Sand Technology Inc., Annual General Meeting, Dec 17, 2009

Sand Technology Inc. announced that a leading global chemical company has adopted the SAND/DNA Nearline solution for SAP NetWeaver Business Warehouse (SAP NetWeaver BW) as part of a project to maintain the efficiency, performance and cost-effectiveness of the company's SAP NetWeaver BW data warehouse in the face of rapid data growth. Implemented as an extension to the existing system, SAND/DNA will substantially reduce the storage requirements for steadily growing volumes of SAP NetWeaver BW data, enabling more efficient performance of standard data management operations while helping to keep operational and maintenance costs at a manageable level.

Sand Technology Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended April 30, 2009. For the quarter, the company reported net income and comprehensive income of CAD 300,697 or CAD 0.02 per basic and diluted share on revenue of CAD 2,371,632 compared to net income and comprehensive income of CAD 8,441 or CAD 0.00 per basic and diluted share on revenue of CAD 1,905,984 for the same quarter a year ago. Income from operations was CAD 390,896 compared to CAD 64,824 for the same quarter a year ago. Cash flow from operating activities was CAD 344,907 compared to CAD 325,755 for the same quarter a year ago. For the six months, the company reported net loss and comprehensive loss of CAD 816,569 or CAD 0.06 per basic and diluted share on revenue of CAD 5,342,944 compared to net loss and comprehensive loss of CAD 787,822 or CAD 0.07 per basic and diluted share on revenue of CAD 5,110,430 for the same period a year ago. Loss from operations was CAD 602,926 compared to CAD 636,534 for the same period a year ago. Cash used in operating activities was CAD 603,081 compared to CAD 346,932 for the same period a year ago. Purchase of capital assets was CAD 17,294 compared to CAD 5,593 for the same period a year ago.