BUGS CEO Receives Ronald Reagan Gold Medal Award; CEO Selected for Leadership and Commitment to Reagan's Entrepreneurial Vision for America.

CARLSBAD, Calif. -- U.S. Microbics, Inc. (OTCBB:BUGS) today announced that House Majority Leader Tom Delay (R-TX), NRCC Chairman Tom Reynolds (R-NY) and the National Republican Congressional Committee have chosen Robert Brehm, CEO as a 2004 Ronald Reagan Republican Gold Metal Award winner.

Mr. Brehm was selected based on unyielding support of the Republican Party, outstanding leadership in business and for displaying a commitment to President Ronald Reagan's vision for an entrepreneurial America. Only an elite group of business and professional people were nominated to receive the award before the awards selection committee reached a final decision. Mr. Brehm has previously received the NRCC Congressional Order of Merit and was awarded NRCC 2003 Business Man of the Year.

Commenting on the selection, Congressman Tom Reynolds, Chairman of the NRCC, said, "Mr. Brehm has served as an Honorary Chairman of the Business Advisory Council and has provided much needed support. This award could not have gone to a more deserving candidate."

Brehm commented, "I was pleased to be nominated and to receive this prestigious Ronald Reagan Gold Metal Award from the NRCC. I believe the Republican pro-growth, pro-job creation policies are steering America in the right direction, and that Americans can depend on Republicans to make economic decisions that will help the country become stronger in all areas including the environment. The President's proposed national energy policy includes initiatives to develop zero-emissions energy technologies and other sources of clean affordable energy as well as explore alternative cleanup technologies such as ours."

Brehm added, "The BUGS cleanup technology, delivered on a "pay for performance" basis, is well positioned to address the key national concern areas of MTBE (gasoline additive) and perchlorate (rocket fuel) cleanup in Brownfield areas and private sector arenas. With the economy improving, interest rates at record low levels and real estate prices accelerating, property cleanup efforts are increasing and our better, faster, cheaper and safer solutions are becoming a viable alternative to 1980's conventional technology. All of these factors encourage me to believe we have a bright future ahead of us."

About U.S. Microbics Inc.

U.S. Microbics is a business development and holding company that acquires, develops and deploys innovative environmental technologies for soil, groundwater and carbon remediation, air pollution reduction, modular drinking water systems, and agriculture enhancement. For more information on the company contact Robert Brehm at 760-918-1860 x102 or visit the website at http://bugsatwork.com. To join the company's mailing list, please send your name and email address to [e-mail].

The information contained in this press release includes forward-looking statements. Forward-looking statements usually contain the words "estimate," "anticipate," "believe," "expect" or similar expressions that involve risks and uncertainties. These risks and uncertainties include the company's status as a startup company with uncertain profitability, need for significant capital, uncertainty concerning market acceptance of its products, competition, limited service and manufacturing facilities, dependence on technological developments and protection of its intellectual property. The company's actual results could differ materially from those discussed herein. Factors that could cause or contribute to such differences are discussed more fully in the "Risk Factors," "Management's Discussion and Analysis or Plan of Operation" and other sections of the company's Form 10-KSB and other publicly available information regarding the company on file with the Securities and Exchange Commission. The company will provide you with copies of this information upon request.