Pacific Safety Products Inc.

Pacific Safety Products Inc.

January 04, 2005 16:15 ET

Pacific Safety Products Inc. and ArmorWorks Enterprises Llc. Extend Closing Date of Letter of Intent


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: PACIFIC SAFETY PRODUCTS INC.

TSX VENTURE SYMBOL: PSP

JANUARY 4, 2005 - 16:15 ET

Pacific Safety Products Inc. and ArmorWorks
Enterprises Llc. Extend Closing Date of Letter of
Intent

KELOWNA, BRITISH COLUMBIA--(CCNMatthews - Jan. 4, 2005) - Pacific Safety
Products Inc. ("PSP") (TSX VENTURE:PSP) and ArmorWorks Enterprises Llc.
("AW") have jointly agreed to extend the closing date of the Letter of
Intent signed on October 26th, 2004. The initial closing date for the
LOI was December 31st 2004, it has now been extended to February 28th,
2005.

"While we have made good progress in finalizing the agreements,
additional time is required to complete them due to the extremely busy
nature of our industry at present," stated Brad Field, CEO of PSP.

Under the terms of the Letter of Intent the two Companies are working to
establish definitive agreements to manufacture, market, and distribute
each other's products in their respective territories as well as jointly
pursue international opportunities. It is the objective of the two
Companies to have specific agreements negotiated and implemented by the
February 28th deadline.

About PSP - The mission statement of Pacific Safety Products Inc. is
"...we bring everyday heroes home safely™". PSP is an established
industry leader in the production, distribution and sale of
high-performance and high-quality safety products. These products
primarily include body armor to protect against ballistic, stab and
fragmentation threats. PSP is the largest armor manufacturer in Canada
and has significant international customers. The Company also produces
tactical clothing and emergency medical kits. These products are
marketed under the labels Pacific Emergency Products®, PROTECTED by
PSP™, EXPLOSAFE®, and O2B.O.S.S.™. The Company's primary
customers include military agencies, law enforcement agencies, private
security companies, fire departments and emergency medical service
organizations.

The Company strives to provide quality protection solutions by
effectively integrating the latest technologies to serve these
customers' needs. Founded in 1984, PSP has grown to include more than
130 employees at three Canadian facilities in Kelowna, British Columbia;
Brampton, Ontario; and Arnprior, Ontario. These facilities are equipped
with complete design, production and research capabilities. The Kelowna
facility has one of the most advanced non-government operated ballistic
research labs in North America.

In light of the sensitive nature of its products and customers, PSP may
not disclose all information regarding end-users, government agencies or
countries purchasing its products. It continues to be PSP's corporate
policy to conduct business only with recognized domestic law
enforcement, military and government agencies and foreign agencies that
are approved by the Canadian Department of Foreign Affairs and
International Trade.

Pacific Safety Products Inc. is a reporting issuer in British Columbia,
Alberta and Ontario, Canada and publicly trades under the symbol PSP on
the TSX Venture Exchange.

Forward-Looking Statements: This release may contain forward-looking
statements based on management's expectations, estimates and
projections. All statements that address expectations or projections
about the future, including statements about the Company's strategy for
growth, product development, market position, expected expenditures and
financial results are forward looking statements. Some of the
forward-looking statements may be identified by words like "expects,"
"anticipates," "plans," "intends," "projects," "indicates," and similar
expressions. These statements are not guarantees of future performance
and involve a number of risks, uncertainties and assumptions. Many
factors, including those discussed more fully elsewhere in this release
and in documents, which may be filed with the British Columbia
Securities Commission, the Alberta Securities Commission, the Ontario
Securities Commission, the TSX Venture Exchange, as well as others,
could cause results to differ materially from those stated. These
factors include, but are not limited to changes in the laws,
regulations, policies and economic conditions, including inflation,
interest and foreign currency exchange rates, of countries in which the
Company does business; competitive pressures; successful integration of
structural changes, including restructuring plans, acquisitions,
divestitures and alliances; cost of raw material, research and
development of new products, including regulatory approval and market
acceptance; and seasonality of sales in some products.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Pacific Safety Products Inc.
    Brad Field
    Chief Executive Officer
    (250) 491-0911 or Toll Free: 1-888-PSP-ARMR (1-888-777-2767)
    (250) 491-0930 (FAX)
    Email: bfield@pacsafety.com or ir@pacsafety.com
    Website: www.pacsafety.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.