The Focus on Technologies and products that save lives OTC : FLKI

Falken Industries Ltd announced today that, responding to increased demand and efficiencies resulting in part from its recently established World Trade procurement facilities, that  it had combined three functional research and development units to enhance cooperation, communication and coherence — bulk chemicals, fiber and nonwovens and personal products.

The decision was also motivated by favorable and ongoing discussions with two Fortune 500 companies and others which through strategic alliances, joint venture, organic consolidations or other branding combinations would exponentially increase the demand for its product conceptions. “Were not there yet, but its interesting to see that these companies are choosing Falken for its recognized leadership in brand and product conceptions to attempt a combination or partnership - they contacted us” said Manuel Garcia, communication officer. “We of course will pursue the talks, maintain our priorities for quality and capacity and of course, first and foremost, keep our focus on shareholder interest” added Garcia.

The new product conception and research group brings together technologies and products that protect lives, the environment and critical processes worldwide.

Among the most well known offerings developed and conceived by FLKI are Hand-wipes, Car Care Products and professional and industrial degreasers, polishes and disinfectants.

Falken initiated the decision to create opportunities for its people and customers by combining these functions. The decision also puts Falken in a better position to accommodate an anticipated exponential sudden growth should any of the ongoing talks reach fruition as anticipated.  Management believes it will be able to quickly simplify internal processes, increase the speed of decision-making, and more fully leverage its l research and development across market segments.

These changes will lead to more rapid innovation and improve Falken's responsiveness to customers for its product conceptions.

The functions affected by the decision are responsible for high-performance products and technologies that are known and respected worldwide, they have

long-standing leadership positions and represent applications and technologies that Falken is counting on for future growth of its product conceptions. The company is committed to continuing its focus on capacity and innovation to meet the current and future needs of its customers and organic development.

Falken Industries Ltd OTC : FLKI is a diversified industrial conglomerate that operates in Chemicals, Wet Wipe and Biodegradable Technology. Falken Industries Ltd is the concept behind more than 160 products distributed through a network of global platforms and the recipient of trade awards for innovations, biodegradability and environmental and health quality standards.

SAFE HARBOR STATEMENT: This news release contains "forward-looking statements" made pursuant to the safe harbor provisions of the 1995 Private Securities Litigation Reform Act. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." Such statements are subject to risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that our products may not achieve customer acceptance or perform as intended, that we may be unable to obtain necessary financing to continue operations and development, and other risks. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements.