PRESS RELEASE

Plymouth Rubber Announces 1996 Results

5 February 1997

    CANTON, Mass., Feb. 5 -- Plymouth Rubber Company, Inc.
(AMEX: PLRA, PLRB) today reported financial results for its fiscal 1996 fourth
quarter and full year and also announced a two-year, $10 million capital
expenditure program that will substantially increase the company's
manufacturing capacity, reduce costs, and improve productivity.
    For Plymouth Rubber's fiscal 1996 fourth quarter, which ended November 29,
1996, net sales increased nine percent to $15,300,000 from $14,035,000 for the
fourth quarter of fiscal 1995.  Sales to the domestic automobile industry were
up 11 percent, compared with the prior year's fourth quarter, and export sales
were up 14 percent.
    For all of fiscal 1996, net sales were $57,181,000, up 7 percent from
$53,293,000 in fiscal 1995.  Domestic sales to the automobile industry were up
12 percent for the year, while export sales were up 28 percent.  Sales to
other markets declined, due to capacity restrictions and other factors.
    Net income for the fourth quarter was $44,000, or $0.02 per share, as
compared with $1,271,000, or $0.56 per share, in the prior year's fourth
quarter.  Earnings per-share figures have been adjusted to account for a five
percent stock dividend on both Class A and Class B common stock paid in
Class B common shares on August 19, 1996.
    Net income for fiscal 1996's fourth quarter reflects a $173,000 tax
benefit.  Net income for the 1995 fourth quarter reflects the recapture of
$819,000 of deferred tax valuation allowance, resulting in a $148,000 tax
benefit.
    Net income for fiscal 1996 was $1,872,000, or $0.84 per share, down from
fiscal 1995's net income of $3,123,000, or $1.41 per share. (Earnings-per-
share figures have been adjusted for the five percent stock dividend in
August, 1996).
    "Our recent results have been adversely affected by the costs of hiring
and training new employees in the latter part of 1996," commented Maurice J.
Hamilburg, Plymouth's President and CEO.  "During this time, we increased our
total work force by almost 15 percent (not counting acquisitions), four-fifths
of whom are hourly manufacturing personnel.  Training these new employees has
substantially increased our costs without immediately adding output.  However,
the people we hired are now starting to produce and ship product."
    The company also announced a two-year, $10 million capital expenditure
program that will substantially increase the company's manufacturing capacity,
reduce costs, and improve productivity in fiscal 1998.
    The first step in the program, accounting for over half the planned
expenditure, is a new vinyl calender and auxiliary equipment.  The calender,
manufactured by Kleinewefers Kunststoffanlagen GmbH in Munich, Germany, should
be operational by March, 1998.
    Calender's produce thin films of PVC and other materials.  The new
calender will substantially increase Plymouth's existing vinyl film production
capacity.  More coating and cutting equipment will also be added to process
the calender's output into tapes.
    Other elements of the plan include upgrading Plymouth's adhesive mixing,
coating lines, solvent recovery systems, and packaging equipment for tapes.
    "Fiscal 1997 will be a year of building for fiscal 1998 and beyond, when
our capital investments and recent acquisitions should begin to produce
significant returns," said Mr. Hamilburg.
    As previously reported, in October, 1996, Plymouth acquired the assets of
Brite-Line Industries, Inc. to produce and distribute rubber-based highway
marking tapes, and in January, acquired 100 percent of the shares of Cintas
Adhesivas Nunez, S.A. in Porrino, Spain.  "The acquisition of Cintas Adhesivas
Nunez will support Plymouth's growing European sales by establishing a
European manufacturing base," Mr. Hamilburg stated.
    Plymouth Rubber Company, Inc., manufacturers and distributes rubber and
vinyl products, including insulating tapes, automotive tapes, and other
industrial tapes and films.  The Company's products are used by the electrical
supply industry, electric utilities, and automotive and other original
equipment manufacturers.
    This report contains forward-looking statements that are subject to
certain risks and uncertainties that could cause actual results to differ
materially from those projected in such statements.  Such risks and
uncertainties include, but are not limited to, whether the Company will fully
realize the economic benefits of its marketing and capital investment plans,
technological difficulties, product demand, and market acceptance risks, the
effect of economic conditions, the application of tax laws, the impact of
competition, and other risks detailed in the Company's Securities and Exchange
Commission filings.

            Plymouth Rubber Reports Fiscal 1996 Financial Results

                          Fourth Quarter Ended             Year Ended
                           Nov.29,       Dec. 1,       Nov.29,     Dec. 1,
                           1996(D)     1995(AB)        1996(AE)   1995(AC)

     Net Sales        $15,300,000  $14,035,000  $57,181,000   $53,293,000
     Net income           $44,000   $1,271,000   $1,872,000    $3,123,000

     Per Share Data:
     Primary Earnings
     Per Share:
     Net income             $0.02        $0.56        $0.84         $1.41
     Weighted average
      number of
      shares
      outstanding       2,205,465    2,251,826    2,226,008     2,219,145

    NOTE(A): Earnings per share figures have been adjusted to account for a
5 percent stock dividend on both Class A and Class B common stock declared on
June 11, 1996, and paid in Class B common shares on August 19, 1996 to
shareholders of record as of June 24, 1996.
    (B) Net income for fiscal 1995's fourth quarter reflects the recapture of
$819,000 of deferred tax valuation allowance, resulting in a $148,000 tax
benefit, and a $825,000 before tax gain from litigation.
    (C) Net income for fiscal 1995 reflects the recapture of $1,431,000 of
deferred tax valuation allowance, resulting in a $42,000 tax provision, and
pre-tax gains of $825,000 and $395,000 from litigation.
    (D) Net income for fiscal 1996's fourth quarter reflects a $173,000 tax
benefit.
    (E) Net income for fiscal 1996 reflects the recapture of $1,873,000 of
deferred tax valuation allowance, resulting in a $1,797,000 tax benefit.
SOURCE  Plymouth Rubber Company, Inc.