TJT, Inc. Reports a 28 Percent Increase in Sales and a Higher Net Income for the Quarter Ending March 31, 2005.

Sales were $5.5 million in the current quarter compared to $4.3 million in the same quarter in 2004, a 28 percent increase. Approximately two-thirds of the increase was due to higher sales volumes of recycled axles and tires and accessory items and one-third resulted from sales of new axles and tires, which carry a higher sales price than the recycled axles and inspected tires sold in the same quarter of 2004. Sales increased 24 percent or $2 million in the six month period ending March 31, 2005, as compared to the same period in 2004.

Gross profit increased to $1,183,000, or by 9 percent compared to the same quarter a year ago. The gross profit margin was 21 percent in the most recent quarter compared to 25 percent in the same quarter a year ago. The decline was due to sales of new axles and tires at lower profit margins and higher costs associated with purchases of used axles and tires which continued to be in short supply. "We expect our profit margin to increase during the remaining two quarters of this year as our pricing strategy catches up with the increased cost of supply," said Terry Sheldon, President and Chief Executive Officer of T.J.T.

Selling, general and administrative expenses increased to $1,243,000, or $149,000 higher than the same quarter in 2004. The increases were partially due to costs associated with development of the dealer accessory business and legal expenses associated with the deregistration of our common stock.

Net income before taxes increased $151,000 compared to the same quarter a year ago. Joint venture income increased $74,000 compared to the year ago quarter which was due to a 44 percent increase of sales in the 2005 quarter. The Company's Net income after tax in the three and six month periods was $154,000 and $87,000, respectively.

In addition, the Company sold equipment and inventory associated with the manufacture of hanger parts, located in Eugene, Oregon realizing a gain of $151,000. Sales of hanger parts were $957,000 or 9 percent of total sales of the company, during the first six months of 2005; however, those sales were at lower than desired margins. "The sale of the hanger manufacturing assets will allow the company to focus more management resources and capital on development of new business with expected higher returns," said Larry Prescott, Treasurer and CFO.

Established in 1977, TJT is a major provider of recycled axles and tires to the manufactured housing industry. It operates recycling facilities in Idaho, Washington, California and Colorado and serves 13 western states. In addition to the recycling business, the company also sells aftermarket products to the manufactured housing industry, recreational vehicle industry and residential markets.

                             T.J.T., INC.
                     BALANCE SHEETS  (Unaudited)
                        (Dollars in thousands)

                                                    Mar. 31  Sept. 30
                                                      2005      2004
                                                    --------  --------
Current assets:
 Cash and cash equivalents                         $    363  $    843
 Accounts receivable (net of allowances and
  discounts of $83 and $23)                           1,371     1,349
 Current portion of notes receivable                    310       105
 Inventories                                          2,820     2,847
 Prepaid expenses and other current assets              217       202
                                                    --------  --------
  Total current assets                                5,081     5,346

Property, plant and equipment, net of
 accumulated depreciation                               691       728

Notes receivable, net of current portion                332       338
Real estate held for investment                         223       224
Investment in joint venture                             825       676
Other assets                                            202       212
Deferred tax asset                                      112       179
                                                    --------  --------
 Total assets                                      $  7,466  $  7,703
                                                    ========  ========

Current liabilities:
 Accounts payable                                  $    502  $    556
 Accrued liabilities                                    363       640
                                                    --------  --------
  Total current liabilities                             865     1,196

Deferred income and other noncurrent obligations         62        57
                                                    --------  --------
 Total liabilities                                      927     1,253

Shareholders' equity:
 Preferred stock, $.001 par value; 5,000,000
  shares authorized; 0 shares issued and
  outstanding                                             -         -
 Common stock, $.001 par value; 10,000,000
  shares authorized;  4,504,939 shares issued and
  outstanding                                             5         5
 Capital surplus                                      5,793     5,791
 Retained earnings                                      741       654
                                                    --------  --------
  Total shareholders' equity                          6,539     6,450
                                                    --------  --------
    Total liabilities and shareholders' equity     $  7,466  $  7,703
                                                    ========  ========




