Stockreporter.de Announces Investment Opinion on Rhombus Corporation.

NEW YORK--(BUSINESS WIRE)--Aug. 19, 1999--

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Stockreporter.de Begins Coverage of Rhombic Corporation (NUKE)

With a Strong Buy Recommendation and a Price Target of $10 Per Share

Rhombic Corporation (OTC BB:NUKE) today received a strong buy recommendation from the Stockreporter.de, a leading European financial internet publication at www.stockreporter.de. The Stockreporter.de began coverage with a conservative target price of $10 per share for the year 2000 at a current share price of $0.55 offering an amazing short and mid-term potential for all kinds of investors.

All buy recommendations of the successful Stockreporter.de team have shown a great share price performance since Stockreporter.de has issued its recommendations for the respective company. Thus the portfolio of Stockreporter.de is a very successful and very reliable one, featuring e.g. FutureLink Distribution (FLNK), Teltran International (TLTG), Eagletech Communications (EATC), WCollect.com (WCLT), CancerOption.com (CAOP) and now brand new Rhombic Corporation (NUKE) which is going to be the next extremely successful investment opportunity.

"The clear success of all our buy recommendations is of a big importance to us and speaks for the quality of the companies recommended by us", Torsten Prochnow from Stockreporter.de said today. He continued: "In this connection we are particularly pleased to issue today a strong buy recommendation for Rhombic Corporation (NUKE). We are strongly convinced that this company has an extremely strong potential, and already now Rhombic Corporation (NUKE) is making clearly visible earnings per share. Therefore we strongly believe that this company is going to belong to the best performing shares of the OTC and BB segment." Torsten Prochnow adds: "In our opinion this share really deserves a strong buy recommendation and has enormous potential from the next few weeks and months way into the year 2000."

The report includes the following information:

COMPANY OVERVIEW

The incorporation of Rhombic took place in the state of Nevada on Feb. 26, 1987, by the predecessor company which was acquired by Rhombic Corporation on Nov. 21, 1994. The Company has a total of 29,000,000 shares issued and outstanding, of which 8.5 million are publicly traded and 20,500,000 are restricted, most of them for five years.

Rhombic scientists have developed six different and ground breaking unique technologies and products:

1. Inertial Electrostatic Confinement (IEC): Rockford Technology

Associates, a wholly owned subsidiary of Rhombic Corporation has

a royalty agreement with Daimler-Chrysler Aerospace (a company of

the Daimler-Chrysler group) to market and manufacture the IEC

technology to the world. The IEC is a new form of controlled

fusion energy.

2. A patented diamond film forced diffusion: Through the company's

diamond film doping process called "Forced Diffusion", the same

etching process used to make the silicon pentium chip 1/4" square

can be etched on an area the size of the head of a pin,

theoretically making the diamond chip hundreds of times faster

than silicon.

3. The Nuclear Battery - Nuclid Battery: Rhombic has acquired the

Nuclear Battery - Nuclid Battery technology for the aerospace

industry. The battery is a continuous power source for both near

and outer space applications. Rhombic Corporation is on an ever

expanding mission to bring the latest technology to the world

into real world applications.

4. Diamond-Reinforced Flywheel Battery: The use of diamond layers

instead of carbon filters to increase the power density for

electromechanical energy storage in a Diamond Reinforced Flywheel

Battery can greatly impact the world economy and environment.

5. DCM (Disperse Composite Material): The manufacturing of disperse

composite materials (DCM) is according to the invention realized

by a plasma processing of high efficiency, and has specific

properties for high temperature superconductors.

6. RhoStar.com: A New Online Distribution Channel: A spin-off of

Rhombic Corporation, RhoStar, is an online distribution channel

offering product developers a self-selecting means to achieve

faster market penetration. The customers become the distribution

channel, and each party benefits. RhoStar will offer an

innovative online distribution channel for software and

information products. Their mission is to provide product

developers and consumers with new and more powerful

relationships. So RhoStar will offer a qualitatively distinct

method for achieving rapid results. Initial products for this

distribution channel will include the Rhombic Explorer, a brand

new tool to search the Web.

