CPI International Inc., Santa Rosa Ca., announced today that a recent federal court decision has cleared the way for CPI to introduce its flagship product, Colitag™, into the public drinking water testing market. Colitag™ quickly detects exceedingly small numbers of the potentially deadly E. coli bacteria in water samples. Most importantly, Colitag™ has the critical ability to detect E. coli injured but not killed during water treatment that could present health risks if not re-treated.

IDEXX, the dominant player in the public drinking water testing industry, filed suit against CPI, alleging that Colitag™ infringed three patents held by IDEXX. On June 4, 2001 Judge Janet Bond Arterton, U.S. District Court, District of Connecticut, ruled in favor of CPI, finding that Colitag™ does not infringe the three patents held by IDEXX. Private laboratories, municipal and State governmental authorities responsible for assuring the safety of public drinking water can now protect the public by using Colitag™.

The EPA gave preliminary approval of basic Colitag™ for use as a public drinking water test 18 months ago, but final approval has languished at EPA during the IDEXX suit against CPI. This decision will allow the Environmental Protection Agency (EPA) to publish Colitag™ in the Federal Register as a test method under the Total Coliform Rule. Once basic Colitag™ is approved, CPI plans to pursue approval of the enhanced Colitag™ method of testing. Colitag™, in its enhanced version, offers a new and improved water testing technology, invented by Dr. George Chang, a professor at the University of California, Berkeley. This new technology permits the detection of pathogenic bacteria not detectable with EPA’s currently approved water tests and will provide an increased measure of protection for the public. Upon promulgation, Colitag™ may be used by water utilities nationwide to test for E. coli and meet Federal and State reporting requirements.

According to David Hejl, President of CPI International, “We are heartened that the court has done justice and that Colitag™ will now be permitted to compete fairly with IDEXX’s market leading products.” Hejl added that, “CPI’s victory in the suit brought by IDEXX is truly a David and Goliath story, and was achieved because a great team believed in Colitag™.” This team includes inventor George Chang, Ph.D., UC Berkeley and co-inventor Rosalind Tung, UC Berkeley, Professor A.C. Matin, Ph.D., Stanford University, and CPI’s patent litigation counsel, C. Joël Van Over of Swidler Berlin Shereff Friedman, Washington D.C. and William Speranza of Wiggin & Dana, New Haven, CT.

Dr. Chang, when advised of Colitag™’s vindication responded that, “Now the public will have the long awaited benefit of an effective and valuable product.”

For further information, contact David Hejl, President, CPI International (1-800-878-7654).