For Immediate Release

AirBoss Defense Group Awarded $22 Million for a Portfolio of Survivability Equipment

October 06, 2020

LANDOVER, MD (October 5, 2020) – AirBoss Defense Group (ADG) announced today that over the past 2 months it has been awarded more than $22 million in new contracts for the full portfolio of the company’s survivability solutions. These contracts are in addition to the company’s previously announced awards to supply Personal Protective Equipment (PPE) in support of the Federal Emergency Management Agency’s (FEMA) response to the COVID-19 pandemic, the Department of Health and Human Services Strategic National Stockpile (SNS) and Department of Veterans Affairs (VA). These orders are also in addition to $15M in other non-Government COVID-19 response orders received earlier this year.

ADG is committed to providing world-class solutions that span the breadth of survivability response. These awards are expected to provide a diverse range of survivability solutions to military users, first responders, medical providers, and law enforcement personnel globally. These new orders address the survivability needs for the breadth of ADG’s customer base, the US military, and our allies as well as commercial medical and first responder communities.

These recent orders include protected payloads supporting previously fielding Husky 2G vehicle systems. Support equipment includes Ground Penetrating Radar and other accessories for the Egyptian military, molded glove and overboot awards for the United Arab Emirates, as well as a number of smaller orders for various groups in the U.S., with a focus on chemical and biological solutions including Mass Casualty Decontamination (MCD) shelter systems and various Powered Air Purifying Respirator (“PAPR”) products.

MCD shelter systems are being procured through the Defense Threat Reduction Agency’s Chemical Preparedness Program (CP2), supporting the development of incident response capabilities for US Allies. Through a partnership with AVOX Systems, ADG is designing and manufacturing the PAPR system to integrate with the Joint Service Aircrew Mask as a part of the JSAM program. Commercially, FlexAir and C420 PAPRs, hoods, filters, and decontamination shelter systems are being procured by various law enforcement agencies, EMS services, and hospital networks in the US and internationally.

In support of our international allies, ADG has been contracted to supply 62,000 pair of AirBoss Molded Gloves (AMG) and 62,000 pair of Molded AirBoss Lightweight Overboots (MALO) to the United Arab Emirates (UAE). The AMG and MALO are ambidextrous chemical protective handwear and footwear solutions that provide 24 hours of continuous protection against chemical agents. These products will be manufactured at AirBoss facilities in Auburn Hills, MI and Acton Vale, Quebec and will be delivered over a 22-month contract period.

In support of an existing contract, ADG will be supplying Ground Penetrating Radar (GPR), Self Defense Remotely Operated Weapon Stations (SDROWS), Interrogation Arms, and Field Service Representative (FSR) support to the Arab Republic of Egypt supporting previously fielded Husky 2G vehicles. The Husky is a blast-survivable, mission configurable vehicle platform that deploys a range of radar and sensor systems for countermine and non-conventional explosive detection. To date, ADG has deployed more than 1,500 Husky systems globally.

This contract has been awarded to Critical Solutions International (CSI), an ADG company, as a part of the company’s 5-year requirements contract with Army Contracting Command – Warren (ACC-WRN). The contract, awarded in 2017, provides Husky 2G vehicles, GPR, vehicle accessories, spare parts, and training in support of Foreign Military Sales (FMS) customers. Services are planned to begin by the end of 2020 with material deliveries to begin in Q1 2021 and be delivered over a 24-month period.

Additionally, CSI has been contracted to provide 365 Rollover Detection Warning System (RDWS) devices to the 2nd Cavalry Regiment, a unit of the U.S. Army Europe. The 2nd Cavalry, an active Stryker infantry and cavalry regiment, will take delivery of the RDWS devices in February 2021. The RDWS advises the user of impending vehicle rollover conditions based on terrain, operation, and vehicle limitations/parameters. The technology allows operators to be alerted of dangerous operating conditions in order to adjust as necessary to mitigate the risk.

“As a survivability company, ADG is uniquely positioned to answer the call of both military and commercial users who now more than ever require world class protection capabilities,” said Patrick Callahan, CEO of ADG. “Our diverse product line offers field-proven solutions that span the survivability spectrum from threat prevention to incident response in both tactical and commercial applications. Our team has demonstrated the ability to substantially support a variety of customer needs and we continue to work to improve and expand our product offerings to address the ever-evolving threats users are facing.”

ADG is a survivability company that provides military, law enforcement, medical providers, industrial providers and first responders with a diverse portfolio of protective equipment that spans the entire survivability spectrum. AirBoss Defense, an ADG brand, is a recognized world leader in rapid deployment negative pressure isolation shelters, medical protection equipment, personal respiratory protective products, CBRN protective equipment, and cold weather combat footwear.

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 ADG’s 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” “is expected to”, “believes”, “anticipates”, “forecasts”, “plans”, “intends” 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. ADG cautions that such forward-looking information involves known and unknown contingencies, uncertainties and other risks that may cause ADG’s 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; dependence on key customers; global defense budgets, notably in ADG’s target markets, and success of ADG in obtaining new or extended defense contracts; sufficient availability of raw materials at economical costs; weather conditions affecting raw materials, production and sales; ADG’s ability to maintain existing customers or develop new customers in light of increased competition; ADG’s ability to successfully integrate acquisitions of other businesses and/or companies or to realize on the anticipated benefits thereof, 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 and potential litigation; ability to obtain financing on acceptable terms; environmental damage and non-compliance with environmental laws and regulations; impact of global health situations; potential product liability and warranty claims and equipment malfunction. COVID-19 could also negatively impact ADG’s operations and financial results in future periods. There is increased uncertainty associated with future operating assumptions and expectations as compared to prior periods. As such, it is not possible to estimate the impacts COVID-19 will have on ADG’s financial position or results of operations in future periods. While the direct impacts of COVID-19 are not determinable at this time, AirBoss of America Corp., the parent company of ADG, has a credit facility as at December 31, 2020 that can provide financing up to US$60,000,000. This list is not exhaustive of the factors that may affect any of ADG’s 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 ADG 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 press release and, whether as a result of new information, future events or otherwise, ADG disclaims any intent or obligation to update publicly this forward-looking information except as required by applicable laws. Risks and uncertainties about ADG’ business are more fully discussed under the heading “Risk Factors” in AirBoss of America Corp.’s (“AirBoss”) recent Annual Information Form and are otherwise disclosed in AirBoss’ filings with securities regulatory authorities which are available on SEDAR at

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