Isola Implementing Global Enterprise Resource Planning (ERP) System

Dear Isola Customer Isola USA works hard to make it fast and easy for you to do business with us. While personal contacts remain the core of our customer relationships, they are now being complemented by a state-of-the art information technology platform for managing our business processes worldwide. The benefit for you will be timelier, more professional service.

Over the next nine months, we will be implementing a global enterprise resource planning (ERP) system based on SAP R/3 technology in all four U.S. manufacturing facilities. We officially began this process in November 2006. We plan to implement our Elk Grove California facility on April 2nd 2007. Isola Europe and Isola Asia already run on SAP, and with the implementation in North America, Isola will move to a single global ERP system.

As a customer supplied by Isola USA, you will begin to notice some changes when dealing with us as we implement our new ERP system. Please refer to the fact sheet, which summarizes the key changes you can expect to see in the coming weeks – as well as a summary of the things that will not be changing.

We will do everything possible to ensure a smooth transition and continuity of normal business operations throughout the conversion period. We will also be closely monitoring the performance of our new system during the days and weeks ahead to verify order processing and delivery effectiveness. However, should you experience a service issue, please do not hesitate to contact your Isola sales or Inside sales representative at any time.

We will continue to keep you informed of any relevant developments and look forward to working closely with you as the new systems goes live in the U.S.

Sincerely,

Isola Group USA

09 March 2007

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