Castelle Launches FaxPress Premier Network Fax Servers into Hong Kong and Mainland China.

MORGAN HILL, Calif. & NORTH POINT, Hong Kong -- FaxPress Premier(TM) All-in-One Network Fax Solution Represents a New Generation of Support for High Traffic Fax Environments

Castelle (Nasdaq:CSTL), a market leader in fax solutions for small to medium-sized workgroups and enterprise applications, today announced it has launched FaxPress Premier(TM), the Company's newest generation of network fax servers for the enterprise market, into Hong Kong and Mainland China (PRC).

An advanced network fax solution that includes both hardware and software in one fully integrated, server-class machine, FaxPress Premier was designed to be flexible enough to meet the needs of high volume fax environments, while maintaining the ease-of-use customers have come to expect from Castelle's family of network fax servers.

"We are working closely with Active e-Solution Limited, Castelle's partner in Hong Kong and Mainland China since 1995, on this launch of FaxPress Premier," said Scott McDonald, President and CEO of Castelle. "Following our launch of FaxPress Premier last month in Japan, this current release supports Castelle's ongoing initiatives and commitment to the Asian market, and we feel confident that the response will be similar to the success we've experienced in the U.S. and Europe."

Castelle and Active e-Solution Limited, along with Hewlett-Packard Co. (HP), will be hosting a series of presentations at the HP office in Hong Kong on March 15th & 16th. This event will give prospects, partners and current customers an opportunity to see firsthand the new features of FaxPress Premier, as well as the integration of Castelle fax servers with HP's family of network scanners. For additional information on the seminar, please contact Karin Smith at [phone] or email [e-mail].

About FaxPress Premier

Built on Castelle's eighteen years of network fax experience, FaxPress Premier's patent-pending technology offers a number of new, enhanced features making it a complete enterprise-level fax solution. FaxPress Premier is available as a scalable analog or digital rack-mountable network fax server. FaxPress Premier Analog provides up to 16 analog fax lines; FaxPress Premier Digital provides integration with T1, E1 or ISDN lines. With integrated file storage for system and fax data files, a multitasking embedded Windows operating system and pre-installed FaxPress Premier server software, both the FaxPress Premier Analog and FaxPress Premier Digital can support users in Microsoft Windows and Novell NetWare network environments. Additional features include a secure web interface, embedded email gateways, fax reporting, and a flexible software development kit that allows users to develop custom applications and production fax applications.

FaxPress Premier Availability

FaxPress Premier will be available for shipment in Hong Kong and Mainland China in April 2005 through Active e-Solution Limited and a network of resellers. For additional information, please contact Castelle International Sales at [phone] or [e-mail].

About Castelle

Castelle, a market leader in fax solutions for small to medium-sized workgroups and enterprise applications, develops office automation systems that allow organizations to easily implement faxing and printing over local area networks and the Internet. Castelle's network fax servers, FaxPress and FaxPress Premier, provide a simple way to integrate fax with email, desktop and back-end applications. Castelle products are an all-in-one fax solution designed to be easy to use and maintain, and provide an economical way for companies to share resources over the network. Castelle was founded in 1987 and is headquartered in Morgan Hill, California. Its products are available through a worldwide network of distributors, resellers, and online retailers. Visit Castelle online at www.castelle.com.

FaxPress(TM) and FaxPress Premier(TM) are trademarks of Castelle. All other products and trademarks are the property of their respective owners.

If you would like to be added to Castelle's investor email list, please contact Karin Smith at [e-mail].

Forward-Looking Statements

This press release contains forward-looking statements including but not limited to references to the availability of FaxPress Premier for shipment. These statements are subject to risks and uncertainties. Investors are referred to the full discussion of risks and uncertainties associated with forward-looking statements as contained in our reports to the Securities and Exchange Commission, including our Forms 10-K and 10-Q. The Company assumes no obligation to update the forward-looking information.