New Orders in the Defence Sector

11 December 2008 Surface Transforms Plc ("Surface Transforms" or "the Company") New Orders in the Defence Sector Surface Transforms (AIM:SCE) is pleased to announce three further orders from MBDA with a combined value in excess of £150,000, all of which will be delivered and invoiced within the current financial year. The orders are for the continued development of new material technologies for attitude control systems applicable to a range of European guided weapons. MBDA is owned jointly by BAE Systems, EADS and Finmeccanica and is the largest missile manufacturer in Europe. The Directors are hopeful that the Company will receive further business from MBDA. These new orders are in addition to, and in parallel with a three year fixed term contract announced in February 2008 from MBDA to the value of £150,000, which is financially supported by the UK and French Ministries of Defence as part of the Innovation and Technology Partnership ("ITP") on Materials and Components for Missiles. The ITP contract concentrates on the generation of dedicated design data for Surface Transforms' range of carbon-ceramic composite materials, whereas work under the new orders focuses more on component design, fabrication and test performance, and looks towards possible future qualification and commercialisation. Commenting, Kevin Johnson, Chief Executive of Surface Transforms, said: "We are particularly pleased to receive these orders which represent a further endorsement of MBDA's commitment to Surface Transforms' technology and products. Earlier work with MBDA over the past three years has shown that carbon-ceramic is now a strategic material which gives significant performance advantages over carbon-carbon and huge weight savings over advanced metal alloys. We can deliver distinct cost benefits with improved performance using our proprietary technology. The new accelerated work programme with MBDA also extends the reach of our technology and products from the automotive and aircraft markets, to the defence sector." Surface Transforms is the only UK supplier of this strategic material. This is derived from the Company's core business in automotive ceramic brakes where high quality at affordable cost has driven the technology to quicker manufacturing processes with reduced costs. The IPR for the Company's carbon-ceramic products is held in the combination of the three key process stages: carbon fibre pre-forms, carbon matrix CVI, and silicon melt infiltration. For further Company details visit www.surface-transforms.com ENQUIRIES: Surface Transforms plc Kevin Johnson Tel: 0151 356 2141 Geoff Hall John East & Partners Limited Simon Clements Tel: 020 7628 2200 Hansard Group (PR) John Bick Tel: 020 7245 1100 Chris Roberts Redmayne Bentley (Private Client Broker) Lucy Clapham Tel: 01943 886600 Simon Flather