industry, municipalities, governments and the military. CON-SPACE systems are also used in confined space rescue operations by Fire Brigades and Industrial Rescue teams. This unique equipment has improved the safety, efficiency and productivity of workers and is also responsible for saving several lives.

For more information, please call James L. Swanson, Chairman CON-SPACE COMMUNICATIONS LTD., (604) 244-9323, (800) 755-2528 in the U.S., or by e-mail [email protected]

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