DFI solidifies global approach to capture emerging and fastest-growing markets with Asia’s second-fastest-growing economy.

SAN CLEMENTE - (BUSINESS WIRE) - August 28, 2007 - Diamon-Fusion International, Inc. (DFI Nanotechnology), global developer and exclusive licensor of the Diamon-Fusion® patented hydrophobic nanotechnology, recently signed an exclusive license agreement with PARADIGM NETWORK, LTD., a British Virgin Island-based corporation with a growing network of businesses based in Vietnam. The operations will be managed in Vietnam by GmG Co, LTD, a Vietnamese independently owned company, which has already established key relationships to develop and promote the Diamon-Fusion® patented nano-coating product lines to a diverse range of industries in Vietnam.

Vietnam has Asia’s second-fastest-growing economy, with 8.7 % growth last year, trailing only China. In one of the latest signs of Vietnam’s economic vitality, the country joined the World Trade Organization in 2006. Through the end of 2005, Vietnam’s growth rate exceeded that of Thailand, Malaysia, Taiwan, South Korea and even India, and now produces and uses more cement than France. The main indexes for the Ho Chi Minh City stock market and a smaller exchange in Hanoi have nearly doubled in value in 2006, while Vietnam is listed among the "Next Eleven" economies; the Next Eleven (or N-11) is a short list of countries named by Goldman Sachs investment bank as having promising outlooks for investment and future growth. Criteria includes macroeconomic stability, political maturity, openness of trade and investment policies and quality of education. The N-11 document is a follow-up to the emerging "BRIC" economies (Brazil, Russia, India, China).

Michael Gailey & Ngo To Giao, Managing Directors and Business Partners of PARADIGM NETWORK, LTD. and GmG Co, LTD, stated: “We are thrilled to have signed this license to introduce DFI’s patented nano-coating into Vietnam; we have no doubt our efforts and results will ignite other Asian markets as well. Vietnam has a great potential and we have already developed key markets that will be incorporating Diamon-Fusion® into their product lines as a low-maintenance feature and eco-friendly as well.”

Guillermo Seta, Executive Director of DFI Global Operations, reported: “Vietnam is growing at a very fast pace and its current trade openness creates a good timing for the introduction of our innovative nanotechnology, along with all upcoming products we have in our R&D portfolio; we are very pleased with this strategic alliance for Vietnam.”

DFI Nanotechnology multi-functional characteristics include: water and oil repellency (hydrophobic and oleophobic), impact and scratch resistance, protection against graffiti, dirt and stains, finger print protection, UV stability, additional electrical insulation, protection against calcium and sodium deposits and increased brilliance and lubricity. DFI’s nanocoating works at nanoscale levels to change the molecular composition of any silica-based surface. Diamon-Fusion® provides, in chemical terms, a ‘cross-linked’, ‘branched’ and ‘capped’ optically clear nano-film along with a strong and durable covalent bond.