Press Release

For Immediate Release  

AFC Announces Completion of its Expansion Project and Launch of its Partnership Plus™ Distribution Program and Value-Based Price Structure

Lake In The Hills, IL –– January 28, 2004---Advanced Flexible Composites, Inc. (AFC) is pleased to announce the completion of their new expansion project. This project includes a new 44,000 square foot manufacturing facility and, the addition of new, state-of-the-art coating and fabrication equipment.

AFC is also pleased to announce the implementation of its Partnership Plus™ distribution program. This program was developed to support and promote sales to end-users exclusively through AFC’s distributors. AFC has sold their PTFE and Silicone coated and laminated fabrics, tapes and conveyor belts through distribution for the past 16 years. Michael Baker, AFC’s Director of Marketing states, “Our program is unique for this industry. Most manufactures are turning towards direct selling. AFC is developing strategies towards growing our business through distribution. The AFC Partnership Plus™ program will provide distributors with a superior level of customer service, sales, marketing, technical and pricing support, as well as unmatched experience in the PTFE and Silicone coated fabric industry. The objective of the Partnership Plus™ program is to work more closely and better understand and support our distributors. Our goal is to develop a mutually beneficial partnership. One in which we will promote growth and opportunity for both our distributors and ourselves.”

According to Chuck Crowley, AFC’s Vice President of Sales, “To coincide with the launch of the Partnership Plus™ distribution program, AFC has created a value-based pricing system. This system leverages the efficiencies gained through the completion of AFC’s expansion program, along with the benefits derived from newly developed, high quality supplier partnerships, to provide our customers superior overall value that is unprecedented in our marketplace.” AFC’s Partnership Plus™ based pricing will be effective February 1, 2004.

William Lewis, AFC’s President and CEO states, “Our building expansion and installation of new, high-tech equipment, reinforces AFC’s commitment to innovation, quality and service. Over the next few months, AFC will be making significant announcements regarding new products and markets based upon the advances gained from its expansion. Additionally, AFC’s new Partnership Plus™ program adds a new dimension to servicing distributors. In today’s marketplace where direct, end-user sales appear to be the rule, rather than the exception, this new program strengthens AFC commitment to working through distribution.”

Founded in 1988, AFC, a family owned and operated company, is a world leader in the manufacture of high-performance coated fabrics. AFC sells its products through distributors and OEMs under the trade names DuraFab®, DuraFlow®, DuraSil®, DuraStick®, DuraLam® and DuraChef®. The company designs and manufactures PTFE and silicone coated fabrics and belting, along with an extensive line of pressure sensitive tapes, for use in diverse applications. Typical applications for its products are found in industries such as, aerospace, flexible packaging, screen printing, textile, polymer manufacturing, food processing, chemical, electronics and communications.

For further information, contact Michael Baker, Director of Marketing at (800) 334-9372.