CloudCoCo Regulatory News (CLCO)

23rd July 2012

Pinnacle Technology Group plc

("Pinnacle" or the "Company")

Exclusivity Agreement - Computer Security

Pinnacle Technology Group plc, (AIM: PINN) the AIM listed provider of cloud based technology solutions, is pleased to announce that the Company has entered into an exclusivity agreement with EE Soft LLC ("EES") a security software company based in North Carolina in the United States of America.

To strengthen the Company's capability in the provision of IP and cloud-based solutions for the security industry, Pinnacle has entered into an exclusivity agreement with EES. Under the terms of the agreement, EES has granted Pinnacle exclusivity to market and distribute its anti-theft computer security software in the UK. Pinnacle will also have the rights to distribute the product in Ireland, Iceland, Greenland, Norway, Sweden, Finland, Denmark, Poland, Estonia, Latvia, Lithuania, Belarus, Moldova, Romania, Bulgaria, Greece, Albania, Macedonia, Serbia, Montenegro, Bosnia, Croatia, Slovenia, Hungary, Slovakia, Austria, Czech Republic, Germany, Switzerland, Italy, Cyprus, Netherlands, Belgium, France, Spain, Portugal and Russia.

With a computer or laptop lost or stolen every 13 seconds, this security software suite provides tools to quickly pinpoint the location of a stolen machine. Once the missing computer is turned on, it will collect web cam images and keystrokes from anyone that tries to use it. Using WiFi / IP geo-location, its current location will be tracked via an Internet console to accurately pinpoint its location anywhere in the world. Locking the stolen computer via the Internet console allows the protection of data while helping with recovery. Data on the PC or laptop can be remotely secured and protected by encryption, remote backup and/or permanently deleting sensitive files. Even when locked, the machine can send and receive messages through the management portal to help the stolen computer make its way back home.

Commenting on the exclusivity agreement, Arick Morton, CEO of EES, said: "We have growing footprints in the US, Africa and the Middle East and we are proud to partner with Pinnacle Technology Group plc to advance the cause of data and laptop security. The combination of our best-in-class anti-theft and loss capabilities and Pinnacle's market leading Security service and relationships, will undoubtedly create a very attractive offering to businesses and consumers looking to protect their digital assets in an increasingly perilous world."

Commenting on the exclusivity agreement, Alan Bonner, CEO of Pinnacle, said: "We are delighted to be working together with EES, our customers are not unique, they face similar challenges to those of most businesses and have an increasing number of mobile workers, with corporate data needing to be accessible from anywhere and at anytime of the day or night. International Data Corporation (IDC) predict that a third of the workforce will be mobile workers by 2013. This latest partnership gives Pinnacle exclusivity over a product suite that helps us securely protect our clients data in the event of theft, but moreover, once installed, our client's data can be securely backed up and always accessible via the cloud, which adds tremendous value to our service proposition and helps differentiate us from our competitors."

All Company announcements & news can be found on http://www.pinn.uk.com

Notes to editors

About Pinnacle

Pinnacle Technology Group plc (AIM: PINN) focuses on the business market across the UK. Driven by leveraging organic opportunities as well as through targeted acquisitions. We provide a wide range of converged managed solutions including Managed Support Services, Unified Communications and Collaboration, Communications and Mobility, Software as a Service (SaaS) and Infrastructure services.

Broad experience, innovation and impartial expertise puts Pinnacle in best place to design and deliver cost effective new technology solutions for its customers. Pinnacle work with some of the most prestigious organisations in the UK, who rely on us to deliver robust technical solutions that deliver value.

The Company has very strong capability in advanced IT Security and is the UK and Ireland McAfee Partner of the Year, the EMEA CA Partner of the Year and a Platinum Partner for Sophos.

Pinnacle is a fully licensed Public Telephone Operator, has its own telephone network and interconnects with BT, Cable and Wireless and Virgin Media. It has its own hosted voice (VoIP) platforms and engineers and owns Scotland's oldest ISP and a founder member of Nominet, operating from its data centres in Glasgow, London and Brighton.

The Group has grown its revenues by 886% since Pinnacle's involvement on the Alternative Investment Market in 2007 and aims to build a £50m business, by leveraging organic opportunities as well as through targeted acquisitions. We create solutions that join together a company's three core networks (IT network, telephony network and mobile network). Our strategy of cross-selling the five elements of our converged managed services offering is now delivering positive results.