Cymat Corp. Update from Dr. Paul Tichauer Listing: TSX Symbol: CYM TORONTO, Nov. 24 /CNW/ - As President and CEO of Cymat, I'm pleased to present another in our series of corporate updates. Our intention is that these reports become a regular feature of Cymat's communications with its stakeholders. This update reports on Cymat's achievement of commercial scale production capability for Near-net Shape, or 3-D, parts. This milestone is an essential step toward the broad commercialization of products made from our signature material, Stabilized Aluminum Foam, or SAF. At a basic level, achieving "commercial scale production capability" means that Cymat is now manufacturing its Near-net Shape SAF products on full- scale, commercial equipment, rather than on much smaller, bench-scale equipment typical of a laboratory development program. It also means that the parts produced on the commercial equipment exhibit physical and mechanical properties that are uniform and consistent. (By "uniformity" we mean that the cellular structure of a part has essentially the same size and shape throughout the part. And by "consistency" we refer to the ability to produce the same part, with virtually the same physical structure and mechanical properties, over and over again.) Put simply, Cymat now has the capability to, a) make a part that looks and performs the same all the way through and, b) make a lot of them. Automotive OEMs demand a very high level of both part uniformity and part consistency before they'll consider working with a new supplier, and we have now reached these levels. Cymat's Near-net Shape process is now operating on two commercial scale production units. One of these is a single-mould unit housed at our headquarters in Mississauga, Ontario. While we have no plans to turn our headquarters into a manufacturing facility, we had to prove we could operate our process on a commercial scale, and we've succeeded in that task. Our business model involves licensing our know-how and patented intellectual property to outside manufacturers, especially automotive Tier Ones. Accordingly, we've also been working with our commercialization partner, Georg Fischer Automotive, to develop a high volume production unit at their facility in Switzerland. We expect this unit will be up and running within the next couple of months. Graduating from the lab bench to the shop floor is central to getting prototype orders from our target customers, since automotive OEM's will not generally order prototypes unless the component has already been produced on full, commercial scale, production equipment. When automotive OEMs order prototypes, it shows an enormous amount of faith in our technology. OEMs will not invest time and money to put that product through real world, full dynamic testing unless they are truly confident that the proposed new part shows real promise. Moreover, prototype orders are usually for specific models of vehicles, so if the tests confirm that a new part meets all requirements, we will have a very good sense of the revenue that will mean for Cymat based on the forecasted annual production volumes for the vehicle model in question. At Cymat's recent annual general meeting, I said that Cymat is an exciting company with sound technology that has enormous potential in one of the largest industries in the world - the automotive sector. The strides we have made in commercial production and part uniformity show that we're right on target to reach our goals. Dr. Paul Tichauer President and CEO, Cymat Corp. About Cymat Cymat develops innovative materials for industry. The company has exclusive worldwide rights, through patents and licenses, for producing Stabilized Aluminum Foam. The ultra-light metallic foam is manufactured by bubbling gas through molten alloyed aluminum containing a dispersion of fine ceramic particles and can be produced as either Near-net Shapes or Flat Panels. The result is a new strategic material with a wide array of benefits, including a good strength-to-weight ratio, mechanical energy absorption at low stress levels, thermal and acoustic insulation, recyclability and relatively low cost of production. Cymat is collaborating with a number of partners spanning the automotive, transportation and construction industries. The company's principal focus is on automotive, where aluminum foam is ideally suited to the industry's objectives to make vehicles lighter, safer and better for the environment. For further information, visit the Web site www.cymat.com. The foregoing press release contains forward-looking statements relating to the development of markets, development programs, future revenues and improvements in technology, which are subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include the availability of funding, existing and future relationships with suppliers and manufacturers, the results of research and development activities, risks of technological breakthroughs that make Cymat stabilized aluminum foam less attractive, risks relating to the breadth, scope and enforceability of intellectual property rights, general industry and market conditions, availability of qualified personnel, and reliance on co-development partners. For additional information with respect to these and other factors, see the reports filed by Cymat Corp. with the Ontario Securities Commission. Cymat Corp. disclaims any intention or obligation to update or revise any forward-looking statements.