ARCTIC GROUP EXPANDS FURTHER INTO U.S. WITH ACQUISITION OF KANSAS ICE

Winnipeg, Manitoba - The Arctic Group Inc. announced today that the Company has completed a transaction to acquire the assets of Kansas Ice, Inc. a Kansas-based ice producer and distributor.
Kansas Ice, Inc. services the Kansas state market from a production and distribution facility in Hutchinson, Kansas. The company has annual sales of approximately $1,700,000.

"The acquisition of Kansas Ice in conjunction with our purchase of Party Pak Ice in Wichita, Kansas last year creates operational and distribution efficiencies in the Kansas market," said Robert Nagy, Chairman and CEO of The Arctic Group Inc. "We are consolidating and strengthening our position in the Mississippi Valley area through each purchase we make. The purchase of Kansas Ice 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."

The Arctic Group is one of North America's largest ice companies with operations that encompass all the major markets in Canada and service a substantial segment of the United States. Consistent with past acquisitions, the Kansas Ice transaction maintains Arctic's focus on product quality and profitability.

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, President & CEO.

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