Cohesant Technologies Reports Results For the Fourth Quarter and Fiscal Year Ended November 30, 2007

  
    
  
  
    
      Cohesant Technologies Inc. (Nasdaq: COHT) today reported results for the 
      fourth quarter and fiscal year ended November 30, 2007.
    
    
      For the quarter ending November 30, 2007, consolidated net sales 
      increased 6.9% to $7,392,596 from $6,914,425 realized in the fourth 
      quarter of fiscal 2006. This increase was a result of increased sales at 
      both the Rehabilitation division and GlasCraft of 23.7% and 12.7%, 
      respectively. This increase was partially offset by a 10.9% decrease in 
      sales at the Franchise and Licensing division. The Company had fourth 
      quarter consolidated net income of $14,445, which included $380,704 of 
      transaction costs associated with the proposed sale of its GlasCraft 
      business to Graco Inc. (NYSE:GGG)("Graco"), compared to $316,258 earned 
      in the comparable fiscal 2006 period. On a fully diluted per share 
      basis, net income was $0.00 (or break-even) in the fiscal 2007 fourth 
      quarter compared to $0.10 in the fiscal 2006 fourth quarter.
    
    
      For the fiscal year ended November 30, 2007, consolidated net sales 
      increased 10.3% to $29,273,861 from $26,543,175 realized in the 2006 
      period. GlasCraft’s sales increased 20.9%. 
      This increase was partially offset by decreased sales at the 
      Rehabilitation division and the Franchise and Licensing division of 2.7% 
      and 3.8%, respectively. The Company had consolidated net income of 
      $470,582, which included $380,704 of costs associated with the proposed 
      sale of its GlasCraft business to Graco, compared to $1,577,157 earned 
      in the prior year period. On a fully diluted per share basis, net income 
      was $0.14 for fiscal 2007 compared to $0.48 last year.
    
    
      Morris H. Wheeler, the Company’s President and 
      Chief Executive Officer, stated, “Besides the 
      outstanding performance at GlasCraft this year we had several other 
      significant accomplishments: 1) in early December the Company announced 
      the proposed sale of its GlasCraft business --which is expected to close 
      on or about February 27th and will result in a 
      payment of between $9.05 and $9.55 to each shareholder; 2) CuraFlo 
      Franchising was launched in mid-2007 and is anticipated to be a 
      significant growth vehicle in the future; 3) we refocused our 
      rehabilitation efforts to pipe lining work rather than repipe work and 
      grew our pipe lining sales by 68% in fiscal 2007; 4) CuraFlo Spincast 
      completed it’s first project in the 4th 
      quarter and we anticipate it to be a solid contributor in fiscal 2008.”
    
    
      As previously announced, on December 3, 2007, the Company entered into a 
      definitive agreement pursuant to which Graco would acquire the Company’s 
      GlasCraft business. The acquisition will be accomplished through a 
      merger with the Company, immediately preceded by a spin off of all the 
      non-GlasCraft business operations (collectively, CIPAR) to the Company’s 
      stockholders. The total transaction value is $35 million including 
      indebtedness assumed by Graco at the closing and transaction expenses. 
      The transaction is subject to customary conditions including approval by 
      the Company’s stockholders.
    
    
      Cohesant Technologies Inc., based in Indianapolis, Indiana is engaged in 
      the protection and renewal of drinking water distribution systems and 
      wastewater collection systems for municipal, industrial, commercial and 
      residential infrastructure, the design, development, manufacture and 
      sale of specialized dispense equipment systems, replacement parts and 
      supplies used in the operation of the equipment in the Composites, 
      Polyurethane Foam, Polyurea, and Specialty Coatings markets, and the 
      design, development, manufacture and sale of specialty coatings. The 
      Company markets its products under numerous trade names including; 
      AquataPoxy, CuraFlo, CuraPoxy, GlasCraft, Guardian, Probler and Raven.
    
    
      Merger/Special Dividend/CIPAR Information
    
    
      In connection with the proposed merger with Graco, the Company has filed 
      a definitive proxy/information statement with the SEC. Stockholders and 
      investors are advised to read the proxy/information statement because it 
      contains important information about the merger, the Company and CIPAR—the 
      spun-off businesses. Stockholders and investors may obtain a free copy 
      of the proxy/information statement and other documents filed by the 
      Company with the SEC at the SEC's web site at www.sec.gov. 
      Free copies of the proxy/information statement and the Company's other 
      filings with the SEC may be obtained from the Company at www.cohesant.com 
      by clicking on the "Investors" tab and then following the link to "SEC 
      Filings." Free copies of the Company's filings may be obtained by 
      directing a written request to 5845 W. 82nd St. Indianapolis, IN 46278, 
      Attention: Corporate Secretary or by telephone at 317-871-7611.
    
