COMPANY NEWS

CopyTele to Exhibit Color Thin Flat Low Voltage Phosphor Displays at SID 2006

MELVILLE, NY – May 26, 2006: CopyTele, Inc. (OTCBB:COPY) announced today that it will be exhibiting its color thin flat low voltage phosphor displays at The Society for Information Display (“SID”) International Symposium, Seminar and Exhibition at The Moscone Center in San Francisco, California. The displays will be connected to DVD players to show color movies and will be exhibited in Booth 644 from June 6 through June 8, 2006.

CopyTele’s color thin flat low voltage phosphor displays operate in broad environmental conditions, have a wide viewing angle, and have long life, like CRT displays, but are much more compact and energy-efficient, and operate on as low as 40 volts.

Now in its 44th year, the annual SID Symposium has been the premier international gathering of scientists, engineers, manufacturers and users for the discussion, presentation, viewing and evaluation of information display technology. The 2006 SID International Symposium, Seminar and Exhibition is scheduled to include more than 250 companies and 7,500 attendees.

CopyTele’s principal operations include the development, production and marketing of its thin flat low voltage phosphor displays and the development, production and marketing of multi-functional encryption products, hardware and software based, that provide information security for domestic and international users over virtually every communication media. For additional information, visit CopyTele’s website at www.copytele.com.

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Statements that are not historical fact may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical facts, but rather reflect CopyTele’s current expectations concerning future events and results. CopyTele generally uses the words “believes”, “expects”, “intends”, “plans”, “anticipates”, “likely”, “will” and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning CopyTele’s expectations, involve known and unknown risks, uncertainties and other factors, some of which are beyond CopyTele’s control, which may cause CopyTele’s actual results, performance or achievements, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. In evaluating such statements as well as the future prospects of CopyTele, specific consideration should be given to various factors, including the following: CopyTele’s prior history of losses and negative cash flows from operations; CopyTele’s ability to obtain debt or equity financing to continue our marketing, research and development activities, on terms acceptable to CopyTele, if cash generated from operations is insufficient to satisfy our liquidity requirements;CopyTele’s ability to develop a full-color video display;the possible development of competitive products that could render CopyTele’s products obsolete or unmarketable; and other risks as detailed from time-to-time in CopyTele’s filings with the Securities and Exchange Commission. CopyTele undertakes no obligation to update any forward-looking statements as a result of new information, unanticipated events, or otherwise.