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Press Release

May 15, 2000
For Immediate Release

Ioline Corporation and Stahls Inc. team up
to deliver the Ioline 300 Design, Cut & Sew System

WOODINVILLE, Wash.—Ioline Corporation and Stahls' Inc. jointly announce that Stahls' will be representing the Ioline 300 Design, Cut and Sew System in the United States and internationally through Stahls' facilities in Germany, Australia, and Canada. The 300 System allows users to design, cut, and sew heat applied and applique materials for sports lettering, appliqué, custom logos, and decorative designs. Current and future Ioline 300 users will benefit from the customer care and technical support for which both companies are recognized. Technical support of the product will gradually transfer to Stahls' and will cover existing and future customers for the outlined distribution areas.

"Joining forces allows each company to concentrate on what they do best, with Ioline manufacturing superior products and Stahls' reputation for excellence in sales, training and service, the customer is the ultimate winner," explains Frank Schimicci, chairman and chief executive officer of the Ioline Corporation.

Ted Stahl, chief executive officer of Stahls' Inc., affirms, "Together, Ioline and Stahls' are committed to the success of our customers' businesses, bringing them the latest digital personalization technology, widest selection of heat applied materials and roll goods, most convenient custom transfer and cutting services, continuous support, comprehensive training and workshops, fastest possible delivery, and complete Profit Centers for their business."

Ioline 300 Design, Cut and Sew System

The Ioline 300 Design, Cut and Sew System is a cost effective device for creating applique designs from images drawn or scanned with CorelDRAW!® and from custom or stock designs created using embroidery software. The System also allows users to digitally cut the designs from a wide variety of applique and heat applied materials such as Ultra suede, twill, cotton, felt, denim, vinyl, nylon, thin leather, silk, holographic, stencils, reflectives, metallic twill, including Stahls' line of rolled goods and yardage-in short or long runs (up to 3,000 pieces per shift). In addition, the Ioline 300 assists users to effortlessly create a "sew-down" disk for their embroidery machine. The system helps users do it all in just an hour! It is easy to install, easy to use, and increases profits.

"Inclusion of the Ioline 300 System in the Stahls' product offerings provides an alternative for customers interested in producing rapid, short or large run appliqué and sports lettering, with the creative flexibility for generating unique designs. The Ioline 300 allows for in-house production of affordable, quality appliqué designs to those in the embroidery and imprinting industries," says Schimicci.

About Ioline
Ioline Corporation is a leading designer and manufacturer of Computer Aided Design products for the graphic arts, apparel and embroidery design industries since 1984. Ioline manufactures design, cut and sew systems, ultra wide pen plotters, sign-cutters, and more.

Contact:
Amy McElroy, Marketing Communications Manager

STAHLS' INC.
Graphic Imprinting Systems

Business: Inventors of graphic systems for imprinting, Stahls' designs, manufactures, markets and distributes complete graphic systems, equipment and consumables for the creation of a wide variety of personalized items, for both the athletic and logo merchandise markets. Stahls' graphic systems enable businesses to create personalized items for resale. Stahls' Inc., headquartered in St. Clair Shores, Mich., began operations in 1932 under its founder, A.C. Stahl. The company is now lead by the founders grandsons Ted and Brian Stahl who have played an integral role in developing Stahls' into a global organization with divisions and offices in Ohio, Penn., North Carolina, Canada, Germany, Australia, Korea, and the Middle East—serving customers in over 60 countries worldwide.

Key Personnel:
Ted Stahl, CEO & co-owner
Brian Stahl, co-owner
Phil Rice, COO
David Priestley, president
Gary Tessmer, sales manager
Elaine Sables, public relations

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