                             T.J.T., INC.
                       STATEMENTS OF OPERATION
           (Dollars in thousands except per share amounts)
                                                   
                         Three Months Ended       Six Months Ended
                              March 31,               March 31,
                      ---------------------- -------------------------
                         2005        2004       2005          2004
                      ----------  ---------- -----------  ------------
Sales (net of returns
 and allowances):
 Axles and tires      $    4,409  $    3,414  $    8,222   $    6,740
 Accessories and
  siding                   1,125         923       2,566        1,974
                       ----------  ----------  ----------   ----------
  Total sales              5,534       4,337      10,788        8,714

Cost of goods sold
 Axles and tires           3,563       2,636       6,753        5,228
 Accessories and
  siding                     788         618       1,785        1,339
                       ----------  ----------  ----------   ----------
  Total cost of goods
   sold                    4,351       3,254       8,538        6,567
                       ----------  ----------  ----------   ----------

 Gross profit              1,183       1,083       2,250        2,147

Selling, general and
 administrative
 expenses                  1,243       1,094       2,472        2,122
                       ----------  ----------  ----------   ----------

 Operating income
  (loss)                     (60)        (11)       (222)          25

Interest income               12          11          28           25
Investment property
 income                        -          (2)          -           29
Undistributed equity
 interest in joint
 venture income              153          79         188           78
Rental income                  4          22           8           33
Other income                 151          10         152           10
                       ----------  ----------  ----------   ----------

 Income (loss)
  before taxes               260         109         154          200

Income taxes
 (benefit)                   106          45          67           81
                       ----------  ----------  ----------   ----------

 Net income (loss)    $      154  $       64  $       87   $      119
                       ==========  ==========  ==========   ==========

Net income (loss) per
 common share
 Basic and fully
  diluted:
  Continuing
   operations         $      .03  $      .01  $      .02   $      .03
                       ----------  ----------  ----------   ----------
Net income (loss)     $      .03  $      .01  $      .02   $      .03
                       ==========  ==========  ==========   ==========

Weighted average
 shares outstanding    4,504,939   4,504,939   4,504,939    4,504,939
                       ==========  ==========  ==========   ==========




                             T.J.T., INC.
                 STATEMENTS OF CASH FLOWS (unaudited)
                        (Dollars in thousands)

For the six months ended March 31,                       2005    2004
                                                        ------  ------

Cash flows from operating activities:
 Net income (loss)                                      $  87  $  119
 Adjustments to reconcile net income to net cash
  provided by operating activities:
  Depreciation and amortization                            84      89
  Gain on sale of assets                                 (152)    (39)
  Undistributed equity earnings in joint venture         (149)    (78)
  Stock compensation                                        2       1
  Change in accounts receivables                          (22)    372
  Change in inventories                                  (116)    (39)
  Change in prepaid expenses and other current assets     (15)    (46)
  Change in accounts payable                              (54)   (184)
  Change in taxes                                          67      81
  Change in other assets and liabilities                 (264)   (192)
                                                         -----  ------

    Net cash provided (used) by operating activities     (532)     84

Cash flows from investing activities:
 Purchases of property, plant and equipment               (94)   (210)
 Issuance of notes receivable                             (13)    (10)
 Repayments received on notes receivable                    7      26
 Proceeds from sale of assets                             152      10
 Land purchased for investment                              -     (25)
 Proceeds from sale of land held for investment             -      36
                                                         -----  ------

  Net cash provided (used) by investing activities         52    (173)
                                                         -----  ------

Net decrease in cash and cash equivalents                (480)    (89)
Cash and cash equivalents at October 1                    843   1,072
                                                         -----  ------

Cash and cash equivalents at March 31                   $ 363  $  983
                                                         =====  ======

Supplemental information:
 Interest paid                                          $   -  $    1
 Sale of land by issuance of note receivable                -      35
 Issuance of note receivable for sale of hanger
  inventory                                               143       -
 Issuance of note receivable for sale of fixed assets      50       -