FOR IMMEDIATE RELEASE

AESP, INC. ANNOUNCES AGREEMENT TO LICENSE CELLULAR BATTERY RECLAMATION TECHNOLOGY

Miami, Florida, January 22, 2004 - AESP, Inc. (NASDAQ: AESP) today announced the signing of a multi-year license agreement to remanufacture and distribute cell phone batteries, based on new battery refurbishment technology developed by a company affiliated with Environmental Reclamation Services, Inc. (“ERS”) of Erie, Pennsylvania. The license will permit AESP to utilize this technology to revitalize used cell phone batteries and market the reclaimed batteries exclusively in the southeastern United States and on a nonexclusive basis worldwide.

Slav Stein, President and CEO of AESP remarked, “According to industry statistics, there are over 150 million cell phone users in the United States. There are also a growing number of cell phone users in Europe, in Russia and in other developing countries, and the infrastructure for cell phone use is being expanded throughout the world, which will increase the number of cell phone users in the future. Industry statistics tell us that on average consumers update their wireless devices every 18 months. Today, when retired, only a small percentage of the cell phone batteries are recycled, with the majority ending up in landfills where they can turn into hazardous waste. Using this newly licensed technology, we hope to recycle some of these used cell phone batteries and resell them. Potential markets for refurbished cell phone batteries include original cell phone manufacturers who must replace batteries under warranty and makers of refurbished cell phones. We also believe that this same technology can be used to refurbish batteries used in computer backup power supplies, and we hope to explore the use of this technology on these batteries in the future.”

Slav Stein continued, “AESP will organize a new division located in Miami, Florida to handle the requirements of this licensing agreement. We intend to market refurbished batteries in the Southeast United States. We also intend to market refurbished batteries through our existing logistical base in the Europe, Russia and the Ukraine.”

Terry Daidone, AESP board member and CEO of ERS, added, “We are pleased that AESP, with its proven distribution and logistical capabilities in Europe, Russia and the United States, has joined with us to bring this exciting, new technology to the market, a technology that can offer cost savings to manufacturers while at the same time, addressing the significant problem of battery disposal. We look forward to a long, mutually rewarding relationship with AESP.”

AESP, Inc. designs, manufactures, markets and distributes network connectivity products under the brand name Signamax as well as customized solutions for original equipment manufacturers worldwide. For additional Company information, visit our websites, www.aesp.com and www. Signamax.com.

ERS, based in Erie, Pennsylvania, is a recognized market leader among reverse logistics/recycling firms providing empty laser and inkjet printer cartridges and used cell phones to remanufacturing industries. ERS recycling programs include laser and inkjet cartridges of every brand from Apple to Xerox as well as cell phone models from Motorola, Ericsson and Nokia, among others. 

Safe Harbor Disclosure under the 1995 Securities Litigation Reform Act.

This news release contains forward-looking statements, which involve risks and uncertainties. The Company’s actual future results could differ materially from the results anticipated herein. For information regarding factors that could impact the Company’s future performance, see the Company’s future filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for 2002 and its Quarterly Report on Form 10Q for the quarter ended September 30, 2003.

Signamax is a trademark of AESP, Inc. in the United States and/or other countries.

For further information, please contact:                                              AESP, Inc.
Slav Stein, President & CEO                                                              1810 NE 144 Street 
Roman Briskin, Executive Vice President                                           North Miami, Florida 33181 
John F. Wilkens, Chief Financial Officer                                            (305) 944-7710