Stablcor to Provide Worldwide Licenses of Its Carbon Core Laminate Technology Without Fabricator Royalty

Market Demand for STABLCOR(R) as a Thermount(R) Replacement to Control CTE and Thermal Management Prompts New Business Strategy


COSTA MESA, CA--(Marketwire - June 6, 2007) - Stablcor Incorporated, a provider of laminate-based thermal management technology for printed circuit boards and substrates, announced today that its business strategy regarding product royalties has been modified to conform to current industry licensing standards. The company has discontinued end-product royalties, which were charged to the fabricator before the product could be shipped to the end user.

STABLCOR is an advanced thermal management, CTE and rigidity solution for printed circuit boards. Since the discontinuation of Thermount, which was used by manufacturers and fabricators of printed circuit boards to control thermal expansion, the demand for STABLCOR has significantly increased. Multilayer boards manufactured with Thermount materials are now being duplicated using multiple layers of standard FR4 with STABLCOR embedded to achieve the CTE, when replicating an existing design.

"As a technology innovator, Stablcor is dedicated to developing strong relationships with PCB fabricators that will enable the company to provide solutions for today's design issues at the end customer level," said Stablcor President Douglas J. Tullio. "Our technology is unique among PCB materials and we are pleased with the growing demand and favorable business climate for materials that feature CTE and thermal management properties. The demand for our technology has made it possible to eliminate fabricator royalties, which will allow our STABLCOR product to become a standard part of PCB technology and not a specialty product."

The new licensing policy is being introduced to qualified fabricators worldwide to transition STABLCOR from a specialty material to a common build-up material for PCB structures. The material is currently manufactured in the U.S. and is being shipped worldwide. The manufacturing facility was recently expanded to accommodate the increased demand for STABLCOR.

"Two of our largest clients, Israeli-based Eltek Ltd. (NASDAQ: ELTK) and U.S.-based DDi Corporation (NASDAQ: DDIC), have reviewed our new licensing structure and are in agreement that it eliminates tedious recordkeeping and presents a licensing strategy that is an industry standard," commented Stablcor Vice President of Marketing Carol Burch. "Our new strategy not only makes it easier for our customers to purchase material, but helps them with the sales and marketing of their end-user product."

According to Stablcor Chief Technology Officer Kris Vasoya, "In addition to the improved CTE achievable through the use of our STABLCOR technology as a Thermount alternative, the PCB manufacturer and fabricator will experience significant benefits, such as less Z-axis expansion, when compared to boards using Thermount materials; no moisture absorption issues; the PCB will act as a heat spreader, which in turn reduces hot spots; increased rigidity without increasing the weight of the board; and decreased temperatures in lead-free process."

To view comparison test results with boards using Thermount and those manufactured with STABLCOR, visit the company's website at www.stablcor.com.

About Stablcor Inc.

Stablcor is the only provider of a thermally and electrically conductive carbon composite material which, when incorporated in printed circuit boards and substrates, controls heat, thermal expansion, and increases the rigidity and strength of circuit boards without increasing the weight. The patented laminate and the processes to incorporate STABLCOR into circuit boards and substrates provide the electronics industry with a cost efficient technology to produce smaller electronic products, while eliminating the thermal, mechanical and reliability concerns that currently challenge the semiconductor industry. For more information about STABLCOR, visit the company's website at www.stablcor.com.

THERMOUNT® is a registered trademark of the DuPont Company | STABLCOR® is a registered trademark of Stablcor, Inc.

Contact Information: CONTACT: Stablcor Inc. Carol Burch Vice President Marketing 714.524.1188 x203 carol.burch@stablcor.com