CTI Announces Country Representative Agreement and Letter of Intent.

Business Editors/High-Tech Writers

SPRING VALLEY, N.Y. & VANCOUVER, British Columbia--(BUSINESS WIRE)-- Jan. 21, 2003

CTI Diversified Holdings, Inc. (OTC Bulletin Board:CDHI) announced today that its subsidiary, Sentry Telecom Systems Inc. and DJM International Corp have signed a Country Representative Agreement and Letter of Intent.

Sentry Telecom Systems Inc. ("Sentry") and DJM International Corp. ("DJM") announced today that they have entered into a Country Representative Agreement for the sales and support of Sentry's telecommunications network security products in Brazil, Costa Rica, Mexico, Columbia, Panama, Chile, Venezuela and El Salvador. Accompanying the Country Representative Agreement, a Letter of Intent was signed by DJM for the purchase of telecommunications security products totalling $3,500,000 over a three-year period following completion by Sentry of its first commercial product.

Commenting on the agreement, Mr. David Maffeo, President of DJM said, "Sentry's Phonewall(TM) products are well-suited to our market because our customers have a vested interest in optimizing their security. Phonewall(TM) addresses a significant security void that has existed in the enterprises of our customers by securing their telecommunications networks, and controlling access to the enterprise through the telecommunications systems. Given the size and nature of our customers-large government and commercial organizations, we believe that Phonewall(TM) will have a significant market in Latin America."

Confirming the announcement, Mr. Don Farnell, Sentry's President & CEO stated, "We are pleased to sign this Country Representative Agreement with DJM, which will open our distribution to the Latin American region. As part of our strategy of developing global channels to market, this agreement will broaden our geographical coverage and give us regional representation for both sales and technical support for Phonewall(TM) in Latin America. The Letter of Intent is not a binding commitment by DJM to purchase Sentry's Phonewall(TM), as this product is not yet completed, but rather a confirmation of DJM's assessment of the Latin American market potential for Phonewall(TM)"

Brian Cherrin, Sentry's Director of Sales and Marketing stated, "We are excited by the market opportunity represented by this agreement with DJM and the accompanying Letter of Intent. Latin America is a market that is well-suited to Phonewall(TM), due to the significant number of large commercial and government-owned businesses. Having regional representation through DJM will enable us to leverage existing relationships to accelerate our sales and marketing initiatives in the region, and to focus our sales and support resources to meet the needs of the customers. It fits with our strategy for developing international distribution through regional channel partnerships."

DJM International Corp. is an engineering company that offers telecommunications integration and management services through five affiliated offices in Latin America. DJM's customers are military, government agencies, substantial government-owned-and-run corporations and large commercial enterprises. DJM's regional affiliated offices have as customers the Brazilian Air force, Petrobras, Telefonica, Citibank, Embratel, ICE-the sole telecommunications provider in Costa Rica, and the National Bank of Costa Rica.

Sentry Telecom Systems Inc., located in Vancouver, BC Canada, is a subsidiary of CTI Diversified Holdings, Inc., a public company whose shares are quoted on the OTC BB under the symbol CDHI. Sentry is a manufacturer of secure management products for converged voice and data networks. Sentry is developing the Phonewall(TM) Telecommunications Firewall - a unique patented product for establishing, monitoring, enforcing and reporting on security policies for Voice, Fax, Data and Video traffic in enterprises. Sentry's products will empower enterprises with control over communications security policies and provide them with the visibility, reporting and enforcement needed to make the policies effective.

Any statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve risks and uncertainties. Potential factors could cause actual results to differ materially from those expressed or implied by such statements. Information on the potential factors that could affect the Company's actual results of operations are included in its filings with the Securities and Exchange Commission. These risks may be further discussed in periodic reports and registration statements to be filed by the Company from time to time with the Securities and Exchange Commission in the future.

The Company's shares trade on the OTCBB under the symbol "CDHI".

CTI DIVERSIFIED HOLDINGS, INC.

Don Farnell, President