CRS Electronics completes $1,250,000 private placement

Jan. 5, 2010
Date Announced: 05 Jan 2010 CRS Electronics Inc. ("CRS"), (TSX VENTURE:LED), an inventor, developer and manufacturer of LED lighting, is pleased to announce the successful closing of its previously announced non-brokered private placement.Dynamic Venture Opportunities Fund Ltd., a subsidiary of DundeeWealth Inc., subscribed for and closed on $1,000,000 of the private placement. Subscription agreements for the remaining $250,000 were executed with four other shareholders who participated in the previous private placement."We are extremely pleased with Dundee as our first institutional investor. The recognition and support we have been receiving from investors since going public in May last year has been tremendous," said Scott Riesebosch, President of CRS Electronics. "We look forward to using this funding to continue to grow our business."By way of private placement, 2,777,777 Units were issued for aggregate gross proceeds of $1,250,000. The Units were comprised of one common share and one half of a warrant at a price of $0.45 per Unit. Each whole warrant entitles the holder to acquire one common share upon payment of $0.65 per common share until December 22, 2010. The total maximum number of common shares to be issued if all warrants are exercised is 4,166,664 representing 16.6% of the current common shares issued and outstanding. The warrants will not be registered for trading and all common shares issued directly or through the exercise of warrants will have a four month hold period from the date of closing. No commissions were paid on the transaction.On December 31, 2009, the Company received final acceptance from TSX Venture Exchange. All of the subscribers are accredited investors based in Canada or based in the United Sates.About CRSCRS is a leader in the emerging, rapidly-growing market of high efficiency light-emitting-diode ("LED"), or, solid state lighting ("SSL"). The principal activities of CRS include the development, manufacture and sale, primarily in North America, of indoor and outdoor lighting such as LED replacement lamps, LED streetlights, exterior LED warning lights on school buses, child safety systems for school buses and contract manufacturing of LED circuit boards. CRS is a well-established supplier to both the school bus industry and the LED contract manufacturing industry, providing a stable and growing revenue source. CRS plans to be a major supplier of LED light engines for a variety of applications to be developed by CRS on its own and in conjunction with its customers. The Company currently sells one of the very few replacement LED MR16 lights capable of replacing a halogen 50 watt MR16.Certain statements contained in this news release constitute forward-looking information, future oriented financial information, or financial outlooks (collectively "forward-looking information") within the meaning of Canadian securities laws. Forward-looking information may relate to this news release and other matters identified in CRS's public filings, CRS's future outlook and anticipated events or results and can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts and include, but are not limited in any manner to, those with respect to capital and operating expenditures, economic conditions, availability of markets for products, availability to develop and manufacture products, availability of sufficient financing, receipt of approvals, satisfaction of escrow requirements, satisfaction of closing conditions, obtaining debt financing for capital expenditures, and any and all other timing, development, operational, financial, economic, legal, regulatory and/or political factors that may influence future events or conditions. Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other CRS filings, and include the effect of capital market conditions and other factors on capital availability and the ability to complete additional closings; sufficient working capital for development and operations, access to adequate services and supplies, availability of markets for products, commodity prices, foreign currency exchange rates, interest rates, access to capital markets and other sources of financing and associated cost of funds, availability of a qualified work force, availability of manufacturing equipment, no material changes to the tax and regulatory regime and the ultimate ability execute its business plan on economically favourable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward-looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other CRS filings at and other unforeseen events or circumstances. Other than as required by law, CRS does not intend, and undertakes no obligation to update any forward-looking information to reflect, among other things, new information or future events.


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