Epolin, Inc. Announces Adoption of Dividend Policy; Board of Directors Declares $0.02 Cash Dividend

EPOLIN, INC. (OTC BB: EPLN) ( www.epolin.com ) today announced that its Board of Directors has approved the adoption of a dividend policy under which the Company will issue a regular annual cash dividend on shares of its common stock. The amount of the dividend, record date and payment date will be subject to approval every year by the Company's Board of Directors.

Related Results

In accordance with the new dividend policy, the Company also announced that its Board of Directors has declared the first regular annual cash dividend of $0.02 per share to be payable on May 1, 2006 to shareholders of record at the close of business on April 20, 2006. Subject to future analyses of the Company's cash resources and projected cash needs, the Board of Directors intends to continue in the future to consider the Company's dividend policy, including the possibility of the issuance to shareholders of special cash dividends from time to time in addition to the payment of the regular annual dividend.

Murray S. Cohen, Ph.D., Chairman of the Board, stated, "We are pleased that Epolin is in a position today to announce the adoption of a policy to pay a regular annual dividend to our shareholders. Although we have paid certain cash dividends in the past, we never adopted a dividend policy until now. We believe our intended dividend level will still allow us to continue our strategy of sustainable growth."

About Epolin

Epolin, Inc. is a specialized chemical company primarily engaged in the manufacturing, marketing, research and development of infrared dyes, laser absorbing dyes and infrared dye formulations. The Company's business is heavily weighted towards the development, manufacture and sale of near infrared dyes. Applications for these dyes cover several markets that include laser protection, welding, sunglasses, optical filters, glazing and imaging and security inks and tagants. The Company also manufactures specialty chemicals for certain chemical manufacturers.

Statements contained herein that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the Company's expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. When used herein, the words "anticipate," "believe," "estimate," "plan," "intend" and "expect" and similar expressions, as they relate to Epolin, Inc., or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company's actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, such factors discussed in the Company's Annual Report on Form 10-KSB for the fiscal year ended February 28, 2005 under the caption "Uncertainties and Risk Factors" in Part I, Item 1 "Description of Business." Except as required by the Federal Securities law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or for any other reason.

Contact: Murray S. Cohen, Ph.D. Chairman of the Board James Ivchenko President Greg Amato Chief Executive Officer (973) 465-9495