US$54m Purchase Order Agreement and facilility (8321X)

TIDMADID TIDMADIS

RNS Number : 8321X

Armor Designs, Inc.

21 February 2012

Armor Designs Inc.

("Armor Designs" or "the Company" or "ADI")

US $54 million Purchase Order Agreement and facility agreement

Further to the announcements of 15 March 2011 and 19 September 2011 Armor Designs Inc., (AIM: ADID, ADIS), the knowledge-based designer, developer and manufacturer of next generation composite protective products, in the fields of oil & natural gas, infrastructure, aerospace, sports, nuclear, and personal protection, is pleased to announce that Armor Designs, LLC ("ADLLC") has signed a US$54 million, 3-year purchase order agreement (the "Agreement"), with C&W Murphy Associates ("C&W") to produce protective material designs for national and international distribution.

Under the terms of the Agreement ADLLC will make ongoing shipments to C&W over a period of approximately 36 months. The Agreement incorporates a three-year US$18 million per year comprehensive financing facility to ADLLC. The use of proceeds of the facility is restricted to use for the fulfilment of the manufacture of protective armor designs as specified by C&W within the Agreement.

The facility under the Agreement is the Company's third purchase order financing facility, in the past 12 months. Following today's announcement all three facilities are now in place and operational.

James A. St. Ville, CEO, commented "In the midst of the worldwide banking crisis and, the consequential, ongoing consolidation of the armor material industry, signing of this purchase agreement offsets the negative impact of the absence of small business banking products, necessary for purchase order transactions, and will enable ADLLC to grow and maintain the highest protective material design standards worldwide, over the next three years within a very difficult and competitive business and banking environment."

For further information please contact:

Armor Designs, Inc.

   James A. St. Ville, President, CEO,COB              Tel: [phone] 
   [e-mail]                          www.armordesigns.com 
   Shore Capital & Corporate Ltd.                              Tel: [phone] 

Anita Ghanekar

Edward Mansfield

Notes to editors:

Armor Designs, Inc. ("ADI") is a knowledge-based company specializing in next-generation composite material design, manufacture, prototyping and testing for applications and products for the armor industry. ADI uses a proprietary design and manufacturing process called VCM to rapidly develop new composite armor products of superior ballistic, weight and flexibility. The VCM process is protected by patents and trade secrets licensed to ADI in perpetuity for use in field of armor.

   For more information on Armor Designs, Inc., please go to:       www.armordesigns.com 

This information is provided by RNS

The company news service from the London Stock Exchange

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