1. Inertial Electrostatic Confinement (IEC)

Rockford Technology Associates, a wholly owned subsidiary of Rhombic Corporation has a royalty agreement with Daimler-Chrysler Aerospace(DASA) (a company of the Daimler-Chrysler group) to market and manufacture the IEC technology to the world. The IEC is a new form of controlled fusion energy.

DASA has begun a world wide marketing effort for the first IEC neutron generators to be produced at the Trauen plant in Germany. Daimler-Chrysler Aerospace Center Trauen FusionStar IEC-PS1 point source neutron generator uses the spherical Inertial Electrostatic Confinement principle to produce a stable fusion grade plasma target. Deuterium-Deuterium collisions of beam-beam and beam-background ions occur to yield 2.45 MeV neutrons which escape isotropically.

The advantage over the conventional neutron generator technology is longer life and lower costs. The neutron generating IEC chamber is a robust vacuum-sealed steel vessel containing a very robust electrode and high voltage feed-through assembly plus a better pump deuterium reservoir. The operational parameters are flexible and few. Control of the neutron output is automated and readily adjustable.

2. A patented diamond film forced diffusion

Diamond film development is in the initial stages that silicon was in during the 1960's. Considerable experimental work continues in producing film of consistence and purity. However, certain amounts are being sold yearly, mostly for hardening surfaces and for cutting tools.

The most exciting prospects for diamond film in the future will be diamond film doped with certain elements such as boron, phosphorous, and lithium. The boron doped diamond will give the diamond film a positive charge. The phosphorous doped film a negative charge. Doping of diamond whether positive or negative lends the diamond film unusual qualities.

Rhombic Corporation has the advantage of working directly with Boris Spitsyn, known as the founding father of diamond research. In 1991, a Rhombic principal was the first western scientist to visit the former Soviet Union's top secret weapon's laboratories at Arzamas 16 and Helyabinsk 70. He and other company scientists and engineers have used Dr. Spitsyn's diamond film to craft an electrical cell similar to solar cells that directly converts nuclear energy to electricity and allows for the development of portable nuclear power sources. The cell is the key to process known as "the nuclear lightbulb" which would produce electricity at least twice the efficiency as the current process.

The opportunity is now in the possession: Rhombic has on staff several of the world's top scientists in a diamond film development. The company has completed a significant patent application evolving forced diffusion of impurities into diamond. The Company, in regard to the various applications of doped diamond film, is initiating other patent applications. Among these uses for consideration is a new generation of integrated circuits, high power diamond switches and diodes, transistors, diamond TV screens and computer monitors, and the interesting possibility of coloring ordinary diamonds blue, green, yellow, and even red.

After developing methods of diffusing impurities into the diamond crystal lattice using the forced diffusion technique, considerable work has continued in the laboratory on the fusion of boron, nitrogen, and lithium into the diamond crystal. The results were so compelling that the company began a systematic study of diffusing into diamond other impurities such as oxygen, chlorine, nitrogen, and fluorine. Besides the success of introducing different elements into diamond, it was proved that forced diffusion is a practical commercial method, which can be implemented easily in the production process at low cost.

Meanwhile Rhombic Corporation has announced that it has received the first Secondary Ion Mass Spectrometry (SIMS) purification reports in reference to the purification of silicon carbide (SiC) wafers. According to Dr. Mark Prelas of the University of Missouri, these reports are promising and have demonstrated the reduction of impurities in all three categories for the cleansing of natural contaminates through the use of Rhombic's patented "Forced Diffusion" process.

Tests are continuing on gallium nitride (GaN) wafers for the cleansing of natural contaminates. Gallium nitride is a blue laser generator. Both materials are light emitting diodes that can be modified to produce photovoltaic cells that assist in the conversion of ultraviolet light to electricity. These tests are being performed on silicon carbide and gallium nitrate wafers, which are widely used by the semiconductor and wafer industry. Successful cleansing of natural contaminates from the gallium nitride (GaN) and silicon carbide (SiC) wafers will result in longer lifespan wafers with greater effectiveness.

