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Press release from Marketwire

AirBoss Announces 3rd Quarter 2012 Results

Q3 2012 Highlights: - Regular $0.05 per common share dividend declared - Balance sheet remains strong - Poised to increase production of tire compounds

Wednesday, November 07, 2012

AirBoss Announces 3rd Quarter 2012 Results16:56 EST Wednesday, November 07, 2012NEWMARKET, ONTARIO--(Marketwire - Nov. 7, 2012) - AirBoss of America Corp. (TSX:BOS) - Three months endedNine months endedSeptember 30September 30(US $ thousands, except shares and per share amounts)2012201120122011Net Sales57,90173,109194,584220,866Gross margin5,7768,20519,80129,151Earnings before interest, tax and amortization fromoperations (EBITDA) (Note 1)3,7936,59212,23322,582Interest expense2434177881,147Net income1,5073,5855,41512,409Net income per share-Basic0. shares outstanding (millions)-Basic23.023.623.023.6-Diluted23.223.823.223.8Sales decreased by $15.2 million for the quarter and by $26.3 million or 12% year-to-date. Of the decrease in the quarter, $8.6 million is due to declines in sales of rubber compounds to both the major tire and heavy belting sectors. The volume in the tire industry has been replaced starting in October, 2012 which should lead to improved divisional performance in the fourth quarter. The Company has also won new business in the international mining market and this should begin to offset some of the decline to the belting industry attributed to reduced demand in the coal mining sector.Sales of military protective wear to the US military are on plan, but at reduced levels and this accounts for the remainder of the decreased sales. The Company is increasing production of its CBRN protective overshoes in November, in anticipation of the finalization of contracts, which is a significant increase in orders for 2013.The Industrial Products business is performing slightly ahead of expectations due to the increased demand for tire retread products and this is expected to continue for the remainder of the year.The Company moved its Defense products business into its new research & development and administrative offices in July. Work is progressing well on new products and we hope to have multiple working prototypes before the end of the calendar year.AirBoss of America Corp. develops, manufactures, and sells high quality, proprietary rubber-based products offering enhanced performance to military and industrial markets. The Company is a world leader in the development and production of CBRN protective wear. With a capacity to supply 250 million pounds of rubber annually to a diverse group of rubber manufacturers, AirBoss is also one of North America's largest custom rubber compounding companies. The Company's shares trade on the TSX under the symbol BOS. Visit conference call to discuss the quarterly results is scheduled for 9:00 a.m. EDT Thursday, November 8, 2012. Please follow the link on our website or at under webcasts or dial in to the following numbers: 416-981-9095 or Toll Free: 800-269-3762. Direct Replay Access number: 1-800-558-5253.Note 1:Three months endedNine months endedSeptember 30September 30($ thousands)2012201120122011Net income1,5073,5855,41512,409Interest expense2434177881,147Amortization1,5031,1684,1483,539Provision for income taxes5401,4221,8825,487EBITDA3,7936,59212,23322,582AIRBOSS FORWARD-LOOKING STATEMENT DISCLAIMERCertain statements included herein, including those that express management's expectations or estimates of future developments or AirBoss' future performance, constitute "forward-looking statements" within the meaning of applicable securities laws. Words such as "may", "could" "expects", "anticipates", "forecasts", "plans", "intends" or similar expressions are intended to identify forward-looking statements.Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at the time the statements are made, are inherently subject to significant business, economic and competitive uncertainties and contingencies. AirBoss cautions that such forward-looking statements involve known and unknown risks, uncertainties and other risks that may cause AirBoss' actual financial results, performance, or achievements to be materially different from its estimated future results, performance or achievements expressed or implied by those forward-looking statements. Numerous factors could cause actual results to differ materially from those in the forward-looking statements, including without limitation: impact of general economic conditions, its dependence on key customers; cyclical trends in the tire and automotive, construction, mining and retail industries; sufficient availability of raw materials at economical costs; weather conditions affecting raw materials, production and sales; AirBoss' ability to maintain existing customers or develop new customers in light of increased competition; changes in accounting policies and methods, including uncertainties associated with critical accounting assumptions and estimates; changes in the value of the Canadian dollar relative to the US dollar; changes in tax laws and potential litigation; ability to obtain financing on acceptable terms; environmental damage caused by it and non- compliance with environmental laws and regulations; potential product liability and warranty claims; and equipment malfunction.This list is not exhaustive of the factors that may affect any of AirBoss' forward-looking statements. Investors are cautioned not to put undue reliance on forward-looking statements. All subsequent written and oral forward-looking statements attributable to AirBoss or persons acting on its behalf are expressly qualified in their entirety by this notice. Whether as a result of new information, future events or otherwise, AirBoss disclaims any intent or obligation to update publicly these forward-looking statements. Risks and uncertainties about AirBoss's business are more fully discussed in the Management's Discussion and Analysis of Financial Condition and Results of Operations in the 2011 Annual Report to Shareholders under the heading "Risk Factors".FOR FURTHER INFORMATION PLEASE CONTACT: Contact Information: AirBoss of America Corp.R.L. HagermanCEO(905) 751-1188AirBoss of America Corp.Stephen RichardsCFO(905)