Easton Capital Investment Group Closes Two Financing Transactions in High-Growth Technology Industries; New Easton Fund Invests in Cardiovascular Systems and DCWireless Technology.

NEW YORK -- Easton Capital Investment Group (Easton Capital) today announced that, through its new fund Easton Capital Partners, L.P. (ECP) it has closed on two financing transactions: Cardiovascular Systems, Inc., a medical device development company, and DCWireless Technology Limited, a leading wireless handset design house in China. Both transactions were led by Easton Capital and exemplify the firm's successful track record of investing in fundamentally strong technology companies in high-growth industries.

ECP along with its sister fund, Easton HuntCapital Partners, L.P. (EHCP), led a $25 million Series A Covertible Preferred stock financing for Cardiovascular Systems. ECP and EHCP invested $3.5 million each. The terms of the DCWireless investment were not disclosed.

"These two investments underscore Easton Capital's commitment to building a diverse portfolio of companies with proven business models, high-caliber teams and above-average growth opportunities," John H. Friedman, founder and managing partner of Easton Capital. "Cardiovascular Systems and DCWireless have technological advantages among their peer groups in their respective industries and we expect this capital infusion to provide the necessary catalyst for both companies to recognize their full growth potential. This is a tremendous opportunity for both companies, Easton Capital and its investors."

Cardiovascular Systems, Inc. (CSI) is a medical device company developing atherectomy devices for peripheral vascular disease. The Company has developed an advanced Orbital Atherectomy System (OAS), which can be used to clean and clear plaque from blood vessels, especially peripheral ones in the lower leg. Increasing the rotational speed of the CSI device increases the size of its orbit, which allows the physician to tailor the procedure to a number of vessel sizes with a single device, resulting in faster procedure times and reduced patient impact. This design also allows blood to flow through the treatment area during the procedure, minimizing the potential for heat injury and diminished blood flow.

The initial application for OAS is for patients with peripheral artery disease (PAD), a population that is considered to be both underdiagnosed and undertreated. Cardiovascular Systems recently received approval from the FDA to expand the clinical trial called OASIS, which evaluates the safety and effectiveness of the OAS system for treatment of peripheral vascular stenosis, thus advancing the device through the clinical trials process. CSI expects this Series A offering to be the last round of financing to take the Company to breakeven.

Founded in mid 2004, DCWireless (DCW) is a "pure" independent design house (IDH) specializing in mobile phone handset design in China. DCW produces handset design "blue prints", as well as partially or fully completed handsets as end products to its customers. The company has full design capabilities in hardware, software, mechanical and industrial design testing, and provides production support for its customers. DCW has quickly established itself as a top 3 IDH based on its design capabilities.

DCW has a particularly strong reputation in the smart phone handset design market. Smart phones are high functioning phones with features such as handwriting capability, and MP3 and MP4 offerings, yet are priced in the mid tier market (USD $120-250 retail price). The smart phone handset market accounts for over 50% of the overall handset market in China. In addition, DCW is the first design house to have developed an effective TV phone for the China market.

The Easton Capital Investment Group

Easton Capital Investment Group manages approximately $200 million of venture capital and private equity funds. Aggregating more than 170 years of experience, its principals focus on a broadly defined vision of investing in undervalued companies in undervalued market segments. This diversified approach has entailed venture investments in early as well as late stage companies in addition to management buyouts.

Easton Capital Partners, LP (ECP) is a 2006 vintage venture capital fund which invests in early and late stage growth capital transactions. ECP focuses on healthcare and a wide range of other market segments in which its partners have substantial operational and transactional expertise and/or experience. These segments include new media, entertainment, value added distribution, food products/services, consumer products/services and clean technology.