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Somatic Systems, Inc. Opens New Office in Virginia Beach

NORTHAMPTON, MA — (Marketwire - September 11, 2008) — Somatic Systems, Inc. (SMAS - news) is pleased to announce they have opened a new office in Virginia. This office, the company's first in the Mid-Atlantic region of the United States, is strategically located in the city of Virginia Beach, the state's most populous city and country's fifth highest median income large city.

In addition to several large universities and corporate headquarters, Virginia Beach is also home to three military bases. Somatic Systems has already targeted the US military to the end of obtaining relationships to provide Clinical Somatics treatments and programs for veterans experiencing pain or disability or undergoing rehabilitation. The company expects access to these additional military bases to provide additional opportunities for this important strategy.

The Virginia Beach location is the second to begin operations exclusively as a sales office, enabling a strategic presence and base from which to reap exponential returns not possible from the higher overhead of a retail location: The sales office is intended not only to grow enrollment in the company's high-revenue (currently $12,000 per student) professional training division, but to launch multiple retail clinic locations, including corporate sites but also pain management clinic franchises.

Clinic locations are an important part of the company's growth plans, dramatically extending the Somatics brand, and multiplying revenue streams. Using Somatic Systems' innovative formula, Somatics clinics cost less than $100,000 to open, and can make about $200-600 thousand in revenue on $150-420 thousand in expenses -- with only two fully trained practitioners (and a small "non-skilled" support staff). A four-practitioner clinic can make $400 thousand to $1 million in revenue on $260-650 thousand in expenses. A six-practitioner clinic can make $600 thousand to $2 million revenue on $380-950 thousand in expenses. Franchised locations provide the company with a $5-$20,000 franchise fee and recurring share of the profits.

In addition to training and franchise sales, Virginia sales personnel will be targeting several key rehabilitation hospitals and professional athletic teams for contracts to provide the superior benefits of Somatics treatments and programs for injury rehabilitation and performance training.

This is the second such sales office Somatic Systems has opened within the past month. On August 21, the company opened in Phoenix, Arizona. Both sales offices begin a broader nationwide expansion process for Somatic Systems, and capitalize on the coming aggressive promotion efforts and television and other media appearances for the company.

"We are pleased with our recent rapid growth in opportunity. These new offices provide just the keys necessary to open the doors to a very big future for Somatics that is also very broad in its reach and diversification," stated Somatic Systems CEO Steven Aronstein. "We are excited about the leverage and potential synergies these steps provide for us, in ways that we have never had until now."

About Somatic Systems, Inc.

Somatic Systems is the worldwide center for Clinical Somatics™, the groundbreaking drug-free, non-surgical approach to pain relief. This proprietary system uses natural, non-invasive movement techniques -- conducted through one-hour hands-on sessions, therapeutic exercises classes, and home exercises lasting as little as 5 minutes a day -- to relieve pain and limitation resulting from accident, trauma and repetitive stress, including back pain, knee pain, joint problems, carpal tunnel syndrome, TMJ, scoliosis, bursitis, sciatica, headaches, tendonitis and more. Clinical Somatics™ also provides performance gains and injury prevention for casual and professional athletes.

Somatic Systems is pursuing a 3-part growth strategy, consisting of a nationwide rollout of pain management Somatics Clinics; increased production and distribution of therapeutic videos, books, and other retail self-help Somatics Products; and expanded Somatics Training Programs to supply Clinic practitioners serving medical and orthopedic professionals and institutional and corporate programs. The company operates a suite of web sites offering Somatics information, products, resources, and opportunities, at www.somatics.org.

Safe Harbor Act: This release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involves risks and uncertainties including, but not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment, or human resources, the effect of economic business conditions, and the ability to attract and retain skilled personnel. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

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For more information visit
http://www.somatics.org
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Investor Relations
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Sep 11, 2008 11:23 ET

SOURCE: Somatic Systems, Inc.