Press Release

Creative Vistas CEO Sees Bright Future as Highlighted in Special Letter to Shareholders

Wednesday, Dec 12 9:00 am ET

WHITBY, Ontario--(BUSINESS WIRE)--Creative Vistas, Inc., (OTCBB:CVAS - News), a leading provider of advanced video security and surveillance solutions as well as broadband-related services, today issued the following Special Letter to Shareholders. Text of the letter follows:

"Dear Fellow Shareholder,

Last year, in the first of my Special Letters to you, I said, “These are exciting times for Creative Vistas.” Indeed they were – and the excitement is still there. The past twelve months, which experienced robust growth in both revenues and EBITDA to new records have been the most rewarding yet for Creative Vistas, its customers, employees, vendors and, of course, its shareholders. As for 2008, I believe that the best is yet to come.

Click image to enlarge

I say that because we can see remarkable opportunities within our industry and are aggressively, but systematically, capitalizing on each as part of our growth strategy. For starters, during the first half of 2008, we expect to achieve one of the most important milestones in our Company’s history: commencing the provisioning and other broadband-related services for one of the largest cable systems across the United States, duplicating the business model that has been so successful for us in Canada through our long-standing relationship with one of the cable industry’s leaders, Rogers Communications, Inc. (NYSE:RCI - News). Thanks largely to our proprietary Business Intelligence (BI) software, we have been able to generate exceptional revenue growth through two Canadian cable systems, Rogers and Cogeco, by analyzing data from customer contacts (more than one million a year) to consistently deliver high quality products and services on their behalf. Our BI software has improved results for both Creative Vistas and the cable/broadband providers it serves, and it is a model that should translate well to the U.S. markets.

Expansion into United States Market to Contribute to Revenue Growth Beginning in 2008

Given the progress we have made thus far with our expansion strategy into the U.S., including the addition of key management, we hope to be able to soon announce the details of at least one new potential cable partnership in the U.S., which we expect to be a foundation for further penetration in the U.S. market for the long-term. In the first half of 2008, we expect to be launching our DependableHome-branded line of residential networked surveillance product and related services. This innovative but proven product offering will provide us with an additional revenue channel to the fast-growing revenue we currently derive from services to major cable TV and broadband providers. With approximately one million customer contacts available to Creative Vistas through its cable system contracts in Canada – and many more ultimately available in the U.S. – the potential market for DependableHome is vast, and our access to it is in the near future.

Launch of Business Intelligence Unit and Focus on Technologies

To ensure that we maintain our technological edge as we enter new markets, Creative Vistas has organized a new business unit, called OSS-IM, specifically for the development of BI software. Not only will OSS-IM enable us to maintain a key competitive advantage, but it also will give us state-of-the-art analytical tools for the marketing of DependableHome. Alongside our existing Iview Digital Video Solutions group, which specializes in research and development of video based software, we are able to deliver state of the art video based technologies to the commercial and residential market and manage it using our BI software.

The Connected Home as the New “Holy Grail”

Better yet, consider this vision for Creative Vistas services as they might be delivered in the not-so-distant future. You are thousands of miles from home on a business trip or vacation, and you happen to wonder if everything is fine at home. Is that light going on as it should at night? Is the newspaper being delivered by mistake? Has someone tried to tamper with your security system? You could have any number of questions. Let’s say you have a handheld mobile device and the DependableHome video surveillance service incorporated into your broadband cable package. You might then be able to turn on your handheld, touch a DependableHome logo on your screen and instantly see your house in real time – indoors and outdoors, depending on how many cameras you have. You could get a full report on the status of your alarm system, timed lights and other parts of your security system. If you see a problem, you could correct it by sending a command or – if you’re old-fashioned – using the handheld to call a trusted neighbor.

As I said, this sort of instant global access to your property at a price that consumers can afford is still in the future. But it’s not all that far off. And, most significantly, Creative Vistas is positioning itself to be reaching that goal over the next few years. As DependableHome moves from test-marketing to full-scale rollout in 2008, I expect both consumers and investors to start understanding the potential of such network-based surveillance and related technologies. We will be looking to enable customers to start using video for various applications. One such possibility is digital picture frames to be part of the social utility market. It has the potential to fill a huge need, in the U.S. as well as Canada, for surveillance, management and peace of mind among a highly mobile population.

Creative Vistas Continues to Deliver Strong Financial Results

Even before the DependableHome era begins, the synergies between our proprietary technologies and our broadband/cable customer base have already produced strong growth in revenues and EBITDA – earnings before interest, taxes, depreciation and amortization. Year-over-year expansion in sales has been consistently over 20% for Creative Vistas so far in 2007. In the third quarter ended September 30, 2007, for instance, revenues were up 22%, to $11.15 million from $9.12 million in the third quarter of 2006. EBITDA in the third quarter of 2007 was $1.29 million up 11% from EBITDA of $1.16 million in the third quarter of 2006 (both EBITDA totals are before foreign currency adjustments). Net income for the third quarter of 2007 was $267,508, or $0.01 per fully diluted share, compared to $2.22 million, or $0.01 per fully diluted share, in the third quarter of 2006. In the third quarter of 2006, there was a non-cash gain on derivative instruments in the amount of $1.85 million. I cite EBITDA figures here rather than net income because the latter figure is impacted by non-cash adjustments due to our capital structure, such as a quarterly revaluation of warrants inversely related to the Company’s stock price.

CEO Sees Breakthrough Year in 2008

I would like to end by thanking you for your interest in Creative Vistas. If you have recently invested in the Company, I welcome you. If you are a longtime investor, I salute your foresight and your faith in us. To investors new and old, I restate my commitment – the commitment of all Creative Vistas executives – to place the shareholder first and continue to build shareholder wealth while treating our customers and employees exceptionally well. And mid-next year, I hope to tell you the excitement has in fact just begun.

Yours truly,

Savan Navaratnam

Chairman and CEO

Creative Vistas, Inc.

Forward-Looking Statements: Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as the term is defined in the Private Securities Litigation Reform Act of 1995. The Company's actual results could differ materially from expected results for reasons described from time to time in the Company's public filings. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events.

Contact:
Investor Relations International
Haris Tajyar, 818-382-9700
htajyar@irintl.com
OR
Creative Vistas, Inc.
Sayan Navaratnam, 905-666-8676
sayan@creativevistasinc.com