CARTIS Inc. REBUTS BLUE INDUSTRIES THEFT ANNOUNCEMENT

Cartis Inc. explains & justifies its intervention on the night of March 16th when it recovered its merchandise from its custom delimited area registered in its name in the Pringy (France) facility, which cannot be mistaken for, or assimilated to, theft or burglary.

PALM BEACH, FLA -- APRIL 8, 2003 --In response to a missleading, inaccurate and incomplete Press Release issued by Patrick Gouverneur, President of BLUE INDUSTRIES, Inc. (OTCBB:BLII) on March 18, 2003, regarding an alleged theft at their facility in Pringy, France, Hervé Gallion, Executive Chairman of CARTIS Inc. (OTC Pink Sheets:CARI) wishes to comment as follows:

We are surprised that BLUE did not disclose that it is CARTIS Inc. itself which recovered CARTIS inventory and supplies from the custom delimited area registered in CARTIS name at the Pringy facility.

Indeed, since the French Custom Code states that: the Inventory & supplies held under custom" remain the property of the seller until export (out of the European Community) is completed, and that despite various Bills issued with their respective reminders, BLUE never effected any payment to CARTIS, such Inventory & supplies are rightfully CARTIS property. As a result, BLUE could not include the merchandises value in its Inventory (US$ 850000 according to BLUEs Press Release of March 18th and SEC 8K filing of March 20, 2003), which means our intervention should have no bearing on the Companys results ! We therefore hardly understand Blue's President comment that: "... this loss is likely to have a significant negative impact on our short-term business prospects". The matter fact, in a further SEC 8K filing dated March 28, 2003, he declared that : "We are happy to announce that the burglary is not expected to materially interfere with our existing customer contracts ..." Which is which then ?!

BLUE could not ignore these facts as CARTIS left a detailed letter in BLUEs Pringy mail box explaining the reasons & justifications for its intervention, and further confirmed by E-mail, Facsimile and Registered letter. The French Customs were equally informed of our intervention.

Much to our regret, however, we accounted missing 14 patented Cartis (TM) powder containers of 240 Liters each (that is 3360 Liters in total) from CARTIS original stocks and noticed that some of the recovered containers had been opened and partially used or mixed with what seems to be untreated raw materials.

CARTIS did put a very high priority on recovering its merchandise, not only because it was unpaid and under customs" but also because BLUE declared that Cartis (TM) patented powder was not working, while BLUE was selling it to our Chinese and Thai clients, reconditioned in 6 liters plastic bags under the name FS600x. It appears, however, after analysis, that the product has been deteriorated by a heating process under common atmosphere, using methods they do not seem to master. This being said, we do not understand why the fact we recovered our stocks put them in such a dispear since they bragged about being able to produce 8000 liters a month of a "similar" (counterfeit) powder to CARTIS one.
CARTIS did not take any office equipment, nor any quality control files" that would be totally useless anyhow ; any declaration to the contrary is an outright lie. As a Stock Research Analyst recently commented : Companies facing potential or actual requests for financial or technical documents have only a few options. If compliance with the request will hand their opponents a "rope" that can be used to "hang" them, there seems to be a statistically significant rise in "fire and theft incidents" that conveniently obliterate those records" ...

Furthermore, there was no burglary" contrarily to Patrick Gouverneurs statement, as we used our office keys and disarmed the alarm with the appropriate codes, hence without breaking in.

Let us not forget that these offices were ours and that it is upon an unauthorized Lease transfer of the Pringy facility from CEFCA Sarl (CARTIS French powder manufacturing subsidiary) to BLUE, by unilateral decision of Cyril Heitzler (the General Manager of CEFCA who eventually became CEO and a major shareholder of BLUE), that all what was in the Pringy office (CARTIS Office supplies, equipment & furniture, the Research Laboratory, Inventory, Supplies, etc.), became (by magic, no doubt) the property of BLUE, or so they considered, without BLUE ever indemnifying CARTIS for same, nor putting the necessary corresponding reserves in its Books !

Maybe this explains why (contrarily to the statements of Patrick Gouverneur in said Press Release which they further confirmed in the SEC 8K filed by the company on March 20, 2003) no theft report has been filed by BLUE with its Insurance carrier as we write (about 3 weeks after our intervention), which puts them out of the required 5 days maximum Insurance reporting delay from the date of Loss ! Are we to understand that BLUE feared of being accused of Insurance fraud if they had filed a claim or is it that they, too, consider there is no theft in the fist place ?
May be it is time that Patrick Gouverneur and BLUE start questionning the very legitimacy of their existence and of their continued corporate activity, if anything, by respect for their shareholders ! "

A complaint has been filed in return against BLUE for diffamatory & wrongful statements, for frivolous complaint and abusive procedure and, against Cyril Heitzler personnally, for deception, abuse and missappropriation of Companys assets and other counts ...

About CARTIS Inc.
CARTIS Inc. is a Company specialized in the manufacturing, production and distribution of cartridges of patented powder and devices for the treatment of water at the point of consumption. The Company commercializes its products under the trademark Cartis (TM).

Safe Harbor statement under the Private Securities Litigation Act of 1955. This release contains forward-looking statements within the meaning of Section 27A of the Securities & Act of 1933 and section 218 of the Securities Exchange Act of 1934. Any statements that express or involve discussion with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions, or future events or performance are not statements of historical facts may be forward-looking statements. Forward -looking statements are based on expectations, estimates, and projections at the time the statements are made to involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated.

CONTACT: CARTIS Inc., Palm Beach

Herve Gallion:
Tel # : + 230 251 54 15 - Fax #: + 1 (509) 267 50 58 - Email : herve.cart@wanadoo.fr