Clarion Technologies Reports Third Quarter 2004 Results

GRAND RAPIDS, Mich., Nov. 12, 2004 -- Clarion Technologies, Inc. (BULLETIN BOARD: CLAR.OB) today announced financial results for the quarterly period ended September 25, 2004.

Clarion's 2004 sales for the third quarter were $30.6 million versus $26.1 million in the third quarter of 2003. Sales for the first nine months of 2004 were $88.3 million versus $73.8 million for the same period of 2003. The 20% increase in revenue was driven primarily by sales of new products to existing customers. Also, $6.7 million of sales in the first nine months of 2004 was generated from tooling purchased by customers for new programs versus $1.1 million in the same period of 2003. Net income for the first nine months of 2004 was $558,000 versus $1.78 million for the same period of 2003. The 2004 results include an asset impairment charge (non-cash) of $887,000 required to adjust the net carrying value of Clarion's manufacturing facilities to its estimated fair value. Net loss attributable to the common shareholder for the first nine months of 2004 was ($6.64) million versus ($4.29) million for the same period of 2003. The increase in net loss attributable to the common shareholder was primarily driven by the increase in accrued interest and dividends.

Clarion Technologies' President, Bill Beckman, commented, "Clarion continues to grow revenues with our key customers. With the opening of a new facility in Ames, Iowa we will have some additional costs associated with launching over $15 million in new business. A successful operational start-up and execution in Iowa are expected to provide additional customer opportunities in the near future."

Clarion Technologies, Inc. operates four manufacturing facilities in Michigan, one in South Carolina, and two in Iowa with approximately 170 injection molding machines ranging in size from 55 to 1,500 tons of clamping force. The Company's headquarters are located in Grand Rapids, Michigan. Further information about Clarion Technologies can be obtained on the web at http://www.clariontechnologies.com/ or by contacting Mary Asadorian at (616) 233-6680.