Activeworlds Signs Letter of Intent to Acquire Hi-G-Tek

Business Wire, Sept 10, 2004

NEW YORK -- Company Provides Remote Wireless Monitoring Giving Tags Seals, Locks and Sensors Full 2-Way, Real-Time, Wireless Communications Capability

Activeworlds Corp. (OTCBB: AWLD) has entered into a Letter of Intent to acquire Hi-G-Tek, Ltd., an early stage company and a leader in remote wireless monitoring for the security and security management markets, in a transaction expected to be treated as a reverse acquisition. Under the terms of the letter of intent, AWLD will acquire Hi-G-Tek in exchange for newly-issued shares of AWLD representing 77.2% of the issued shares of AWLD after giving affect to the transaction. As of the closing of the transaction, AWLD shall have no less than $3,450,000 of cash in its bank account.

The Boards of Directors of AWLD and Hi-G-Tek have approved the transaction, but consummation is conditioned upon satisfactory completion of due diligence investigations and the execution of definitive agreements by both parties. There is no assurance that definitive agreements providing for the transaction as contemplated by the Letter of Intent will be executed or that the transaction will be consummated.

Hi-G-Tek, Ltd.

Hi-G-Tek's remote wireless monitoring platform harnesses active RFID technology to give tags, seals, locks and sensors full 2-way, real time, wireless communications capability. The principal applications of the Hi-G-Tek technology are currently in cargo and container protection, hazmat and fluid protection, locking systems, and monitoring site assets. The products are stable and reliable in both indoor and severe outdoor environments. By enabling fast processing of secured cargoes with active RFID technologies, Hi-G-Tek significantly reduces reaction times in identifying and meeting global threats.

Hi-G-Tek has specialized in remote wireless technology since 1996. The Company has a broad portfolio of technologies and patents associated with RF and wireless remote monitoring systems. Hi-G-Tek offers a number of products leveraging its active RFID technology including: (i) a range of locks, seals and tags that incorporate embedded sensors to alert for any movement or tampering; (ii) a range of readers and terminals for data collection and processing; and (iii) applications software to easily manage complete systems and integrate with 3rd-party products. The proprietary chip-set developed by Hi-G-Tek offers superior functionality and performance while using only modest power consumption.

Additional information on Hi-G-Tek can be found on Hi-G-Tek's at: www.higtek.com.

Activeworlds Corp.

Activeworlds Corp. is traded on the Over-the-Counter Bulletin Board under the symbol "AWLD". AWLD has been engaged over the last two years in identifying an acquisition which it believes will create shareholder value.