Agoracom

RICHMOND, BRITISH COLUMBIA -- July 21, 2008 -- CON-SPACE Communications Ltd. (TSX VENTURE:CCB), a world leader in specialized voice communication products, technical search, surveillance and inspection systems, announced that the company recorded total sales of approximately $9.2 million for year ending June 30, 2008, an increase of 27% compared to the same period in 2007. This number however was well below expectations.

"We have recently implemented a number of changes in our sales organization with the intention of improving our results and these changes are beginning to have the desired effect by supplying over $1 million in sales for the month of June", said Gordon Cook, President and newly appointed Chief Executive Officer, of CON-SPACE Communications Ltd. "The benefits of our acquisition of Search Systems are starting to be realized. We have a product line second to none in our competitive market position and I am convinced our sales and margins will show a healthy rebound in 2009."

Recent sales were received from a diverse geographical area including China, India, Pakistan, and Qatar and Turkey confirming CON-SPACE's established world-wide reputation. In the United States alone, there are well over 30,000 fire departments that are able to use the products our Company manufactures and to date we have penetrated only 12% of this market, to say nothing of the world-wide fire and rescue, industrial and military customers that could also use our products.

Although revenues have increased in 2008 the increase was not sufficient to cover the covenants associated with the Search Systems Incorporated acquisition and the Company is in violation of a covenant with its lenders. The Company has already begun discussions with the lenders regarding this issue. Otherwise, the Company is in good standing with its other loan covenants and is current with all of its loan and statutory payment obligations.

About CON-SPACE

CON-SPACE Communications Ltd., and its subsidiary, Search Systems, Inc. are recognized as leading designers and manufacturers of specialized voice communication equipment, video/audio systems, technical search, surveillance and inspection systems. Their equipment is sold throughout the world to police, fire, rescue, government agencies, militaries, municipalities and general industry under the CON-SPACE and Search Systems labels and under private labels through OEMs. CON-SPACE products are used in confined spaces, hazardous atmospheres, rescue applications and security situations. With headquarters located in Richmond, BC, the Company has manufacturing facilities in Bakersfield, CA, Blaine, WA; Lincoln, NE; and Newark, England. CON-SPACE also has independent distributors throughout North America, Great Britain, Europe, Australia, Asia, South America and other countries around the world.

This press release is available on the company's official on-line investor relations site for investor commentary, feedback and questions. Investors are asked to visit http://www.agoracom.com and view the CON-SPACE Investor Contact & Information Centre. Alternatively, investors may e-mail questions and correspondence to CCB@Agoracom.com or tim@calibercap.ca.

DISCLAIMER

This news release contains forward-looking statements which reflect management's current expectations regarding the Company's objectives, plans, goals, strategies, future growth, results of operations, performance and business prospects and opportunities. These forward-looking statements are not guarantees, but only predictions. Although the Company believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a number of factors that could cause actual results to vary significantly from current expectations. These factors and other risks and uncertainties are discussed in the Company's materials filed with the Canadian securities regulatory authorities from time to time, as identified in the Company's disclosure record on www.sedar.com