Firan Technology Group Corporation Plans for Growth
Firan Technology Group Corporation Plans for Growth
Toronto, December 5, 2005 – FTG announced today that it has sold its Toronto facility that was the main facility for its FTG Aerospace business. Due to its growth in recent years, FTG Aerospace has been operating out of this facility plus leasing space in two additional nearby facilities. With continued growth expected, the Corporation has decided to move the business into a single, larger facility with sufficient space for the future. Operating from a single facility is expected to result in improved efficiencies for the business.
Under the terms of the sale, FTG received gross proceeds on closing of $834,500 and FTG Aerospace will lease the existing facility back for the next 18 months providing time to locate and prepare a new location for operations and to ensure a smooth transition of all production activities.
As well, the Corporation recently finalized its Canadian operating line. The Canadian line is authorized to a maximum of $2 million, expires in November 2006, and is secured by certain assets of the Corporation. The U.S. operating line expires in early December 2005, and the Corporation is in discussions with its US bank to renew this line. The Corporation has $1,750,000 available on the Canadian operating line and is not currently drawn on the US operating line. The Corporation has approximately $2M of cash on hand. All outstanding term debt matures at various times during 2006.
FTG is also pleased to announce a new, strong professional sales team that will be representing all three operating units. The team will be lead by Bob Clarke, Vice President Sales and Marketing. Bob will also be directly responsible for the US South East region. Reporting to Bob will be:
· Fred Keppler, Director, Business Development, US North East,
· Rick Versage, Director, Business Development, US South East,
· Ian Maknyik, Director, Business Development, US Mid West,
· Jason Gretton, Director Business Development, US West Coast,
· Peter Dimopoulos, Director, Business Development, Canada.
Each of these people will lead all sales efforts in their respective regions and will build the appropriate sales team to support these efforts.
To further strengthen the operations at FTG Circuits Toronto, we are pleased to announce the appointment of Bryan Clark as Director, Quality. Bryan will lead our quality and process engineering functions for this operation. Bryan has more than 30 years experience in the printed circuit board industry. In addition, Paul Greene has been hired as Director, Product Engineering. Paul will focus on enhancing and streamlining our engineering process for all new product built by FTG.
“With all of these accomplishments and announcements, I believe FTG is clearly on the path for growth and continued improvement in our overall performance”, commented Mr. Brad Bourne, President and CEO, Firan Technology Group Corporation. He added, “We are excited about the future for the Company as we enter our Fiscal 2006”
ABOUT FIRAN TECHNOLOGY GROUP CORPORATION
FTG is an aerospace and defence electronics product and subsystem supplier to the North American marketplace. FTG has two operating units.
FTG Circuits is a manufacturer of high technology/high reliability printed circuit boards. Our customers are leaders in the aviation, defence, and high technology industries. FTG Circuits has operations in Toronto, Ontario and Chatsworth, California.
FTG Aerospace manufactures illuminated cockpit panels, keyboards and sub-assemblies for original equipment manufacturers of avionics products as well as airframe manufacturers.
The Company’s shares are traded on the Toronto Stock Exchange under the symbol FTG.
This news release contains certain forward-looking statements. Such statements are based on the current expectations of management of the Company and inherently involve numerous risks and uncertainties, known and unknown, including economic factors and the Company”s industry, generally. The preceding list is not exhaustive of all possible factors. Such forward-looking statements are not guarantees of future performance and actual events and results could differ materially from those expressed or implied by forward-looking statements made by the Company. The reader is cautioned to consider these and other factors carefully when making decisions with respect to the Company and not place undue reliance on forward-looking statements. The Company does not undertake and has no specific intention to update any forward-looking statements, written or oral that may be made from time to time by or on its behalf whether as a result of new information, future events or otherwise.
For further information please contact:
Bradley C. Bourne, President and CEO Tel: (416) 299-4000 x314
Firan Technology Group Corporation bradbourne@firantechnology.com
Joseph R. Ricci, Vice President and CFO Tel:(416) 299-4000 x309
Firan Technology Group Corporation joericci@firantechnology.com
Additional information can be found at the Company”s web site www.firantechnology.com
