CGT Signs Agreement with Kunshan Achilles in Shanghai, China

CAMBRIDGE, Ontario, Feb. 15, 2006 -- Canadian General-Tower Limited (CGT), North America's leading supplier of automotive interior coverstock, announces it has signed a manufacturing agreement with Achilles Corporation (Tokyo, Japan) and its joint-venture company, Kunshan Achilles Artificial Leather Co., Ltd. Kunshan Achilles, a leading artificial leather manufacturer in China with proven competence in various applications including automotive, will provide a local source of supply for CGT to produce its automotive soft trim materials in China.

This is CGT's second manufacturing agreement signed this year to support current demand for its OEM automotive seating and other interior trim coverstocks in Asia, and provide the opportunity to enhance its business in the fastest growing automotive market in the world. Product trials are in progress at the Kunshan Achilles plant and production is targeted to begin in third quarter 2006.

Canadian General-Tower Limited, a provider of innovative polymer products, designs, and technical solutions is headquartered in Cambridge, Ontario, Canada. The company is North America's leading supplier of polymeric cover stocks for soft interior trim, with content on an estimated 80 percent of vehicles produced in the region. In addition to its automotive portfolio, the company manufactures flexible plastic film for use in pool liners, roofing and containment membranes, marine seating and stationary binders. CGT produces approximately 100 million meters of flexible film per year. Visit CGT on the Internet at http://www.cgtower.com/ .