MTM Technologies Announces Financial Results for First Fiscal Quarter of 2009 for the Period Ended June 30, 2008

Business Wire, August 12, 2008

Strategic Cost Alignment

MTM Technologies implemented additional expense reductions in May 2008 including a reduction in force of approximately 40 people or 8% of MTM's workforce. The headcount reductions are expected to generate savings of approximately $4.0 million annually. These expense reductions are in addition to the actions that were undertaken in February 2008 and in aggregate these actions are expected to save MTM Technologies approximately $6 million for the remainder of fiscal year 2009. MTM Technologies will continue to selectively invest in profitable revenue generating headcount such as sales people and around our growth initiatives including our Access and Unified Communications offerings.

Financial Outlook

MTM Technologies currently expects EBITDA to grow significantly in fiscal year 2009 as compared to fiscal year 2008. In the second quarter, the Company currently expects sequential revenue growth as well as a return to positive EBITDA.

MTM, MTM Technologies and Aware360 are trademarks of MTM Technologies, Inc. All other company and trademark names are the property of their respective owners.

Conference Call Details

In conjunction with this announcement, MTM Technologies will host a conference call on Wednesday, August 13, 2008, at 9:00 a.m. ET to discuss the Company's financial results. To access this call, dial (888) 599-4858 (domestic) or (913) 312-0702 (international). Additionally, a live webcast of the conference call will be available on the "Investor Relations" page on the Company's website, www.mtm.com.

A replay of this conference call will be available from 12:00 p.m. ET on Wednesday, August 13, 2008 through midnight ET on Saturday, September 13, 2008 at (888) 203-1112 (domestic) or (719) 457-0820 (international). The replay pass code is 8454845. An archived webcast of this conference call will also be available on the "Investor Relations" page of the Company's website, www.mtm.com.

Non-GAAP Financial Measures

MTM Technologies believes that EBITDA, which is not a recognized measure for financial presentation under United States generally accepted accounting principles ("GAAP"), provides investors and management with a useful supplemental measure of its operating performance because it more closely approximates the cash generating ability of the Company as compared to operating income (loss). EBITDA excludes the impact of interest, taxes, depreciation, amortization, stock based compensation and other expense. A table reconciling net loss calculated in accordance with GAAP to EBITDA is included in the financial statements in this release. EBITDA does not have any standardized definition and is therefore unlikely to be comparable to similar measures presented by other reporting companies.

About MTM Technologies, Inc.

MTM Technologies, Inc. is a leading national provider of innovative IT solutions and services to Global 2000 and mid-size companies. Partnered nationally with industry-leading technology providers such as Cisco Systems, Citrix, EMC, HP, and Microsoft, MTM Technologies offers comprehensive solutions in the areas of secure access, unified communications, consolidation, and virtualization. In addition, MTM Technologies provides a broad range of complimentary managed service offerings, including system monitoring and management, security management, IP telephony management, and IT helpdesk support. The lifecycle approach also includes IT architecture consulting, IT staff augmentation and training services. For more information, visit www.mtm.com.