SANTA ROSA, CA–( EMWNews – April 7, 2008) – American TonerServ Corp. (OTCBB: ASVP)

(“ATS”), a strategic consolidator in the more than $6.0 billion highly

fragmented independent segment of the printer supplies and services

industry, announced today that it has entered the second year of a

five-year supply agreement with Axon Technologies, Inc. (“Axon”), a

supplier to Florida’s state government agencies. Axon is a Florida based

not-for-profit organization offering quality products and services with the

mission of providing meaningful employment for Florida citizens with

disabilities.

Under the agreement, ATS supplies compatible toner cartridges, which Axon

processes, packages and delivers to its customers, primarily governmental

agencies within the State of Florida. Axon has been providing products and

services to governmental agencies within the State of Florida for more than

20 years, and has been responsible for creating jobs for hundreds of

Florida citizens with severe disabilities. Axon is a state-mandated vendor

to state agencies providing approximately $2 million in product and

services annually, of which approximately 50% is related to printers.

“We are proud to announce the first anniversary of this agreement, which

has met the objectives of producing meaningful revenue for ATS while

supporting Axon’s good work in Florida. Further, working closely with Axon

over the past year has exposed additional opportunities for ATS in the

future. As part of our strategic plan to expand our customer base, our

goal is to align ATS with well established, highly reputable companies like

Axon with whom to build long-term, successful relationships,” said Dan

Brinker, chief executive officer of ATS. “We look forward to continuing our

mutually beneficial relationship with Axon.”

About American TonerServ:

American TonerServ Corp. (“ATS”) is building a nationwide organization to

efficiently serve the printing needs of small-and medium-sized businesses

by consolidating leading independent operators in the $6 billion recycled

printer cartridge and printer services industry, offering top-quality,

environmentally-friendly products and local service teams. Please see

www.AmericanTonerServ.com for more information.

About Axon Technologies, Inc.

Axon Technologies, Inc. is a 501© 3 charitable organization which

provides all governmental agencies within the State of Florida quality

products and services produced by persons with severe disabilities.

Purchasing products and services from Axon Technologies reduces dependence

on welfare and the need for costly institutionalization. Axon Technologies

enables individuals with disabilities to achieve self-determined

competitive employment. These disabled individuals are empowered to take

their places as contributing members of the community.

Forward-Looking Statements

Except for historical information contained herein, the matters set forth

above may be forward-looking statements that involve certain risks and

uncertainties that could cause actual results to differ from those in the

forward-looking statements. Words such as “anticipate,” “believe,”

“estimate,” “expect,” “intend” and similar expressions, as they relate to

the Company or its management, identify forward-looking statements. Such

forward-looking statements are based on the current beliefs of management,

as well as assumptions made by and information currently available to

management. Actual results could differ materially from those contemplated

by the forward-looking statements as a result of certain factors such as

the level of business and consumer spending, the amount of sales of the

Company’s products, the competitive environment within the industry, the

ability of the Company to continue to expand its operations, the level of

costs incurred in connection with the Company’s expansion efforts, economic

conditions in the industry and the financial strength of the Company’s

customers and suppliers. The Company does not undertake any obligation to

update such forward-looking statements. Investors are also directed to

consider all other risks and uncertainties.