Applied Nanotech Unveils Ultra-Strong Structural Adhesive CNTstix™
Carbon-nanotube reinforced epoxy outperforms current adhesive industry competitors

Austin, TX - May 7, 2012 - Applied Nanotech Holdings, Inc. (OTC BB: APNT), a global leader in nanotechnology, is pleased to announce that it has unveiled the new product CNTstix™, an ultra-strong carbon-nanotube reinforced adhesive for structural applications.

With the global market for adhesives projected to reach $38 billion by the year 2017, Applied Nanotech’s two-part carbon nanotube reinforced epoxy adhesive performs much better than similar products on the market. Tested by a leading independent laboratory in North America, the adhesion tear strength of CNTstix™ is more 60% higher than that of a popular adhesive manufactured by a leading industry competitor.

“Our CNTstix™ adhesive outperforms conventional adhesives because of our patented carbon nanotube technology, which is also being used by Yonex Corporation for sporting goods,” said Dr. Dongsheng Mao, Vice President of Engineering and Director of the Nanocomposite Division at APNT subsidiary, Applied Nanotech, Inc. “Carbon nanotubes possess unique mechanical, electrical, and thermal properties. They are the strongest material known in the world to date.”

Using its proprietary functionalization and dispersion technologies, Applied Nanotech is able to significantly improve the properties of adhesives using carbon nanotubes, in particular for bonding materials to each other. The improvements realized with CNTstix™ have innumerable industrial and commercial applications such as packaging, sporting goods, automotive, electronics, footwear, construction repair and remodeling, textiles, consumer goods, and shipbuilding, etc.

“The potential market for CNTstix™ is very large,” said Dr. Zvi Yaniv, president and CEO of Applied Nanotech, Inc. “After we sent samples to numerous potential customers from different industries, such as composite assemblies for automotive applications and carbon fiber tubing assembly for racing bicycles, responses have been very positive due to the performance and characteristics of this new adhesive for their applications.”

Building on its success in developing nanocomposites for Yonex Corporation (high performance golf club shafts and badminton racquets), Applied Nanotech has started to gain traction for its nanocomposite materials for additional commercial applications with very large market potential.

“In late 2011, we embarked on an aggressive direct sales program to increase our high-margin revenues. We are pleased to have CNTstix™ join our award-winning thermal management material CarbAl™ as the latest product to be sold direct to users,” said Applied Nanotech Holdings, Inc. CEO Doug Baker “In addition, our growth plan will also result in other products coming on the market in 2012.”

Applied Nanotech is currently capable of providing CNTstix™ in a variety of quantities, starting at one ounce. Its special burst pouch packaging ensures a 100 percent accurate proper mixing of the CNT reinforced epoxy and compatible hardener.

About Applied Nanotech Holdings, Inc.
Applied Nanotech Holdings, Inc. is a global nanotechnology leader, focused on solving problems at the molecular level, and commercializing the results of its research. Its team of PhD-level scientists and engineers work with companies and other organizations to solve technical impasses and create innovations that will create a competitive advantage. The business model is to sell products and license patents and technology to partners that will manufacture and distribute products using the technology. Applied Nanotech has over 300 patents or patents pending. Applied Nanotech's website is http://www.appliednanotech.net

Safe Harbor Statement

This press release contains forward-looking statements that involve risks and uncertainties concerning our business, products, and financial results. Actual results may differ materially from the results predicted. More information about potential risk factors that could affect our business, products, and financial results are included in our annual report on Form 10-K for the fiscal year ended December 31, 2010, and in reports subsequently filed by us with the Securities and Exchange Commission ("SEC"). All documents are available through the SEC's Electronic Data Gathering Analysis and Retrieval System (EDGAR) at www.sec.gov or from our website listed above. We hereby disclaim any obligation to publicly update the information provided above, including forward-looking statements, to reflect subsequent events or circumstances.

Company Contact:
Doug Baker
Applied Nanotech Holdings, Inc.
248.391.0612
dbaker@appliednanotech.net

Copyright © 2013 Applied Nanotech Holdings, Inc. All Rights Reserved