Tejas Deregisters Its Stock

Tejas Incorporated (BULLETIN BOARD: TEJS) announced today that it intends to voluntarily deregister its common stock on or about May 30, 2008. On or about that date, Tejas will file a Form 15 with the Securities and Exchange Commission (the "SEC") to voluntarily deregister its common stock under the Securities Exchange Act of 1934, as amended (the "Exchange Act").
Upon the filing of the Form 15, Tejas's obligation to file certain reports with the SEC, including Forms 10-K, 10-Q, and 8-K, will immediately be suspended. Tejas expects that the deregistration of its common stock will become effective 90 days after the date the Form 15 is filed with the SEC. As a result of the filing of the Form 15, Tejas expects that its shares will no longer be quoted on the OTC Bulletin Board. Tejas anticipates that its common stock may be traded on the Pink Sheets after it deregisters. However, Tejas can give no assurances that its common stock will be traded on the Pink Sheets or, if it is traded on the Pink Sheets, whether an active trading market will develop for its common stock.

Kurt Rechner, Tejas's President and Chief Financial Officer, stated, "After assessing the advantages and disadvantages of remaining a registered company, our Board of Directors unanimously concluded that it is in the best interests of the Company and its stockholders to deregister its common stock. The substantial out-of-pocket costs, as well as the significant demands on management's time and focus, necessary to comply with SEC reporting, including the additional costs that would be required in order to comply with Section 404 of the Sarbanes-Oxley Act, outweigh the benefits the Company receives from maintaining its registered status. We believe that deregistering will allow us to reduce current expenses, avoid substantial future costs, and free our management team to focus more of its time and resources on operating the Company and enhancing stockholder value."

Tejas currently expects that it will continue to provide its stockholders with periodic financial and operational information. The financial statements contained in these updates may be unaudited and will not have the detail required of a company that files reports with the SEC.