SOURCE: nCoat, Inc.

July 10, 2007 18:19 ET

JET-HOT® Opens State-of-the-Art Facility in Quakertown, PA

KING OF PRUSSIA, PA--(Marketwire - July 10, 2007) - nCoat, Inc. (OTCBB: NCOA) ("nCoat" or the "Company") announced that its newly acquired Pennsylvania-based operating subsidiary, JET-HOT®, Inc. has opened a new production plant in Quakertown, PA. The new plant is currently the only high-volume, automated automotive aftermarket coating facility in the northeast United States.

"The 10,000 square ft. Quakertown plant has been designed for maximum efficiency, high output and growth," said Terry Holmes, President and COO of nCoat. "Automation and a new coating process allows for a more thorough application by fewer technicians. Plant layout was designed to produce the highest number of parts per square foot of production space of any JET-HOT® facility. In addition, recent internal innovations in JET-HOT® plant design have created a 15% increase in unit output per man-hour," Holmes added.

The plant processes automotive, motorcycle and diesel engine truck parts from individual customers, high-volume dealers and distributors and tier one suppliers to original equipment manufacturers. In its current configuration this plant increases capacity at JET-HOT by 30%. The new plant location also offers easy access from the Pennsylvania Turnpike, and is logistically complimentary to gaining access to several multi-million dollar accounts. The Quakertown location has already been instrumental in securing new business from Volvo Trucks of North America worth an estimated $1.5M per year.

JET-HOT® operates a multi-step production process that includes thermal degreasing, abrasive blast stripping with virgin aluminum oxide, double-coating (inside and out on headers), and high temperature curing. With a "modular" design, capacity at the new plant can double with a minimum of structural modification. Holmes added that the Quakertown area offered the benefit of a diversified labor and management pool from which to draw production staff.

Within 30 days of the launch of full production at the plant in April, several new high-volume customers in close proximity contracted with JET-HOT® to begin production from the new facility. Through aggressive marketing and sales efforts, the Quakertown plant realized over $90,000 in revenue in the first 30 days of full production without transferring any business originated at other JET-HOT® plants.

One of the most recognized brands in aftermarket exhaust systems coatings, JET-HOT® now offers a full line of internal and external coating options not previously available under one roof. JET-HOT®'s acquisition by nCoat brings new internal engine coatings to the JET-HOT® product line. For nCoat, and its subsidiary HPC, the JET-HOT® brand provides an immediate customer base as well as recognized world-class coatings innovation to add to its ongoing research and development.

Forward-Looking Statements

Except for statements of historical fact, the information presented herein may contain forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which nCoat, Inc. has little or no control.

About nCoat, Inc.

Formed in 2004, nCoat, Inc. is an emerging nanotechnology company with new nano-formulated and traditional coatings that make it an international leader in the development and marketing of coatings applied to metal, ceramics, fabric, and other materials. The company specializes in nanotechnology research, commercialization, licensing, and distribution, and through its subsidiary companies develops and distributes commercially viable proprietary nanotechnology and traditional coatings products. At nCoat, we invite the world to "Innovate with us..."


JET-HOT® Coatings, offers thermal barrier, lubritic and corrosion resistance coating applied on autos and bikes -- from street rods and dragsters to classics and exotics -- snowmobiles and over-the-road trucks. JET-HOT® is a market leader in header coatings applications producing low emissivity and ceramic insulating characteristics which create thermal barriers on both the interior and exterior surface of headers. Founded in 1981, JET-HOT®'s products and customers include military applications on jet-fighter engines and submarine parts subjected to high temperatures, cyclical stress loads and corrosive environments and automotive products for performance racing and consumer applications. Racing teams use the coatings for safety factors by reducing header-surface temperatures, quick cool down and horsepower enhancements.

About HPC, Inc.

High Performance Coatings, Inc. has been an integral part of the automotive motor sports industry since 1982. The company has coated parts for multiple Motor sport Hall of Fame inductees and land and air speed world record holders. This rich racing heritage has led HPC to be nicknamed 'The Choice of World Champions.' HPC develops, manufactures, and applies coating (surface treatment) solutions for thermal management, anti-corrosion, friction reduction, bond strength, and appearance. HPC is a particular market leader in internal and external engine parts coatings in automotive and diesel engines. At HPC, there IS a difference...and the difference is superior performance.

nCoat, Inc.
Paul S Clayson, Chief Executive Officer