THE ARCTIC GROUP SIGNS DEAL WITH ONTARIO-BASED CRYSTAL ICE COMPANY

April 5, 1999 - Winnipeg, Manitoba. The Arctic Group Inc. announced it has signed a letter of intent to acquire Crystal Ice Company of Waterloo, Ontario. Crystal Ice services the Greater Kitchener Waterloo Region of Ontario.

“This acquisition will broaden our distribution network in Southern Ontario. The purchase of Crystal is an excellent fit with Arctic’s strategy of doing accretive acquisitions in markets contiguous to those in which the Company already has a presence,” said Robert Nagy, Arctic Group Chairman and CEO. “The addition of the Crystal customer base will enable Arctic to further lever its investment in its new Mississauga production facility due to open later this spring.”

The Arctic Group is Canada’s largest ice company and is committed to building an internationally recognized company by focusing on an aggressive strategy of growth through acquisition and consolidation of the ice industry in North America.

For further information, call The Arctic Group Inc. TOLL FREE at 1-888-573-9237 or visit The Arctic Group’s Web Site at - http://www.arcticgroup.com.

(Signed)
On behalf of the Management and the Board of Directors of The Arctic Group Inc.,
Robert Nagy, Chairman & CEO.

The Alberta Stock exchange has not reviewed and does not approve or disapprove of the accuracy of this release.