Allixon Corp. Appoints New Board Member and Enters into Acquisition Discussions.

TORONTO -- Allixon Corp. (Pink Sheets:AXNP) has entered into discussions with a private company in the field of semiconductor packaging technologies, a developer of a novel device packaging technology, and which has developed a family of proprietary products, architected and optimized for RF, System-in-Package (SiP), 3D memory stacks, memory devices, MEMS and high power components.

The company's solutions make it possible for companies to meet performance, reliability and size requirements of semiconductors devices used in a wide range of applications, including wireless phones, personal computers, PDA's and other high end consumer products. Moreover, the products developed by such company are low cost in nature and meet the cost effectiveness requirement of modern consumer products.

The potential revenues in this sector are considerable, because the world is becoming increasingly mobile, as the use of pagers, PDA's and cellular phones accelerates at a rapid pace. The company has considerable patent coverage. As a result, the electronics industry is continually forced to develop smaller packaging technologies while lowering manufacturing costs. Direct competitors to our target company are: Amkor Technologies Inc. AMKR; Asat Holdings Ltd. ASTT; Advanced Semiconductor Engineering Inc. ASX; Tesera TSRA. They collectively do about $4.4 Billion per year.

Mr. Lee Balak, Lions Bay, B.C., has been appointed to Allixon Corp. board of directors. Mr. Balak's role will be to hold further discussions between the two companies and to negotiate a winning outcome for both parties. Formal details will be announced as they are made available.

Allixon Corp. ph# 416 410 3995, Lockwood Financial ph# 514 482 6958.

This release may be deemed to contain forward-looking statements, which are subject to the safe harbor provisions of the Private Litigation Reform Act of 1995. Factors that could cause actual results to differ from those contained in the forward-looking statements. Among the important factors or risks that could cause actual results or events to differ materially from those in the forward-looking statements in this release are: business and economic conditions and growth trends in our industry in various geographic regions; global economic conditions and uncertainties in the geopolitical environment; variations in customer demand for products and services; variability of operational costs; variations in sales channels, product costs, or mix of products sold; the ability to successfully acquire businesses and technologies and to successfully integrate and operate these acquired businesses and technologies; dependence on the introduction and market acceptance of our technology and expansion into other industry segments.