Both types of wafers are being treated in preparation for distribution in commercial quantities. Rhombic's research and marketing focus is to penetrate the existing $7 billion silicon wafer and electronics market with a purified wafer line. According to the 1999 Semiconductor and Wafer Industry Report what is needed most in industry are wafers of larger size and purity. The report also states that silicon carbide is poised to take over large segments in high temperature and high power electronics.

3. The Nuclear Battery - Nuclid Battery

Radio nuclide batteries usually are very inefficient, heavy and expensive, but nevertheless are needed in space crafts and similar important applications. A remarkable reduction in weight and increase in efficiency is possible when the beta active nuclides (e.g. krypton-85 or argon-39) are exciting their own electrons in the narrow excimer band at a minimum of thermal losses and this radiation is converted in a high band gap photovoltaic layer (e.g. in p-n diamond) very efficiently into electricity (German Patent disclosure 196 02 875 Al). The electric power per weight compared with existing radio nuclide batteries can then be increased by a factor 10 to 50 and more. The disadvantage consists in the yet high price of the mentioned radio nuclides and in the high pressure of up to 100 bar and more for the gas that requires an expensive and heavy container.

The mentioned disadvantages of the krypton-excimer battery are despite of the reached hitherto most compact radio nuclide battery (highest electric power per weight): high costs of the beta active nuclides, a residual (for krypton 85) vert kiw rest gamma emission, the problem of removal of the generated alkali metals after the beta decay: all these disadvantages can be avoided and an essential increase of the compactness of the battery can be reached, if - according to the invention - with solid beta emitters without any gamma emission is being worked which are a component of a dust plasma, beta electrons are emitted with a minimum of losses into an excimer active gas where the energy (of the beta electrons) is highly efficiently converted into a narrow band excimer radiation, which provides electric-energy in wide band gap photovoltaic layers.

An especially high power density (electric power per weight) much higher than from before mentioned radio nuclide batteries without dust plasmas are being reached, e.g. a high power density can be further increased if e.g. instead of working at atmospheric pressure a higher one is used. E.g. at 10 atmospheres working pressure a battery to 1 kW is being produced with a weight of 1.5 kg. Thus these batteries according to the invention are called supercompact.

4. Diamond-Reinforced Flywheel Battery

The use of diamond layers instead of carbon fibers to reinforce high rotational velocity flywheels, operating in vacuum with inductive coupling should increase the power density for electromechanical energy storage by at least a factor of five - for batteries for automobiles or other storage systems. This is based on the rupture stress measured for present polycrystalline diamond. Based on a quantum mechanical theory, the rupture stress could be at three times higher. This theory agrees fairly well with the compressibility of single-crystal natural diamond measured during underground nuclear explosions.

Few things would impact the world economy and environment as much as the development of a satisfactory method for storing large amounts of electrical energy both for portable applications, such as automobiles and satellites, and fixed appliances, such as electric power load leveling from the individual house to the utility level. Throughout the world, much work is being performed on improving electrochemical cells but without notable success. The hydrogen fuel cell, long used in space, is just now receiving its first tests in motor vehicles, but offers no great improvement on electrochemical batteries and requires a large and expensive infrastructure.

Of greatest current interest for electric automobiles is electromechanical storage (a flywheel coupled to a motor-generator) which, with new technology, promises all the advantages of an all-electric automobile but with the performances of a gasoline-powered automobile.

Carbon fiber technology, developed for high rotational velocity uranium enrichment centrifuges, has been used to produce prototypes of an automobile that was expected to be ready for the market in 1998. Cars equipped with this "rotation battery" are projected to demonstrate performance (speed and range) equal to that of a standard mid-engined automobile and quite superior to that of ones with electrochemical batteries. Electrochemical batteries last only about 40,000 km, while the rotation battery should last 320,000 km.

5. DCM (Disperse Composite Material)

The manufacturing of fine dispersed materials of the size form nanometers with a homogeneous interior and an additional coating is according to the invention realized by a plasma processing of high efficiency. These disperse composite materials (DCM) have specific properties of abrasion or wear resistance, friction, catalytic action or sintering e.g. for high temperature superconductors.