    
      Participants in the Solicitation
    
    
      The Company and its directors, executive officers and other members of 
      its management may be deemed to be soliciting proxies from the Company's 
      stockholders in favor of the merger. Investors and stockholders may 
      obtain more detailed information regarding the direct and indirect 
      interests in the merger of persons who may, under the rules of the SEC, 
      be considered participants in the solicitation of the Company's 
      stockholders in connection with the merger by reading the definitive 
      proxy/information statement regarding the merger, which will has been 
      filed with the SEC. Information about the Company's directors and 
      executive officers may be found in the Company's definitive proxy 
      statement filed with the SEC on May 4, 2007. These documents are 
      available free of charge at the SEC's web site at www.sec.gov 
      or by directing a request to the Company as described above.
    
    
      [Table follows]
    
    
      
        
          COHESANT TECHNOLOGIES INC.Summary Financial Data 
          (Unaudited)
        
      
      
        
           
        
        
          Three Months Ended

          
            November 30, 2007
          
        
        
           
        
        
          Three Months Ended

          
            November 30, 2006
          
        
      
      
        
          Net sales
        
        
          $ 7,392,596
        
        
        
        
           
        
        
          $ 6,914,425
        
      
      
        
        
        
        
        
        
        
           
        
      
      
        
          (Loss) income before income taxes
        
        
          (69,804
        
        
          )
        
        
        
        
          511,827
        
      
      
        
        
        
        
        
        
        
           
        
      
      
        
          Net income
        
        
          $ 14,445
        
        
        
        
        
        
          $ 316,258
        
      
      
        
        
        
        
        
        
        
           
        
      
      
        
          Net income per share basic and diluted
        
        
          $ 0.00
        
        
        
        
        
        
          $ 0.10
        
      
      
        
        
        
        
        
        
        
           
        
      
      
        
          Average number of commonshares outstanding:
        
        
        
        
        
        
        
      
      
        
          Basic
        
        
          3,331,662
        
        
        
        
        
        
          3,190,145
        
      
      
        
          Diluted
        
        
          3,340,629
        
        
        
        
        
        
          3,286,716
        
      
      
        
           
        
        
           
        
        
           
        
        
           
        
      
      
        
           
        
        
          Twelve Months Ended

          
            November 30, 2007
          
        
        
           
        
        
          Twelve Months Ended

          
            November 30, 2006
          
        
      
      
        
          Net sales
        
        
          $ 29,273,861
        
        
        
        
        
        
          $ 26,543,175
        
      
      
        
        
        
        
        
        
        
        
      
      
        
          Income before income taxes
        
        
          703,310
        
        
        
        
        
        
          2,545,536
        
      
      
        
        
        
        
        
        
        
           
        
      
      
        
          Net income
        
        
          $ 470,582
        
        
        
        
        
        
          $ 1,577,157
        
      
      
        
          Net income per share
        
        
        
        
        
        
        
      
      
        
          Basic
        
        
          $ 0.14
        
        
        
        
        
        
          $ 0.50
        
      
      
        
          Diluted
        
        
          $ 0.14
        
        
        
        
        
        
          $ 0.48
        
      
      
        
          Average number of commonshares outstanding
        
        
        
        
        
        
        
      
      
        
          Basic
        
        
          3,297,050
        
        
        
        
        
        
          3,148,986
        
      
      
        
          Diluted
        
        
          3,318,166
        
        
        
        
        
        
          3,268,543
        
      
    
    
      Except for the factual information contained herein, the matters set 
      forth in this press release, including statements identified by words 
      such as "expects" "anticipates" and similar expressions are 
      forward-looking statements within the meaning of the safe harbor 
      provisions of the Private Securities Litigation Reform Act of 1995, 
      including Section 27A(i) of the "safe harbor" provisions of the 
      Securities Act of 1933 and Section 21E(i) of the Securities Exchange Act 
      of 1934. These forward-looking statements are made subject to 
      significant risks and uncertainties that could cause actual results to 
      differ materially from those stated. You should not place undue reliance 
      on these forward-looking statements, which speak only as of the date of 
      this press release. Cohesant undertakes any obligation to publicly 
      release any revisions to these forward looking statements to reflect 
      events or circumstances after the date of this press release or to 
      reflect the occurrence of unanticipated events.