Replies to post #269135 on Spongetech Delivery Systems, Inc. (fka SPNGQ)

[Hedge Starz]

Editor-In-Chief
New York Post
1211 Avenue of the Americas New York, NY 10036-8790

Dear Sir/Madam:

I am the CEO of Spongeables, LLC, a Los Angeles based company that manufactures and sells soap/shower gel (and other ingredients) infused in sponges using our patent-pending technology.

The purpose of this letter is to clarify certain statements that were made during a telephone interview with a reporter from the New York Post and later attributed to me in a September 22, 2009 article in the Post entitled "Spongetech is all wet".

Spongeables, LLC has never been and is not affiliated in any way with SpongeTech Delivery Systems Inc. This fact was subsequently reported on October 6, 2009 by the New York Post.

I was contacted by the New York Post reporter for an interview and spoke to her in my capacity as CEO of Spongeables LLC. As I recall our conversation, I was asked a general background question about sales by a company, like Spongeables, that had been in business for about two years selling infused body wash sponges (e.g., infused with shower gel) in the United States. My comments were that such a company could have sales from $5 to $10 million dollars a year.

The statements attributed to me were not about SpongeTech Delivery Systems Inc. The manner in which the statements were printed in the Post article may have created the incorrect impression that I was speaking about SpongeTech Delivery Systems Inc. and its sales, which I was not. I regret that the statements may have been misconstrued or that unfavorable inferences or conclusions about SpongeTech Delivery Systems Inc. may have been made. I have no personal knowledge regarding sales by SpongeTech Delivery Systems Inc. or its finances.

Very truly yours,

Michael Popovsky
Chief Executive Officer
Spongeables, LLC

Settlement Agreement Execution Copy (December 14, 2009)