Flexpoint Sensor Systems, Inc. (OTCBB:FLXP) and Delphi Automotive Systems, (NYSE:DPH) announced jointly today that Delphi has further enhanced their relationship with Flexpoint by providing a funding arrangement as part of a revised Purchase and Supply Agreement.

The loan proceeds will be used to cover costs directly related to Delphi and General Motors (NYSE:GM) programs and its continuing partnership with Flexpoint.

Flexpoint Sensor Systems is developing an automobile occupant classification system in conjunction with Delphi Automotive Systems, the tier 1 automotive supplier. Delphi Automotive Systems is also lending its vast high volume production experience to Flexpoint to assist in Flexpoint's production readiness and eventual supply to the automobile industry worldwide.

In preparation to supply Delphi Automotive Systems and General Motors the Company has completed the first phase of its automotive production facility for its patented Occupant Detection System®, which utilizes Bend Sensor® Technology. By automatically sizing up a car's passenger, this device will distinguish between a child's car seat or adult passenger. The Flexpoint system is expected to help automakers meet government regulations requiring advanced air bag systems in every car sold in North America.

Multi-national Delphi Automotive Systems, headquartered in Troy, Michigan, USA, Paris, Tokyo and Sao Paulo, Brazil is a world leader in transportation and mobile electronics components technology. Delphi's three business sectors -- Dynamics & Propulsion: Safety, Thermal & Electrical Architecture: and Electronics & Mobile Communication -- provide comprehensive product solutions to complex customer needs. Delphi has approximately 213,000 employees and operates 176 wholly owned manufacturing sites, 41 joint ventures, 53 customer centers and sales offices and 30 technical centers in 38 countries. Delphi can be found on the Internet at www.delphiauto.com.

Flexpoint Sensor Systems, Inc. has developed and patented the Bend Sensor Technology. The Bend Sensor is a technological breakthrough that reduces the dimensions of typical sensor devices by as much as 90 percent. Management believes this ultra-thin flexible plastic film is the lightest, most robust and cost-effective variable resistor available. Flexpoint is able to offer a superior solution for applications that require accurate measurement and sensing of deflection, acceleration and range of motion. Global market opportunities include automotive, medical, industrial controls, health and fitness, security, computer peripherals, aerospace, transportation and consumer products. Flexpoint has produced over 8,000,000 sensors for the toy and consumer industries.