The invention refers to chemistry, metallurgy, material sciences and micro-technology for manufacturing disperse composite materials as powders which consist of small particles and which are covered with another material. These dispersed composite materials (DCM) can be produced as catalysts, as abrasive, wear-resistant grinding material of high strength of with surfaces without magnetic permeability. A further use of the composite materials applies the structural properties of very small size particles of very high strength as these are needed for composite resistors, or during the process of soldering or welding of ceramic materials (high temperature superconductors, rigid electrolytes etc.) with metals.

The equipment and the method for producing the DCMs consists in filling of a working chamber with a plasma producing gas which is being excited to plasma, and in injection of the dispersed (dusty) base material as well as the one or other components of the coating material being in the gas or vapor phase.

World Markets for Semiconductor Wafers & Substrate

Semiconductor wafers and substrates form the basis of the $800 billion worldwide electronics industry. Semiconductors have given rise to a proliferation of new products for information-based economies. This key technological driver accounts for 30% of economic growth in the US alone.

The semiconductor industry has a long-term growth rate of 17% and exceeded $150 billion in 1998. The recent semiconductor industry slump and the international financial crises that inspired it are showing signs of remission.

Silicon will remain the dominant material for substrates and wafers for the foreseeable future with demand exceeding $7 billion in 1999. The push for ever greater performance at lower prices has brought new wafer technologies into the market including epitaxial wafers and silicon-on-insulator structures, both of which are extending into high-end niches and fostering new opportunities.

The reclaimed wafer market is emerging as an important factor in silicon technology. The savings brought about by using reclaimed wafers is expanding opportunities for test wafers as replacements for more expensive prime wafers for certain applications. Reclaimed wafers now comprise 10% of the market.

Beside silicon, other substrate and wafer materials are finding new applications and markets while fighting to keep their traditional markets. Gallium arsenide faces a strong challenge from silicon germanium for chips that can perform the same tasks at all but the highest frequency levels but at a much lower price.

Compound semiconductors like indium phosphide are moving to new applications beyond photonics. Gallium nitride has undergone a successful demonstration as a blue laser generator. Silicon carbide is poised to take over large segments in high temperature and high power electronics.

Other compound semiconductor material systems including II-IV materials like cadmium telluride and zinc selenide are experiencing steady growth in their niche applications with the promise of creating new markets for themselves in sensors and detectors. Germanium is experiencing growth due to its use in satellite solar cells. Sapphire as an insulator is serving as a substrate for gallium nitride and other materials and is experiencing growing demand.

New markets and shifting demand will fuel the growth of semi-conductor wafers and substrates. The incredible growth in wireless and fiber optic communications, along with the advent of sub-$1000 PCs, cable boxes and satellite TV, and HDTV and DVD, will provide rapidly growing, long-term demand for semi-conductor wafers and substrates in their many manifestations.

6. RhoStar.com: A New Online Distribution Channel

A spin-off of Rhombic Corporation, RhoStar, is an online distribution channel offering product developers a self-selecting means to achieve faster market penetration. The customers become the distribution channel, and each party benefits. RhoStar will offer an innovative online distribution channel for software and information products. Their mission is to provide product developers and consumers with new and more powerful relationships. So RhoStar will offer a qualitatively distinct method for achieving rapid results. Initial products for this distribution channel will include the Rhombic Explorer:

The Rhombic Explorer will make the life easier for millions of Internet users. The Explorer will also make thousands of organizations more efficient and productive. The Explorer provides a powerful tool for gathering information that will automate the painstaking and tedious process of manual web surfing. The Rhombic Explorer will accomplish this by giving consumers and organizations a new set of capabilities:

-- The Consumer Version is analogous to the personal computer, which

shifted computing power from mainframes to the desktops of

individual users. The Explorer places the information gathering

power of Internet search engines in the personal computers of end

users.

