Cryocon Announces Post Year-End Assets Acquisition; Company Business Potentially Expands Into Southeastern United States and Automotive Industry

    OGDEN, Utah--Aug. 20, 2002--Cryocon Inc. (OTCBB:CRYQ) today announced that subsequent to its March 31, 2002 year end, it acquired the assets of Applied Cryogenics of Fort Smith, Ark. on April 19, 2002.
    Applied Cryogenics' customer base was heavily concentrated in the automotive industry to meet customer needs of improving the life and durability of die molds and various other parts.
    Terms of the assets acquisition included the issuance of 60,000 shares of the restricted common stock of Cryocon to Applied Cryogenics in return for: (a) purchase of the Applied Cryogenics corporation name, but not the corporation itself; (b) purchase of Applied Cryogenics domain names; (c) transfer of Applied Cryogenics phone numbers and customer lists; (d) purchase of Applied Cryogenics equipment, including processors and ovens.
    "Acquiring Applied Cryogenics is good for Cryocon and our shareholders," commented J. Brian Morrison, CEO of Cryocon. "We obtained additional processing capabilities, services, and customers. Potential links into the automotive industry and our potential expansion into the southeastern United States and the automotive and die mold industries were key to the acquisition."
    Morrison added that, "David Medlyn, the president and founder of Applied Cryogenics, is now a valued member of our staff. Mr. Medlyn will have significant influence on our marketing strategies."
    "This was an easy decision to make," said Medlyn. "Cryocon's goal, like mine, is to achieve the highest level of performance possible through their team of scientists, engineers, and metallurgists that have over 100 years of experience in material processing."
    Cryocon Inc., a public company based in Ogden, specializes in solving product wear and durability issues through material transformation engineering which include its process of Deep Cryogenic Tempering (DCT). DCT is a computer-controlled tempering process that significantly improves the wear and performance characteristics of many types of metal, alloys, and synthetic materials.
    Treated items show dramatic increases in wear resistance, toughness, machinability, and thermal and dimensional stability. Cryocon is currently testing, researching, and treating items from the manufacturing, automotive, mining, drilling, aerospace, medical, lumber, and printing industries.

    This press release contains forward-looking statements, including those statements pertaining to the beneficial nature of acquiring the assets of Applied Cryogenics. The words or phrases "would be," "will allow," "intends to," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," or similar expressions are intended to identify "forward-looking statements."
    Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties.
    Among other things, competition from existing or new competitors will impact our business; our research and development is subject to economic and technological factors; if our revenues and existing cash are insufficient to support our operations and/or future plans, we may need financing which we may be unable to obtain; and the company is subject to other risks stated in our Form 10-KSB for our Fiscal Year ended March 31, 2002.
    Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. Unless otherwise required by applicable law, we do not undertake, and the company specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement.