A.D. TECH extends 'Special Exercise Period' until July 10, 1996; Revised first-quarter 10Q

Business Wire, June 26, 1996

TAUNTON, Mass.--(BUSINESS WIRE)--June 26, 1996--A.D. TECH Inc. (Nasdaq:ADTC) announced that it is extending the "Special Exercise Period" during which the terms of the company's Redeemable Common Stock Purchase Warrants (the "Warrants") are temporarily modified.

The Special Exercise Period now will expire at 5 p.m. EST on Wednesday, July 10, 1996. During the Special Exercise Period, each Warrant entitles the holder to purchase one share of common stock at an exercise price of $5.00 per share and to receive one Class B Redeemable Common Stock Purchase Warrant ("Class B Warrant") for no additional consideration. After the Special Exercise Period, two Warrants will once again be required to purchase one share of common stock at $5.00 per share, and no Class B Warrants will be issued upon exercise of the Warrants. The terms of the Class B Warrants have been described in prior filings with the Securities and Exchange Commission (SEC).

"During the course of responding to the SEC's review and comments related to the S3 filing, we have revised the first-quarter 10Q and liquidity-related language," said Glenn J. Walters, A.D. TECH's president and CEO. "Although our previously reported operating results, such as revenues and operating losses, remain unchanged, we have reversed a one-time non-cash gain we recorded as a result of an early termination of a contractual purchasing and lease agreement. This economic benefit will now be realized over the life of the asset as a result of reduced depreciation," Walters added.

"Additionally, the commitment letter we received from the National Bank of Canada for a new credit facility totalling $5.6 million also requires us to revise the liquidity-related language in the 10Q. This extension to the Special Exercise Period will allow the financial community the opportunity to review the company's revised quarterly report for the period ended March 31, 1996," Walters concluded.

The company expects that the Class B Warrants will be freely trading approximately 48 hours after the expiration of the Special Exercise Period.

This shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to resignation or qualification under the securities laws of any such state.

A.D. TECH develops and manufactures high-resolution, patterned, vacuum-metallized coatings for a variety of energy-management applications -- including microwave food packaging, authentication holograms, electronic article surveillance tags, electrostatic discharge materials, electronics and retroreflective films -- using the company's proprietary metallization process including a new Pattern Metallization Printing ("PMP") process.

The revised condensed and consolidated statements of operations for the 1st quarter for the company are as follows: -0-

                        A.D. TECH INC.
          (Amounts in thousands, except per-share data)