EY

MONTREAL, July 21, 2011 /CNW/ -- Please note that in c6874 transmitted on Thursday, July 21, 2011, the 'For further information' section has been updated. Corrected copy follows: Extenway Announces Private Placement Financing and a Commitment in the Amount of $1.494M from a Major Institutional Fund Manager MONTREAL, July 21, 2011 /CNW Telbec/ - Extenway Solutions Inc. ("Extenway") (TSXV: EY) is pleased to announce that, subject to TSX Venture Exchange approval, it has agreed to undertake a prospectus-exempted private placement of a minimum number of 14,705,883 common shares of Extenway (each a "Common Share") at $0.17 per Common Share for minimum gross proceeds of $2,500,000 (the "Offering"). The Offering is expected to close on or before September 19, 2011 (the "Closing Date"). Extenway is further pleased to announce that it has received a signed subscription agreement from a major institutional fund manager pursuant to which it is committed to invest $1,494,000 in the Offering, subject to the terms and conditions set out herein. In the event that Extenway (or any of its subsidiaries) has not entered into signed agreements on or before the first anniversary of the Closing Date contemplating the commercialization of its interactive media solution with hospitals (or other social services institutions) with respect to no less than 2,000 beds (in the aggregate), investors in the Offering will be entitled to receive, for no additional consideration, 0.307692308 additional Common Share for each Common Share originally subscribed for pursuant to the Offering, rounded up to the nearest whole number. The proceeds of the Offering will be used to pay transaction fees and for working capital purposes. IBS Capital, s.e.n.c., a Montreal-based Exempt Market Dealer, is acting as agent for the Offering. The private placement is subject to the minimum subscription price being received and to compliance with applicable securities legislation and to the approval of the TSX Venture Exchange. All Common Shares issued to purchasers under the Offering will be subject to a four-month and one (1) day hold period from the Closing Date, pursuant to securities legislation and the policies of the TSX Venture Exchange. The Common Shares offered have not been nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws, and may not be offered or sold in the United States or to an account for the benefit of US persons, absent such registration or an exemption from registration. About Extenway Solutions Inc. Extenway Solutions Inc. (TSX Venture Exchange: EY) (www.extenway.com) provides IT, communications, entertainment and education solutions to the healthcare sector. Extenway terminals offer a wide range of integrated content and services, including television, Internet, Microsoft Office, and video conferencing. The terminals also offer the possibility of managing patient appointments and regulating a patient's bedroom environment. Extenway allows healthcare organizations to optimize the way they manage and coordinate interactions between patients, medical staff and those working in administration. The company is based in Baie D'Urfé in the Montreal region of Canada.  For more information, visit www.extenway.com. Disclaimer - Safe Harbour Forward-Looking Statements Certain statements contained in this press release constitute forward-looking statements. These forward-looking statements relate to the future financial conditions, results of operations or business of Extenway. These statements may be current expectations and estimates about the markets in which Extenway operates and management's beliefs and assumptions regarding these markets. These statements are subject to important risks and uncertainties which are difficult to predict and assumptions which may prove to be inaccurate. The results or events predicted in forward-looking statements may differ materially from actual results or events. Extenway disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. In particular, forward-looking statements do not reflect the potential impact of any merger, acquisitions or other business combinations or divestitures that may be announced or completed after such statements are made. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. To view this news release in HTML formatting, please use the following URL: http://www.cnw.ca/en/releases/archive/July2011/22/c6977.html p Alexandra Gravelinebr/ Zone franchebr/ 514 371-5715, poste 203br/ a cr="true" href="mailto:agraveline@zonefranche.ca"agraveline@zonefranche.ca/a /p p Mr. David Brownbr/ Chief Financial Officerbr/ Extenway Solutions Inc.br/ 500 Morgan Blvd., Suite 100br/ Baie D'Urfe, QC H9X 3V1br/ Tel: (514) 694-1916br/ Fax: (514) 694-4280 /p

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