GUELPH, ON, June 23, 2011 /PRNewswire/ – BIOREM Inc. (TSXV: BRM) announced
today its results for the first quarter of 2011:

Q1, 2011 revenue was $3,732,000, which is up $484,000 or 14.9% over the
comparative period in the prior year. New orders in the quarter were
over $2.8 million resulting in a current backlog of $10.6 million. This
compares to $5.2 million in bookings in Q1, 2010. The Q1, 2011 decrease
is attributable to the timing of certain larger projects which have
been delayed to subsequent quarters this year.

Gross Profit in the quarter was $1,366,000, which has increased $229,000
or 20.1% over the comparative period in the prior year. The first
quarter gross margin percentage is up as during the quarter the Company
recognized revenue from two large contracts which had higher associated
gross margins. Also as a result of earning higher revenue in the
quarter, the Company absorbed the fixed Operations Department costs
which further contributed to the higher gross profit in Q1, 2011 versus
Q1, 2010.

Total Net Loss was $19,000 in the first quarter compared to a loss of
$817,000 in the comparative period from last year. The improvement in
Q1, 2011 is due to the increase in gross margin as described above plus
a reduction in operating expenditures. In addition, a foreign exchange
loss of $133,000 was realized in Q1, 2010 as opposed to a $66,000 loss
in Q1, 2011, which represents a swing in foreign exchange gains and
losses of $67,000.

“The year has started out well and we remain optimistic about 2011” said
Peter Bruijns, President and CEO. “We continue to focus on revenue
growth in addition to our cost structures and finding internal
efficiencies to improve our financial results. Furthermore, we are
anticipating significant bookings in the remainder of the year keeping
us in line with our 2011 targets.”

At the end of the quarter, the Company generated cash flows of $752,000
from operations and has substantial cash liquidity in its $4.6 million
of working capital. Working capital has improved by $1.2 million from
December 31st, 2010. The improved working capital position is
considered adequate to fund the future operating requirements of the
business for the foreseeable future.

Subsequent to the first quarter, the Company announced on June 2nd, 2011
that it had reached an agreement with Wellington Financial to amend the
maturity date of the outstanding $2,000,000 debenture from October 31,
2011 to May 31, 2013. As consideration for the extension and the
reduction of certain financial covenants, Biorem agreed to provide
Wellington Financial 250,000 shares in the company subject to TSX
Venture approval.

About BIOREM Inc.
Biorem is a leading clean technology company that designs, manufactures
and distributes a comprehensive line of high-efficiency
biological-based air emissions control systems. These systems are used
to eliminate odors, volatile organic compounds (VOCs) and hazardous air
pollutants (HAPs), and for the conditioning of biogas renewable energy.
With sales and manufacturing offices across the continent, a dedicated
research facility, a worldwide sales representative network and more
than 600 installed systems worldwide, Biorem not only offers
state-of-the-art technology-based products but also peace of mind for
municipalities, industrial companies and their surrounding communities.
Additional information on Biorem is available on our website at www.biorem.biz.

The TSX Venture Exchange Inc. has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. The TSX
Venture Exchange Inc. has neither approved nor disapproved of the
contents of this release.

Forward-Looking Statements
This press release contains forward-looking statements based on current
expectations. These forward-looking statements contain various risks
and uncertainties that could cause actual results to differ materially
from those reflected in the forward-looking statements. Risks and
uncertainties about the Company’s business are more fully discussed in
the disclosure materials, financial statements and MD&A filed with the
securities regulatory authorities in Canada on www.sedar.com.

Non-IFRS Measures

“Order Bookings” and “Order Backlog” do not have any standardized
meaning prescribed by Canadian generally accepted accounting principles
(“GAAP”) and may not be comparable to measures presented by other
companies. Order Bookings and Order Backlog are non-IFRS measures that
the Company uses to evaluate its sales performance. Order Bookings are
those binding contracts that the Company enters into with a third party
for the delivery of our products or services. As Order Bookings are
received, the contract value (before any associated sales taxes) is
included in the Order Backlog. The Order Backlog is reduced by the
revenue that is recognized on each project and then adjusted for any
currency changes.

SOURCE Biorem Inc.