AirBoss Awarded New Contract Valued at up to US$82.3 Million

Rhea-AI Summary

AirBoss of America Corp. (TSX: BOS)(OTCQX:ABSSF) has secured a new 3-year IDIQ contract valued at up to US$82.3 million through its AirBoss Defense Group for the ADG Molded AirBoss Lightweight Overboot (MALO). Deliveries are scheduled to begin in Q2 2025.

The MALO is designed to provide protection against chemical and biological threats while ensuring optimal fit and comfort. AirBoss has supplied overboots to the United States for over 20 years and has sold 6.1 million pairs to more than sixty countries.

This contract follows recent defense business awards, indicating positive momentum in defense product revenue growth. The company operates through AirBoss Rubber Solutions, with 500 million turn pounds of annual capacity, and AirBoss Manufactured Products, which serves automotive and defense sectors.

Positive

• Secured new US$82.3 million defense contract for MALO overboots
• Maintains market leadership with continued U.S. government contracts
• Strong track record with 6.1 million pairs sold across 60+ countries
• Multiple recent defense contract wins indicating business momentum

Negative

• None.

NEWMARKET, Ontario, Jan. 29, 2025 (GLOBE NEWSWIRE) -- AirBoss of America Corp. (TSX: BOS)(OTCQX:ABSSF) (the “Company” or “AirBoss”) today announced that AirBoss Defense Group, AirBoss’ Manufactured Products’ (“AMP”) defense business, has received a contract through the U.S. government for the ADG Molded AirBoss Lightweight Overboot (“MALO”). This award is a 3-year IDIQ contract valued at up to US$82.3 million. Deliveries under the contract are expected to commence in the second quarter of 2025.

AMP, through its defense business, has supplied overboots to the United States for over 20 years. The company held the current contract for this requirement and is pleased to have again been selected as the supplier of choice for this critical personal protective equipment. The MALO was designed to provide superior protection against chemical and biological threats while providing optimal fit and comfort. AirBoss overboots have been purchased by over sixty countries, with 6.1 million pairs sold to date.

“This new contract builds upon the recently announced awards in our defense business, highlighting continued positive momentum in top line growth for our defense products,” said Chris Bitsakakis, President and co-CEO of AirBoss. “The defense business remains committed to delivering protective and survivability solutions to our customers. We look forward to continuing to provide these products to ensure the safety of warfighters operating in challenging environments and conditions.”

AirBoss of America Corp.

AirBoss of America is a diversified developer, manufacturer and provider of survivability solutions, advanced custom rubber compounds and finished rubber products that are designed to outperform in the most challenging environments. Founded in 1989, the company operates through two divisions. AirBoss Rubber Solutions is a North American custom rubber compounder with 500 million turn pounds of annual capacity. AirBoss Manufactured Products is a supplier of anti-vibration and rubber-molded solutions to the North American automotive market and other sectors, and also a global supplier of personal and respiratory protective equipment and technology for the defense, healthcare, medical and first responder communities, through its AirBoss Defense operations. The Company’s shares trade on the TSX under the symbol BOS and on the OTCQX under the symbol ABSSF. Visit www.airboss.com for more information.

AIRBOSS FORWARD-LOOKING INFORMATION DISCLAIMER

Certain statements contained or incorporated by reference herein, including those that express management’s expectations or estimates of future developments or AirBoss’ future performance, constitute “forward-looking information” or “forward-looking statements” within the meaning of applicable securities laws, and can generally be identified by words such as “will”, “may”, “could” “expects”, “believes”, “anticipates”, “forecasts”, “plans”, “intends”, “should” or similar expressions. These statements are not historical facts but instead represent management’s expectations, estimates and projections regarding future events and performance.

Statements containing forward-looking information are necessarily based upon a number of opinions, 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 risks, uncertainties and contingencies. AirBoss cautions that such forward-looking information involves known and unknown contingencies, 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 the forward-looking information. Numerous factors could cause actual results to differ materially from those in the forward-looking information, including without limitation: impact of general economic conditions, notably including its impact on demand for rubber solutions and products; dependence on key customers; global defense budgets, notably in the Company’s target markets, and success of the Company in obtaining new or extended defense contracts; 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; AirBoss’ ability to successfully integrate acquisitions of other businesses and/or companies or to realize on the anticipated benefits thereof; AirBoss’ ability to successfully develop and execute effective business strategies; 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; changes in trade policies or the imposition of new tariffs; current and future litigation; ability to obtain financing on acceptable terms and ability to satisfy the covenants set forth in such financing arrangements; environmental damage and non-compliance with environmental laws and regulations; impact of global health situations; potential product liability and warranty claims and equipment malfunction. There is increased uncertainty associated with future operating assumptions and expectations as compared to prior periods. This list is not exhaustive of the factors that may affect any of AirBoss’ forward-looking information.

All of the forward-looking information in this press release is expressly qualified by these cautionary statements. Investors are cautioned not to put undue reliance on forward-looking information. All subsequent written and oral forward-looking information attributable to AirBoss or persons acting on its behalf are expressly qualified in their entirety by this notice. Forward-looking information contained herein is made as of the date of this Interim Report and, whether as a result of new information, future events or otherwise, AirBoss disclaims any intent or obligation to update publicly the forward-looking information except as required by applicable laws. Risks and uncertainties about AirBoss’ business are more fully discussed under the heading “Risk Factors” in our most recent Annual Information Form and are otherwise disclosed in our filings with securities regulatory authorities which are available on SEDAR+ at www.sedarplus.com.

FAQ

What is the value and duration of AirBoss's (ABSSF) new MALO contract?

AirBoss secured a 3-year IDIQ contract valued at up to US$82.3 million for their Molded AirBoss Lightweight Overboot (MALO).

When will ABSSF begin deliveries for the new MALO contract?

Deliveries under the new contract are expected to commence in the second quarter of 2025.

How many pairs of AirBoss overboots have been sold globally?

AirBoss has sold 6.1 million pairs of overboots to over sixty countries.

What is the primary purpose of AirBoss's MALO product?

The MALO is designed to provide superior protection against chemical and biological threats while providing optimal fit and comfort.

How long has ABSSF been supplying overboots to the United States?

AirBoss has been supplying overboots to the United States for over 20 years.