CopyTele and ZQX Advisors Reaches Engagement Agreement

CopyTele, Inc. (OTCBB:COPY) announced today that it has entered into an Engagement Agreement with ZQX Advisors, LLC, a Minnesota limited liability company engaged in the business of assisting CopyTele to seek business opportunities and licenses for its electrophoretic display technology (E-Paper®) and its related intellectual property, particularly its patent portfolio. ZQX Advisors will receive an agreed to percentage of any proceeds CopyTele receives on its electrophoretic display technology, as compensation for its services. CopyTele also acquired a 19.5% interest in ZQX Advisors in exchange for 800,000 shares of CopyTele's common stock and warrants to purchase an additional 500,000 shares.

CopyTele's principal operations include the development, production and marketing of its thin flat low voltage phosphor displays and the development, production and marketing of multi-functional encryption products, hardware and software based, that provide information security for domestic and international users over virtually every communication media.