Mold Tek Technologies

Mold Tek Technologies Ltd has informed about "Clarification towards concerns expressed by some of the Investors and Analysts" as follows:

"1. There is no effect of US Sub prime issue and corresponding drop in growth of Housing in USA on our Structural Engineering KPO.

(i) Our Structural Engineering Services constitute very insignificant portion (much less than even 0.001%) of overall Engineering Services that are outsourced in USA. Hence a 5-6% drop in Construction Activity in USA will have no impact in our order flow.

(ii) In fact the Company's recent foray into high-rise commercial buildings is growing rapidly and contributing handsome growth and higher value addition (more than rupee appreciation). Our KPO revenues are growing around 100% over the last year.

(iii) Company acquired a US based Engineering Services firm which is spearheading Marketing, QC and Client Coordination resulting in getting "larger clients and projects".

(iv) Only 15 engineers out of 250 in Mold-Tek-KPO are in Residential Projects.

(v) Even if the Housing growth and Prices are coming down in USA, it will make American Builders and fabricators to save costs by choosing more outsourcing which is at present far less than 0.1% of the Market Size."