-- The Corporate Version is analogous to the minicomputer, which

shifted computing power from mainframes to departmental

computers. The Explorer places the information gathering power of

Internet search engines in local area networks. It offers greater

storage and retrieval capabilities and an advanced knowledge base

at a higher price.

BENEFITS OF THE RHOMBIC EXPLORER

Individual Benefits:

-- Automates a slow, manual task

-- Uses off peak hours

-- Prevents redundant searching

-- Provides condensed versions of sites

-- Reduction of online charges

Corporate Benefits:

-- Reduced staff costs. Employees are freed to perform other

tasks.

-- Improved staff productivity

-- Reduced communication costs. Queries can be consolidated and

executed at the most cost effective times and dates.

-- Central coordination of searches for improved efficiency and

supervision

-- Elimination of duplicate searches

-- Accelerated response when queries yield sites already

searched. Instead of downloading and scanning a site, taking

many minutes, the database constructs a response in seconds.

-- Automated construction and maintenance of a corporate

knowledge base

MARKET BACKGROUND FOR THE RHOMBIC EXPLORER

The Internet offers a vast market for goods and services, but only a handful of major software applications have emerged for the Internet user. The Net and the World Wide Web are a computing platform in which the world itself becomes the user's computer. This represents a fundamental change in direction. For decades, computers have evolved from large systems to smaller systems. The Internet breaks completely with this process, providing a common world computer without a definable size or fixed characteristics. It is unsurprising that software that exploits the Net's potential is slow to appear. The important revolutions in Internet software are still ahead of us. Internet software's major task to make this world computer useful.

Whenever a new type of software automates a task that people perform manually, or gives them the power to do something that they could not do before, it creates a tremendous market. Past examples include spreadsheets, database software, word processing, and desktop publishing. In each case, the first company to develop and exploit the market prospered. The software industry is always looking for "The Next Big Thing".

The Rhombic Explorer automates Web searching, the most commonplace and time wasting task performed on the Internet. This task has only been possible for a few years so the opportunity to automate it has only now emerged. The Rhombic Explorer integrates familiar design principles from other kinds of software, making it easy to use and to understand. It provides new powers and tremendous convenience and timesaving to every individual and every organization that uses the World Wide Web. It is a new type of software, with all the potential that that statement implies.

Millions of individuals and knowledge workers spend more time surfing the Web than on any other Internet activity. 72% of Internet users surf the web at least once a day, 41% 6-10 hours a week. Searching the Web is fun, but it is also a slow, painstaking and inefficient manual process. The fun wears off, but the work remains. Studies of Internet usage by SunSoft and others reveal harried workers racing through web pages under deadlines, scanning rather than reading web copy, missing most of the available information for research tasks, and duplicating their own searches and those of their co-workers. The costs and waste are enormous.

Individual users suffer the same frustration and inconvenience. Stymied by slow response times and frequent dropouts during peak usage hours, many North American users do their Web research in the small hours of the morning, when they should be sleeping, or after getting up very early. This leads to increased fatigue and stress, and a host of secondary health and productivity effects in the workplace.

The Rhombic Explorer solves these problems neatly. It provides an easy, convenient way to automate manual work. The benefits provided to individuals are multiplied when used by organizations. The Rhombic Explorer is a new class of software that creates a vast new market. Powerful cost/benefit justifications open up the corporate and government markets.

CORPORATE MANAGEMENT

Rhombic Corp. has a blend of financial, technical and administrative personnel needed to bring a development stage, technological oriented Company into commercial focus. Upon completion of the financing Rhombic will expand management in order to meet the manufacturing and marketing for the

applications of it's ground breaking technologies:

-- Wm. Larry Owen, President: Received a Bachelor of Arts degree

from Pepperdine University of California, and Masters of

Education degree from the University of Southern California.

After moving to Canada in 1963, Mr. Owen was a founder of the New

World Jade Company, and later President of International Phasor

Telecom, a leading computer security firm during 1982 to 1985.

-- R.G. (Jako) Krushnisky, CEO and Director: Senior partner of

International Laser Games, a coin operated firm with outlets

throughout British Columbia. Mr. Krushnisky served as past

President of Rockford Technology Corp. which owns diamond film

technologies. Mr. Krushnisky is a graduate of the US

International University at San Diego. with a Bachelor of

Science, Business and International Commerce.

