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Press release from CNW Group

Armtec Infrastructure Inc. Aware of Potential Lawsuit

Friday, June 17, 2011

Armtec Infrastructure Inc. Aware of Potential Lawsuit18:01 EDT Friday, June 17, 2011GUELPH, ON, June 17, 2011 /CNW/ - Armtec Infrastructure Inc. ("Armtec" or the "Company") (TSX: ARF) and (TSX: ARF.DB) today announced that it is aware of a notice of action for a proposed class action lawsuit against Armtec in the Ontario Superior Court of Justice. The plaintiff seeks to represent investors who acquired shares in connection with a public offering in April 2011. Armtec has not yet been served with any Statement of Claim and is not required to respond to the allegations.Armtec is confident that there are no grounds for a lawsuit to succeed. If, however, this suit proceeds, Armtec will defend it vigorously based on, amongst other things, Armtec's disclosure of the risk factors associated with its business and to the payment of a dividend. Armtec provides plain and true disclosure of these risks, which include industry cyclicality, the restrictive covenants in the Company's credit facilities and senior notes, the Company's overall amounts of leverage and financial requirements, statutory restrictions, the effect of acquisitions and dispositions, and factors that are beyond Armtec's control and affect the industry generally, including weather. These risk factors are discussed in detail in Armtec's recent Annual Information Form.Armtec's decision to suspend the quarterly dividend was made on June 8, 2011 and announced that day.  The decision to suspend the quarterly dividend was made after careful consideration of a number of factors and was made because the Board of Directors considered the suspension of the dividend to be in the best interest of Armtec.ABOUT ARMTEC INFRASTRUCTURE INC.Armtec is a leading manufacturer and marketer of a comprehensive range of infrastructure products and engineered construction solutions for customers in a diverse cross-section of industries that are located in every region of Canada, as well as in selected markets globally. These markets include Canada's national and regional public infrastructure markets and private sector markets in agricultural drainage, commercial building, residential construction and natural resources. Operating through its network of regional offices and production facilities across the country, Armtec's broad range of engineered solutions include products for drainage, bridge applications, soil retention, rehabilitation and water management systems including corrugated high-density polyethylene, corrugated steel and concrete pipe; an array of architectural and structural precast and pre-stressed concrete products from steps, paving stones, slabs and wall panels to highly engineered structural components designed and installed for projects such as bridges, sports venues and parking garages; and a full suite of noise barriers, acoustic enclosure and wall systems along with associated retaining wall and traffic barrier systems.FORWARD-LOOKING STATEMENTSThis news release may contain "forward-looking" statements within the meaning of applicable securities legislation which involve known and unknown risks, uncertainties and other factors which may cause the actual results, events, performance or achievements of Armtec or industry results, to be materially different from any future results, events, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements typically contain such words or phrases as "may", "outlook", "objective", "intend", "estimate", "anticipate", "should", "could", "would", "will", "expect", "believe", "plan" and other similar terminology suggesting future outcomes or events. Forward-looking statements reflect current expectations regarding future results, events, performance and achievements and are based on information currently available to Armtec's management, anticipated operating and financial results of Armtec, and current and anticipated market conditions.Forward-looking statements involve numerous assumptions and should not be read as guarantees of future results, events, performance or achievements. Such statements will not necessarily be accurate indications of whether or not such future results, events, performance or achievements will be achieved. You should not unduly rely on forward-looking statements as a number of factors, many of which are beyond the control of Armtec, could cause actual results, events, performance or achievements to differ materially from the results, events, performance or achievements discussed in the forward-looking statements, including, but not limited to the factors discussed in Armtec's materials filed with the Canadian securities regulatory authorities from time to time. Although the forward-looking statements contained in this news release are based upon what management of Armtec believes are reasonable assumptions, Armtec cannot assure investors that actual results, events, performance or achievements will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. These forward-looking statements are made as of the date of this news release and, except as required by applicable law, Armtec assumes no obligation to update or revise them to reflect new events or circumstances. For further information: Charles M. Phillips President & Chief Executive Officer Armtec Limited Partnership Tel: (519) 822-0210 Fax: (519) 822-8894     James R. Newell Chief Financial Officer Armtec Limited Partnership Tel: (519) 822-0210 Fax: (519) 822-8894     Carrie Boutcher Vice President, Investor Relations & Treasurer Armtec Limited Partnership Tel: (519) 822-0210 Fax: (519) 822-8894