CTI Announces Resignation of a Director.

Business Editors

BURNABY, B.C.--(BUSINESS WIRE)--Sept. 7, 2001

CTI Diversified Holdings, Inc. (OTCBB:CDHI) ("CTI") announced today that Mr. Robert Kubbernus has resigned from his position on the Board of Directors of CTI.

As announced on May 23, 2001, CTI

entered into an agreement to acquire all of the shares of Sentry Telecom Systems Inc. ("Sentry"), a developer of leading edge telecom security products. The first product, a firewall for corporate enterprise telecommunication networks, called the "Phonewall(TM)", is currently being introduced into North America and Korea. CTI now intends to focus exclusively on the telecom security field. It will introduce new products into the marketplace through a network of strategic distribution channel partners, presently being established by Sentry. CTI will also seek to acquire other promising leading edge products that could be marketed through these distribution channels.

"With this new direction, it made sense to immediately commence the process of eliminating the components of CTI that related specifically to the previous plans to distribute Jawz Inc. technologies in Asia," said Don Farnell, president of CTI. "We have now completed the closure of the offices previously established in Japan and Tokyo to market the Jawz technologies and we have moved the company's head office and administration into Sentry's facility in Burnaby, B.C. Mr. Kubbernus has now resigned from the Board of Directors of CTI. CTI's future plans no longer include marketing of technologies from Jawz Inc., where Mr. Kubbernus is Chairman and CEO." Jawz Inc. continues to hold restricted shares of CTI.

CTI's web site is currently under construction, in order to communicate this new direction. In the meantime, Sentry's web site can be viewed at www.sentrytelecom.com.

Any statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve risks and uncertainties. Potential factors could cause actual results to differ materially from those expressed or implied by such statements. Information on the potential factors that could affect the Company's actual results of operations are included in its filings with the Securities and Exchange Commission. These risks may be further discussed in periodic reports and registration statements to be filed by the Company from time to time with the Securities and Exchange Commission in the future.

The Company's shares trade on the OTCBB under the symbol "CDHI".

CTI Diversified Holdings, Inc. Don Farnell, President