March 10, 2006

PRESS RELEASE

AMERICAN ELEMENTS ANNOUNCES APPOINTMENT OF LIBERTY INTERNATIONAL AS EXCLUSIVE INDIAN DISTRIBUTOR

[March 10 , 2006, Los Angeles , CA] American Elements is pleased to announce it has appointed Liberty International as its exclusive distributors in India.

Liberty International has a long standing reputation for quality service supplying optical, ceramic, composite and other advanced materials to the science, aerospace and communication industries in India. Liberty maintains five offices throughout India.

The addition of Liberty International to American Elements’ network of international distributors will allow it to better meet the logistics and customer service needs of its Indian advanced materials customers.

American Elements is a Los Angeles based global manufacturer and developer of engineered and advanced materials with the world’s largest industrial catalogue of rare earth materials accessible electronically at www.americanelements.com. For further information on the new Chinese rare earth tax rates, please contact your local American Elements distributor or American Elements U.S. corporate headquarters at (1)310-208-0551, FAX (1)310-208-0351 or customerservice@americanelements.com.