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Contact:
Robert M. Bernstein
Material Technologies, Inc.
1.310.208.5589
matech@matechcorp.com

Material Technologies Management Continues Dialogue in China;
Company Believes its EFS System Could Increase Bridge Safety in that Country

Los Angeles, CA - August 27, 2007 --Material Technologies Inc. (OTCBB: MTTG -News; MATECH), an engineering and product/service company specializing in technologies that monitor and measure metal fatigue, is in continuing dialogue with various parties in The People's Republic of China. The Company believes its proprietary technology can increase bridge safety in the region.

"The recent bridge collapse tragedy in central China, the second reported one in the country this year, highlights the importance of bridge safety," said Robert M. Bernstein, MATECH's Chief Executive Officer. "We believe our Electrochemical Fatigue Sensor (EFS) system has the potential to dramatically increase bridge safety in the country. We continue to have a dialogue with Chinese officials and believe the EFS system has the potential to improve the safety of China's ever-growing infrastructure."

According to The China Daily (the country's largest-circulation English-language newspaper), the Chinese Ministry of Communications reports that 6,300 bridges in the country have serious damage to their "structural components."

About Material Technologies (MTTG.OB)

Material Technologies Inc., also known as MATECH, was founded in 1983 and is based in Los Angeles. It is an engineering, research and development company that specializes in technologies to measure microscopic fractures in metal structures and to monitor metal fatigue. The Company has already completed significant work for the federal government -- generating $8.3 million to develop technology to detect metal fatigue in aircraft. It has also received $5 million in private investments. Building on that base of experience and capital, it is now beginning to market its technologies to companies and government agencies involved in the inspection of metal highway and railroad bridges.

Forward-Looking Statements:

Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements. Such statements are indicated by words or phrases such as "believe," "will," "breakthrough," "significant," "indicated," "feel," "revolutionary," "should," "ideal," "extremely" and "excited." These statements are made under "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those described in forward-looking statements and are subject to risks and uncertainties. See the Company's filings with the Securities and Exchange Commission including, without limitation, the Company's recent Form 10-K and Form 10-Qs, which identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.

Contact:

Robert M. Bernstein
Material Technologies, Inc.
1.310.208.5589
matech@matechcorp.com or
or
The Investor Relations Group, Inc.
Investor Relations:
Christine Berni/Joe Triunfo, 212-825-3210
cberni@investorrelationsgroup.com
jtriunfo@investorrelationsgroup.com

or
Media:
Michaela Heller/ Mike Graff, 212-825-3210
mheller@investorrelationsgroup.com
mgraff@investorrelationsgroup.com