PSI-TEC Electro-Optic Material Achieves Critical Testing Results.

E-O Platform Demonstrates High Thermal Stability; Enables Compatibility with Microelectronic Circuit Manufacturing Processes

WILMINGTON, Del. -- PSI-TEC Corporation, wholly owned subsidiary of PSI-TEC Holdings, Inc. (Pink Sheets:PTHO), announced today that their independent laboratory results came back positive, confirming the thermal stability of their Perkinamine electro-optic materials. Thermal stability as high as 350 degrees Celsius was confirmed, significantly exceeding many other commercially available high performance electro-optic (EO) materials, such as CLD-1 which exhibits thermal degradation in the range of 250 degrees Celsius - 275 degrees Celsius.

The high temperature stability of PSI-TEC's materials eliminates a major obstacle to vertical integration of EO polymers into standard microelectronic manufacturing processes (e.g. wave/vapor-phase soldering) where thermal stability of at least 300 degrees Celsius is required.

In independent laboratory tests, ten-percent material degradation, a common evaluation of overall thermal stability, did not occur until PSI-TEC's Perkinamine material base was exposed to temperatures as high as 350 degrees Celsius, as determined by Thermo-Gravimetric Analysis (TGA).

The test results support the company's progress to introduce their materials into commercial applications such as optical interconnections (OIC), high-speed telecom and datacom modulators, and military/aerospace components.

About PSI-TEC

PSI-TEC is a development stage research and development company that is in the process of developing high-activity, high-stability electro-optic polymers for application in the electro-optic device market. Electro-optic devices convert data from electric signals into optical signals for use in communications systems and in optical interconnects for high-speed data transfer. For corporate information regarding PSI-TEC Corporation, PSI-TEC Holdings, Inc. and/or investment opportunities, please contact Investor Relations Manager Brock Malky at [phone], [e-mail] or visit www.psiteccorp.com.

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The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may," "will," "should," "plans," "explores," "expects," "anticipates," "continue," "estimate," "project," "intend," and similar expressions. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing various engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technological advances and delivering technological innovations, shortages in components, production delays due to performance quality issues with outsourced components, and various other factors beyond the Company's control.