-- Albert Golusin, CFO: Is a Certified Public Accountant in Phoenix,

AZ., a graduated from Brigham Young University in 1978 Mr Golusin

worked for the international accounting firm of Grant Thornton &

Company from 1979 - 1981 and Kenneth Leventhal & Company between

1983 - 84. He has also served as controller for Glenayre

Electronics, a NASDAQ company, from 1984 - 1991. Since 1992 Mr

Golusin has been in private practice as an accounting consultant

to public companies.

EARNINGS PROJECTIONS

The following projections estimated by Stockreporter according to company informations are based on conservatively projected revenues. So we consider these figures to be both very realistic and achievable: -0-

                  Net Earnings Projection:

                  Year 2000:            $10,000,000
                  Year 2001:            $50,000,000
                  Year 2002:            $120,000,000


                  Earnings Projection per Share:

                  Year 2000:            $0.34
                  Year 2001:            $1.72
                  Year 2002:            $4.14

EVALUATION AND OUTLOOK

Following these projections and calculations we conservatively expect at least $0.34 earnings per share for the year 2000. Therefore we set our share price target to almost $10 at a conservatively estimated PER of only 30 which in case of this tremendous growth potential seems to be more than justified.

On the whole it may be said that Rhombic Corporation (NUKE) possibly will be able to make even more profit in the year 2000 than we expect. Consequently we would like to mention in advance that Stockreporter.de might have to increase the profit expectations upon availability of new improved earnings projections based on potential new contracts.

According to these facts we are strongly convinced that the share of Rhombic Corporation (NUKE) currently is drastically undervalued with a corporate market capitalization currently amounting to only $14,500,000. Therefore we believe that Rhombic Corporation (NUKE) is one of the most exciting companies to come to our attention in recent years. Its enormous growth potential is both dynamic and unlimited.

Last but not least we would like to mention two additional and very important aspects: The management of the Company is currently evaluating the option of applying for a listing at a major stock exchange, e.g. NASDAQ or American Stock Exchange (AMEX). So in particular, this forthcoming listing of Wordcraft Systems with regard to the renowned NASDAQ or American Stock Exchange will massively inspire the share price. Therefore we believe especially this fact of taking the stock public to a major stock exchange will bring a massive thrust of both new retail and new institutional investors driving the share price into dimensions the stock really deserves.

Furthermore Rhombic Corporation (NUKE) is going to apply for listing also at a major European stock exchange to increase the international exposure and to establish new investor relations in Europe. These two potential listings will open the door for new major institutional investments by e.g. national funds and investment bankers and will reduce the negative influence day traders currently have. For that reason potential investors have got only now the extremely unique and promising opportunity to invest in the shares of Rhombic Corporation (NUKE) on a more than advantageous share price level.

According to these facts and the great opportunities the new major listings probably will offer we are strongly convinced that the NUKE share is drastically undervalued at a current price of $0.55 offering an amazing short and mid term potential. For this reason we believe that the NUKE share currently is one of the most exciting and most promising investment opportunities for both retail and institutional investors and that the NUKE share is going to be one of the best performing micro cap shares in the next weeks and months.

NOTICE

The recommendation of Rhombic Corporation (NUKE) was done on an unsolicited basis. The complete recommendation and additional information (e.g. coming soon interviews with the CEO and the President) can be accessed at the Stockreporter.de web site at www.stockreporter.de which is going to be the number 1 Micro Caps and OTC:BB site in Europe and especially in Germany. The site is completely available in both languages, German and English. Any Stockreporter.de micro cap recommendation still includes a high degree of risk and is at the investor's individual and own risk. Therefore no claim for any kind of warranty can and will be accepted by the Stockreporter.de.

If you have any further question regarding this buy recommendation or any other inquiry or suggestion, please, do not hesitate to contact Stockreporter.de or Rhombic at any time. We appreciate it very much to stay in close contact to both institutional and private investors and OTC and BB companies.