Compositech Ltd. Doubles Capacity At Hauppauge, NY Facility.

HAUPPAUGE, N.Y.--(BUSINESS WIRE)--Oct. 19, 1998--Compositech Ltd. (NASDAQ: CTEK), which makes high-tech laminates for the printed circuit board industry, announced today that it is installing additional filament winding capacity at its Hauppauge plant, effectively doubling production capability for its CL200+(tm) laminates.

Christopher Johnson, president and CEO, said, "This capacity expansion marks a turning point in the transition of Compositech Ltd. from relatively low production volume and technology development to commercial production. It will allow us to further expand sales and marketing activities, which, by necessity, have been very focused in the past due in part to capacity limitations."

Filament winding of the fiberglass reinforcement is the patented manufacturing process that differentiates Compositech's non-woven, copper-clad laminates from those made by other laminate manufacturers, who utilize woven fiberglass reinforcements. Compositech's proprietary process yields a laminate with superior dimensional stability and stiffness, enabling circuit board fabricators to make multi-layer boards with increased circuit density and functionality.

The new filament winding equipment, which will begin producing laminates in November, will enable the company to dedicate an existing production line for new product development and process enhancement.

The company recently appointed additional sales representatives in North America and the number of customers who have been contacted and received test materials for product evaluation has grown rapidly over the past three months. Additionally, test materials have been shipped to Compositech's joint venture in Taiwan for testing in high density multilayer and ball grid array (BGA) applications.

Compositech Ltd. develops, produces and markets innovative and superior copper-clad fiberglass reinforced laminates used to fabricate printed circuit boards, which are essential components of personal computers, workstations, data communication Internet servers and telecommunications equipment.

The statements made in this press release contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations. In addition to the matters described in this press release, risk factors listed from time to time in the Company's SEC reports and filings, including, but not limited to, its report on Form 10-QSB for the quarter ended June 30, 1998, its Registration Statement on Form S-3 declared effective by the Securities and Exchange Commission on July 8, 1998, as well as its report on Form 10-KSB for the year ended December 31, 1997, may affect the results achieved by the Company.