MTI Global Inc.

MTI Global Inc.

October 27, 2005 08:54 ET

MTI-Specialty Silicones Receives First Orders For London Underground Passenger Seating

MISSISSAUGA, ONTARIO--(CCNMatthews - Oct. 27, 2005) -

Shipments Begin Immediately - Major Production 2008

MTI Global Inc. (TSX:MTI) today announced that its MTI-Specialty Silicones Division located in Richmond Virginia has been awarded its first contract to supply passenger seat materials to the London Underground. The company has been contracted to supply MF1 silicone foam (MagniFoam) through its French distributor, Celso, and the French seat maker Grupo Antolin FFI. The material for the pre-production series will be delivered immediately, and full production begins in January 2008.

"This is a great breakthrough for our silicone division, MTI-Specialty Silicones, to win this important order in the European railcar market," said Bill Neill, MTI Global President and CEO. "I'm particularly pleased that our first significant order in Europe is to the London Underground."

Gregg Strangways, MTI's North American Vice President reported that the supplied material will have a total value of approximately $350,000us. "The London Underground has been buying our material for many years for operator seats - primarily for the comfort and durability of the foam. With fire safety standards becoming so important, our foam has now been chosen for passenger seating as well."

The materials will be supplied for a new build program on the Victoria Line. This is the first of the London Underground lines to be upgraded, and is part of a 225,000 seat replacement program.

"This is a sound endorsement of the suitability of MagniFoam in subway systems," said Strangways. "Passengers must be given time to escape from cars in an emergency while minimizing exposure to toxic smoke or fire from burning cushions. Our patented materials are the best in the world for these applications. It is our goal to win the same dominant market share in Europe that we enjoy in North America and this contract is the first step."

Bombardier's rail car division has contracted to build subway cars for the London Underground's Public Private Partnership. Over the next fifteen years the company will fulfill the largest train build the world has seen at its Derby plant in the North of England. In addition the Public Private Partnership will refurbish existing rolling stock to reach the target of 225,000 seats.

About the Company

MTI Global Inc., formerly Magnifoam Technology International Inc., designs, develops and manufactures custom-engineered products using silicone and other cellular materials. The Company serves a variety of specialty markets focused on three main product categories: Silicone, Aerospace and Fabricated Products. MTI's manufacturing divisions develop and produce silicone foam using patented technology. The Company designs and fabricates energy management systems from a variety of flexible, cellular materials. MTI also produces and distributes specialty silicone elastomer products. MTI's primary markets are aerospace and mass transit. Secondary markets include sporting goods, automotive, industrial, institutional, medical and electronics markets. MTI's head office and Canadian manufacturing operations are located in Mississauga, Ontario, with international manufacturing operations located in Richmond and Buchanan, Virginia, and Bremen, Germany. The Company also has sales operations in England and Sweden, and an engineering support center in Brazil.

The foregoing press release contains forward-looking statements and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors that could cause results or events to differ from current expectations include the impact of price and product competition, general industry and market conditions and growth rates and reliance on key customers. For additional information with respect to these and other factors, see the reports filed by MTI Global Inc. with the Ontario Securities Commission. MTI Global Inc. disclaims any intention or obligation to update or revise any forward-looking statements.

Contact Information

  • MTI Global Inc.
    John Boots
    Chief Financial Officer
    (905) 564-9700
    (905) 564-8886 (FAX)
    Fleishman-Hillard Canada
    Anne Lachance or Aaron Boles
    Investor Relations
    (416) 214-0701