Epolin, Inc. Announces Results for the Year Ended February 28, 2007

NEWARK, NJ -- (MARKET WIRE) -- May 25, 2007 -- EPOLIN, INC. (the "Company") (OTCBB: EPLN) (www.epolin.com) today announced results for the fiscal year ended February 28, 2007.

For the year ended February 28, 2007, sales were $3,610,000 as compared to $3,701,000 for the year ended February 28, 2006, a decrease of $91,000 or 2.5%. Gross profit, defined as sales less cost of sales, was $2,156,000 or 60.0% of sales for the year ended February 28, 2007 compared to $2,219,000 or 60.0% of sales for the year ended February 28, 2006.

Cost of sales was $1,454,000 for the year ended February 28, 2007 which represented 40.3% of sales compared to $1,481,000 for the year ended February 28, 2006 which represented 40.0% of sales. Selling, general and administrative expenses decreased to $1,281,000 or 35.4% of sales for the year ended February 28, 2007 from $1,337,000 or 36.1% of sales for the year ended February 28, 2006, a decrease of $56,000.

During fiscal 2007, the Company reported income before taxes of $963,000 as compared to income before taxes of $938,000 for fiscal 2006. Net income after taxes was $623,000 or $0.05 per share for the year ended February 28, 2007 compared to net income after taxes of $594,000 or $0.05 per share for the year ended February 28, 2006.

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, 2007 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.

FINANCIAL HIGHLIGHTS

YEAR ENDED FEBRUARY 28, 2007


                                                   2007            2006
                                               ------------    ------------
Sales                                          $  3,609,674       3,700,853
                                               ------------    ------------
Cost of sales and expenses:
  Cost of sales                                   1,454,081       1,481,397
  Selling, general and administrative             1,280,547       1,336,977
                                               ------------    ------------
    Total                                         2,734,628       2,818,374
                                               ------------    ------------
Operating income                                    875,046         882,479
                                               ------------    ------------
Other income:
  Rental income                                      16,500          25,500
  Interest                                           71,951          30,246
                                               ------------    ------------
    Total other income                               88,451          55,746
                                               ------------    ------------
Income before taxes                                 963,497         938,225
Income taxes                                        340,569         343,827
                                               ------------    ------------
Net income                                     $    622,928         594,398
                                               ============    ============
Per share data:
  Basic earnings per common share              $       0.05            0.05
                                               ============    ============
  Fully diluted earnings per common share      $       0.05            0.05
                                               ============    ============
  Weighted average number of common shares
   outstanding                                   11,964,806      11,919,688
                                               ============    ============

  Fully diluted number of common shares
   outstanding                                   12,003,424      12,074,197
                                               ============    ============

Contact Information: For more detailed information, please contact: Murray S. Cohen Chairman of the Board James Ivchenko President Greg Amato Chief Executive Officer (973) 465-9495