CLST Holdings Inc (CLHI)

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Red Oak Responds to Allegations by CLST
NEW YORK--(BUSINESS WIRE)--Red Oak Fund, L.P. (“Red Oak”), a fund managed by Red Oak Partners, LLC, announced today that it has sent a letter to CLST Holdings, Inc. (“CLST”) setting the factual record straight with respect to the allegations contained in the lawsuit filed by CLST on February 13, 2009 against Red Oak and certain affiliates. A copy of the letter is attached as an exhibit to the Schedule 13D filed by Red Oak with the Securities and Exchange Commission earlier today.

“I urge shareholders to read the letter which I sent to CLST today as it sets the record straight,” said David Sandberg, Managing Partner of Red Oak Partners, LLC. “CLST’s allegations are without merit, and to us the lawsuit filed by CLST looks like just one more example of CLST’s board seeking to entrench its position with the company. The board of CLST failed to call an annual meeting for fiscal year 2008 and many shareholders continue to be frustrated with CLST’s board which seems to have backed away from implementing the plan of dissolution approved by the corporation’s stockholders back in 2007.”



Contacts
Red Oak Partners, LLC
David Sandberg, 212-614-8952
[e-mail]