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STOCKERYALE ANNOUNCES AVAILABILITY OF ITS NEW POLYIMIDE COATED SINGLE-MODE FIBER

Specialty Optical Fiber Ideal for Harsh Environment Applications

January 26, 2004

Salem, NH
- - StockerYale, Inc., (NASDAQ: STKR), an independent provider of advanced illumination and optical products, today announced the availability of its new SM-1310-P1 polyimide coated single-mode fiber. This specially engineered optical fiber is ideal for optical sensor systems operating at 1310 and 1550 nm within harsh environments inherent to the oil and gas industries. This specialty optical fiber is also well suited for use within select medical devices such as imaging catheters because of the intrinsic properties associated with the thin polyimide coating.

The Company will be unveiling its new polyimide coated single-mode fiber at Photonics West in the San Jose Convention Center, San José, California, January 27-29, 2004, in booth #827.

The Company's polyimide coated single-mode fiber is designed to have a glass diameter of 125 mm and a coating diameter of 155 mm. With the application of a polyimide coating, this specialty optical fiber has an operating temperature range of -65°C to 300°C thus allowing it to operate in environments where standard acrylate coatings would normally fail.

StockerYale's engineering team can also custom design a polyimide coated single-mode fiber to meet a customer's specific requirements. Contact for more information.

"With the availability of this new fiber, StockerYale continues to build upon its product offerings of specialty optical fibers to support applications within the fiber optic sensors market," said Paul Jortberg, senior vice president of sales and marketing, optical components." Jortberg concluded, "We are very pleased with the quality of this new polyimide coated fiber and look forward to the new opportunities that this fiber presents to us."

About StockerYale

StockerYale, Inc., headquartered in Salem, NH, is an independent designer and manufacturer of structured light lasers, light emitting diodes, (LEDs), fiber optic, and fluorescent illumination technologies as well as specialty optical fiber and phase masks for use in a wide range of markets and industries including the machine vision, telecommunications, aerospace, defense and security, utilities, industrial inspection, and medical markets.

StockerYale serves a widely varied, international customer base and reinvests a significant percentage of its revenues in R&D to meet the future requirements of its customers. StockerYale has offices and subsidiaries in the U.S., Canada, Europe, and the Pacific Rim.

For more information about StockerYale and their innovative products, contact:
StockerYale, Inc., 32 Hampshire Rd., Salem, NH, 03079.
Call 800-843-8011; Fax 603-893-5604; Email .

Notice to investors

This press release contains forward-looking statements that do not give full weight to all the potential risks, but relate to StockerYale's plans, objectives, and expectations, which are dependent upon a number of factors outside of StockerYale's control including, but not limited to: uncertainty that StockerYale's new photonics-based products launched in 2002 will gain market acceptance; the risk that delays and unanticipated expenses in developing new products could delay the commercial release of those products and affect revenue estimates; the risk that one of our competitors could develop and bring to market a technology that is superior to those products that we are currently developing; and StockerYale's ability to capitalize on its significant research and development efforts by successfully marketing those products that the Company develops. You should also refer to the discussion under "Certain Factors Affecting Operating Results" in StockerYale's form 10K for additional matters to be considered in this regard. Thus, actual results may differ materially. All Company, brand, and product names are trademarks or registered trademarks of their respective holders. StockerYale undertakes no duty to update any of these forward-looking statements.

This press release also contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 relating to, among other things, the Company's future operating results and sales trends. Reliance should not be placed on forward looking statements because they involve known and unknown risks, uncertainties and other factors which are in some cases, beyond the control of StockerYale, which may cause the actual results, performance or achievements of the Company to differ materially from anticipated future results, performance or achievements expressed or implied by such forward looking statements.