FELLFAB Limited Awarded $22.6 Million Defence Contract

HAMILTON, Ontario – November 9, 2006 – FELLFAB Limited has recently been awarded a $22.6 million contract by the Department of National Defence to produce the newly developed Rucksack. This is the third contract award to FELLFAB Limited in support of the Load Carriage System under the Department of National Defence’s Clothe the Soldier Project. The project, established in 1996, was implemented to provide 24 items of operational clothing and equipment to Canadian Forces personnel conducting land operations. The Rucksack is the 21st item to reach contract award under this project.

The Rucksack incorporates the advanced Canadian Disruptive Pattern (CADPAT™) digital camouflage. CADPAT™ is a significant step forward in camouflage, concealment and deception on the battlefield. The Rucksack will be a basic issue item to selected dismounted Regular and Reserve CF personnel conducting land operations. It will provide the primary load carriage means in operations where soldiers are required to carry combat supplies and sustainment items for greater than 24 hours and sufficient for up to 72 hours. Additionally, the Rucksack has been designed to be worn over fragmentation protection if necessary.

This award comes only a few years following two previous awards to FELLFAB Limited of $10.7 million and $18.9 million respectively for the first and second items in the Load Carriage System, the Tactical Vest and Small Pack System. “The award of the Tactical Vest contract in 2002 was a milestone for FELLFAB®. Undertaking the bid process and learning the project management requirements associated with the contract allowed our company to grow in our knowledge and experience. The follow up award on the Small Pack System served to reinforce this learning and paved our way for success with the Rucksack. This award is a significant accomplishment for FELLFAB®, and demonstrates our commitment to the project, our people, and our support of the Canadian Forces”, says Glen Fell, President of FELLFAB®.

As a result of this significant award, FELLFAB Limited is looking to hire additional industrial sewing machine operators and general labourers; estimating that the contract will create approximately 20 new jobs. The contract is expected to be completed over a two-year period and includes a sub-contract portion to Apparel Trimmings Inc. of Scarborough, Ontario.

FELLFAB Limited, established in 1952, is a privately owned Canadian company headquartered in Hamilton, Ontario. As a manufacturer of innovative, engineered textile products to niche markets with unique requirements, FELLFAB® is a leading supplier to the aerospace, aviation, defence, industrial, land transportation and materials handling industries. FELLFAB® is particularly proud of having participated in not only Clothe the Soldier contracts, but also other past prominent projects such as the Canadarm.

To read an article published by the Department of National Defence about the manufacture and design of the Rucksack, please click here: http://www.army.forces.gc.ca/lf/English/6_1_1.asp?id=2375/

For more information about the Department of National Defence’s Clothe the Soldier Project, please visit www.army.forces.gc.ca/cts/.

For information regarding this press release, please contact:
Julie Henry, Account Executive – Government Contracts, Military Specialist
FELLFAB Limited, 2343 Barton Street East, Hamilton, Ontario L8E 5V8
Tel: 905-560-9230, Fax: 905-560-9846
Email: julie.henry@www.fellfab.com

CADPAT™ is a registered trademark of the Department of National Defence.
FELLFAB® is a registered trademark of FELLFAB Limited.