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AZONIC CORPORATION ENTERS INTO STRATEGIC ALLIANCE WITH CUSTOMQUEST INC.
TORONTO, ONTARIO March 10, 2005 ---- Azonic Corporation (OTCBB:AZOI) today announced that it has entered a Product Strategic Alliance Agreement with CustomQuest Inc. of Cincinnati, Ohio. Under the terms of the agreement, Azonic Corporation (Azonic) and CustomQuest Inc. (CustomQuest) agreed to form a strategic alliance to collaborate in the development, manufacturing, packaging, distribution and marketing of the analog version of the low cost disposable cellular phone.
In October 2004, Azonic acquired certain intellectual property and other assets to introduce the "Cyclone Phone," as its solution for a "phone for the phoneless." One is designed to be located in glove boxes, first aid kits and emergency supply packages and used for emergency purposes. The second is a prepaid wireless phone designed to be used in the low cost and short-term usage markets. Potential applications include the traditional prepaid market, kiddy phone and throw away markets for business people and tourists in immediate need of a cell phone but who do not wish to enter into multi-year expensive contracts or purchase expensive handsets. These low-cost disposable phones will bring wireless communication to millions who can't afford to justify the cost of current offerings, want to avoid monthly charges, or simply need an inexpensive wireless phone while traveling or for emergency calls only. This new product offering will make and receive calls, be "ready to go" out of the box using "AA" batteries, will be refreshable, and will incorporate proprietary patented design.
Azonic will be responsible for the training of CustomQuest, assist in consulting as required with contract manufacturers and assist with planned upgrades of the analog product.
CustomQuest will arrange for manufacturing, packaging and will organize the marketing effort of the analog version of the phone. CustomQuest has agreed to pay a Royalty of $1.00 per phone on each sale and a further $0.01 to $0.03 per minute of airtime associated with each analog cellphone. CustomQuest will hold an exclusive right to sale of the analog cellphone in all North American markets except for financial service providers. All International markets outside of North America will be negotiated on a case-by-case basis.
Azonic and CustomQuest also agreed to co-develop a new low-cost digital technology version of the phone.
Mr. John Simmonds, Chief Executive Officer stated; “CustomQuest and its sister company FillTek bring everything needed to accelerate the process of bringing our analog cell phone to market. They are familiar with the product and it fits well in their line of business. We will continue to make these types of alliances to keep our organization nimble and able to capitalize on good opportunities quickly.”
Mr. Rick Kantor, President of CustomQuest commented; “Azonic offers the unique products, tools and expertise that CustomQuest looks for in an alliance partner. Our sales network have been requesting an offering like this phone that not only has broad market appeal but also offers our business partners recurring revenue through on-going air-time sales.”
About Azonic Corporation:
Azonic Corporation plans to market low cost, wireless devices including cellular phones. One such phone is designed to be located in glove boxes, first aid kits and emergency supply packages and used for emergency purposes. Another is a prepaid wireless phone designed to be used in the low cost and short-term usage markets.
About CustomQuest:
CustomQuest, established in June 2001, has enjoyed rapid growth in taking their unique business model to the premium and promotional industry. CustomQuest offers off-the-shelf and unique products from the world market from the best artists and suppliers in the U.S., Europe and Asia Pacific. CustomQuest’s Fortune 1000 clients represent a cross-section of America’s industry leaders seeking promotional premiums, marketing products and general merchandise.
About FillTek:
Established in January 2001, FillTek operates a fully integrated customer contact, fulfillment and sourcing center located in Cincinnati, Ohio. FillTek’s targeted Client is a mixture of Catalog Retailer, Web-Retailer, Wholesaler, Manufacturer or a combination of any or all these categories. FillTek’s broad service offering support the mission of driving market share, margin and providing a competitive advantage for our customers.
For additional information about Azonic Corporation review our periodic filings with the Securities and Exchange Commission at www.sec.gov.
This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on currently available competitive, financial and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain. Azonic Corporation cannot provide assurances that the matters described in this press release will be successfully completed or that we will realize the anticipated benefits of any transaction. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to: global economic and market conditions; the war on terrorism and the potential for war or other hostilities in other parts of the world; the availability of financing and lines of credit; successful integration of acquired or merged businesses; changes in interest rates; management's ability to forecast revenues and control expenses, especially on a quarterly basis; unexpected decline in revenues without a corresponding and timely slowdown in expense growth; our ability to retain key management and employees; intense competition and our ability to meet demand at competitive prices and to continue to introduce new products and new versions of existing products that keep pace with technological developments, satisfy increasingly sophisticated customer requirement and achieve market acceptance; relationships with significant suppliers and customers; as well as other risks and uncertainties, including but not limited to those detailed from time to time in Azonic Corporation's SEC filings. Azonic Corporation undertakes no obligation to update information contained in this release. For further information regarding risks and uncertainties associated with Azonic Corporation's business, please refer to the risks and uncertainties detailed from time to time in Azonic Corporation's SEC filings.
Source: Azonic Corporation

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John Simmonds
C.E.O.
Azonic Corporation
tel.| (905) 833-3838 ext 223
or
Rick Kantor
President
CustomQuest Inc.
tel.| (866) 346-2250
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