Alpha Pro Tech Ltd. reports first quarter results; Changing strategic focus clearly reflected

Business Wire, April 30, 1996

SALT LAKE CITY--(BUSINESS WIRE)--April 30, 1996--Alpha Pro Tech, Ltd. (OTC: APTD), today announced its results for the first quarter ended March 31, 1996.

For the three months ended March 31, 1996, sales increased to $3,586,000 from $3,559,000 in the same period in 1995. Net income was $46,000 versus $9,000 in the prior year same period. Sales of the Apparel Division, the new strategic focus - supplying health care, clean room and food service, rose to $1,566,000 from $1,060,000, an increase of $506,000 or 48%. Mask and eye shield and Unreal Lamb's Wool product sales, which are more mature markets, saw a decrease of $479,000. Selling, general and administrative expenses increases by $154,000 for the period compared to last year, primarily related to Apparel Division growth related costs and the Ludan acquisition which became effective April 1995. Interest expense declined by $119,000 or 59.5% as a result of the company securing asset-based financing at lower interest rates, as well as the conversion of $830,000 of notes payable to common stock. Finally, fixed asset expenditures, or investment in machinery for the new business area, increased to $96,000 from $10,000 in the year earlier period.

Alexander Millar, president of Alpha Pro Tech Ltd. commented, "The results of this quarter are on track for the new directions Alpha Pro Tech is taking in 1996. We are continuing to invest in and ramp-up for the high growth Apparel Division healthcare, clean room and food service markets. We expect to see significant revenues from these areas during this year. Furthermore, we will continue to seek out low cost acquisitions of businesses and assets consistent with our strategic plans."

Alpha Pro Tech develops, manufactures and markets innovative disposable protective apparel products for the medical, dental, industrial, clean room and food service markets. The company has manufacturing facilities in Salt Lake City, Nogales, Arizona; Janesville, Wisconsin, Valdosta, Georgia; and Benjamin Hill and Nogales, Mexico. -0-

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