Pethealth Announces that Florida Keys SPCA has Completed its Software Conversion to PetPoint

Pethealth Inc. (TSXV: PTZ) (“Pethealth” or “The Company”), is pleased to announce that The Florida Keys SPCA, Inc. (“FKSPCA”) has completed its conversion to PetPoint. PetPoint was created by Pethealth, a leading provider of pet health insurance, RFID technology and related services to the animal welfare industry, in 2005. PetPoint is the first ASP .NET management software solution created for the shelter community. It provides a fully hosted solution, allowing shelters to have their data kept in a secure offsite location.

Pethealth Inc. Named one of Canada’s Fastest-Growing Companies in 18th Annual PROFIT 100 Ranking of Canada’s Fastest-Growing Companies

(TSXV: PTZ) Pethealth Inc. (“Pethealth” or the “Company”) a leading provider of pet insurance and pet related data management services to the North American companion animal industry, is proud to be ranked #25 in the 18th Annual PROFIT100 ranking of Canada’s Fastest Growing Companies and once again the top company in the rapidly expanding area of companion animal products and services.

Pethealth Inc. Grants Stock Options

Pethealth Inc. (“Pethealth” or “the Company”) (TSX-V: PTZ) today announced grants of stock options to certain directors of the Company under the Employee Stock Option Plan previously approved by the TSX Venture Exchange in December 2000. The Board of Directors of Pethealth, at their regularly scheduled meeting, granted such directors of the Company an aggregate of 1,450,000 at an exercise price of $0.09. In accordance with the Company’s Employee Stock Option Plan, the options have a term of 10 years and vest over 3 years.

Pethealth Inc. Announces U.S. Insurance Underwriting Agreement

Pethealth Inc. (“Pethealth” or “the Company”) (TSX-V: PTZ) today announced that it has entered into an agreement with Insurance Corporation of Hannover (“ICH”). Subject to regulatory approval, ICH will underwrite the Company’s pet insurance programs in 24 U.S. states including New York, New Jersey, Florida, Pennsylvania and Massachusetts. This is the first time that the Company’s pet insurance programs will be made available to pet owners residing in Massachusetts.

Pethealth Inc. Announces Dividend on Series I 6% Convertible Preference Shares

The Board of Directors of Pethealth Inc. (“Pethealth” or “the Company”) (TSX-V: PTZ) today announced that they declared a dividend of $0.12 per series I 6% convertible preference shares (the “Convertible Preference Shares”), payable on January 31, 2006 to the holders of record at the close of business on January 20, 2006. On January 21, 2004, by way of private placement, Pethealth issued 5,000,000 Convertible Preference Shares. Holders of Convertible Preference Shares are entitled to receive cumulative dividends at the fixed rate of 6% per annum, equal to $0.12 per convertible Preference Share.