Gross Profit Increases to 63% from 48% of Revenue. Balance Sheet Significantly Strengthened as Cash Increases at End of June 08 Quarter to More than $4 Million from Less than $500,000 at end of March 08 Quarter

The company reported a more than 70% increase in net sales for the nine months ending June 30, 2008. Net sales were approximately $10,378,000, compared to $6,055,000 reported for the same period one year-ago. The net loss for the nine-month period was approximately $6,568,000 or $0.33 per share as compared to $5,604,000 or $0.31 per share for the same period a year ago.

U.S. Dry Cleaning’s mission is to create the premier national chain in the dry cleaning industry. The Company’s management team has extensive experience in retail consolidations and premier dry cleaning operations with a proven operating model. Management intends to rapidly acquire profitable, market-leading operations at accretive valuations. Each acquisition target is expected to be self-sufficient, and field management remains in place to ease the assimilation.

U.S. Dry Cleaning management believes the greatest value achieved in any consolidation is during the earliest phases. As a result, the company intends to grow as rapidly as possible to maximize shareholder value.

This release is for informational purposes only and should not be construed as a solicitation to invest. U.S. Dry Cleaning future operation results are dependent upon many factors, including but not limited to (i) the company’s ability to obtain sufficient capital or a strategic business arrangement to fund its expansion plans (ii) the company’s ability to build the management and human resources and infrastructure necessary to support the growth of its business; (iii) competitive factors and developments beyond the company’s control and (iv) other risk factors discussed in the company’s periodic filings with the Securities & Exchange Commission, which are available for review at http://www.sec.gov under “Search for Company Filings.”