Hie Electronics Selects McKinney for Company Office

March 15, 2005

Dallas, TX - Hie Electronics announces the selection of McKinney, Texas for its company office. This location will serve as both an office and lab facility for this new company engaged in the development of products for extending data storage. Currently, 20 people will be working at this location.

"This location is convenient for our team and we can counteract the fast-pace of each day with some occasional tranquility. We are pleased to be in McKinney," said Pat Humm, CEO and founder of Hie Electronics.

McKinney, Texas is adjacent to the Telecom Corridor^®, a region of tech-based businesses including Alcatel, Cisco, Nortel, Samsung, Texas Instruments, EDS, MCI, Ericsson and several start-up ventures.

McKinney, located 30 miles north of Dallas, has its own airport, as well as gently rolling hills, tree-lined neighborhoods, historic downtown, and beautiful parks. The friendly charm belies the fact that McKinney, with a population of over 100,000 people, is one of the fastest-growing cities in the United States.

About Hie Electronics

Hie Electronics is located in McKinney, Texas and is the innovator of the TeraStack^® Solution, a 50 terabyte "green" optical data storage device useable in a variety of applications where exponential storage is required. The TeraStack^® Solution significantly reduces power consumption and cooling costs in comparison to traditional storage devices. Hie Electronics manufactures and sells its TeraStack^® Solution to commercial users and government agencies for security applications, medical imaging and healthcare data and other data retention requirements.