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Letter from the CEO

February 12, 2005

To Our Valued Customers,

We at Cypress Industries hope you are having a successful and profitable 2005. Our business is growing at a fast clip, and in an effort to ensure that our customers continue to receive the best service, highest quality and best value in the industry, we have made some changes that we are excited to tell you about.

New Cypress Industries Brand Image
Cypress Industries is a different…better kind of manufacturing partner. Our brand has always stood for quality, value and a relentless pursuit of service excellence. With our customers’ help, we have grown our business to successfully serve nearly every industry with electronics, plastics and metal manufacturing services from our U.S. and China locations. To this end, we undertook an effort to evolve our image to capture our core brand DNA and position us as your partner for the long–haul - we are an open, down-to-earth, flexible organization delivering unmatched value for every customer on every project without regard to size or complexity. You will see this reflected in our new brand image on our printed materials, website and customer correspondence.

New Customer Website:
www.cypressindustries.com
We encourage you to see our new customer website. While we have updated the site’s look and feel to better convey our core brand image, it is still the same easy-to-use, essential resource it has always been. Content and navigation remains the same, packaged in a new, exceptional design that we know you will enjoy and appreciate as much as we do.

New Plastics Manufacturing Capabilities
Cypress Industries has maintained plastic injection molding capabilities in China for years. However, in an effort to respond to customers’ evolving needs, we recently added six domestic plastic injection-molding machines. Our domestic plastics manufacturing solution is ideal for customers seeking quick-turn production at competitive prices. You can find more information about our plastics manufacturing processes and capabilities at http://www.cypressindustries.com/plastics-tooling.html

Expanded Facilities
Cypress Industries experienced record revenue growth in 2004, driven largely by the launch of our Industrial Division and new plastics manufacturing and tooling capabilities. Additionally, the acquisition of hundreds of new customers, combined with substantial follow-on business from existing customers, contributed to a 400 percent increase in revenue over 2003. We've broadened our customer base, and added advanced design, engineering and manufacturing expertise to support the growing demand from our customers, facilitating the expansion of our U.S. headquarters into a 14,500 square foot space, located conveniently in North Austin, adjacent to our original space.

Thank you for being a Cypress Industries customer. Again, we hope you enjoy seeing our changes and watching us grow! As you take advantage of our new, improved resources, I encourage you to drop us a line to let us know what you think and how we can continue to enhance our services to meet your evolving needs.

Best regards,
Tom Lonsdale, CEO
info@cypressindustries.com

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