May 16, 2006

Dear Valued Customer,

Just when we get comfortable, up pops another challenge. You all know about the rising costs of gas and energy, which affects everything. In addition, silver and gold has almost doubled, and where it ends is anyone’s guess.

Sterling Silver and Gemstones, design and craftsmanship is our jewelry. We love the feel of precious metal, the weight and sound. We love being amazed by the thought that the brilliant color of a natural stone came from deep in our earth. That’s what I want touching my skin for hours or days on end.

The metal intrinsic to virtually every piece we create is sky rocketing in value. With 30 years in this business, we experienced the 1979 and 1980 Hunt brothers short term silver run and dramatically realized the impact of commodities market speculation. At this time, we are in the process of re-costing our products at a $12 per ounce silver market. Starting with our heaviest items, we increased those sale prices as we received large wholesale customer orders. The remaining one thousand plus items will be re-priced June 1 st.

Although the silver market recently topped $15, we are envisioning the market settling again over the coming months. We hope to hold our $12 per ounce pricing for items with less than one ounce of silver through the next calendar quarter. Items over one ounce will be re-priced with a $2 change in silver market.

For our new world of volatile silver values, our designers have created many exceptionally beautiful silver swing proof jewelry collections in CP Signature. We are excited to announce their world premier will be at the largest wholesale fine jewelry venue, the JCK (Jewelers Circular Keystone) in Las Vegas, June 3 rd. These collections will be available on relioswholesale.com June 21 st.

To make room for our new we are retiring many old favorites. Over the next few weeks look for more items moving into Clearance and Corazon. Act fast, quantities are limited.

We are striving to continue offering you our precious metal and genuine gemstone quality, unique jewelry. Have a great summer!

Bill Pollack
President