ADS acquires Beckwith Bemis inc.'s operations - This acquisition brings the Company's annual sales figures to $65 million


    - Additional sales volume of more than $11 million;
    - Immediate positive contribution to the Company's net earnings;
    - Opens new markets for ADS;
    - In line with our core strategy: "Getting close to our clients".

    SAINT-ELZEAR-DE-BEAUCE, QC, June 18 /CNW Telbec/ - The board of directors
of ADS Inc. "ADS" (TSX: AAL.A) today announced that it has acquired the
operations and mains assets of Beckwith Bemis Inc. ("Beckwith"). With annual
sales of more than $11 million, Beckwith develops and manufactures a wide
range of technical products, with applications for the water and sewer network
rehabilitation markets, health sector markets, exterior flooring coating, roof
membranes and specialized geomembranes.
    In business for more than 90 years, Beckwith is one of the oldest
manufacturing companies in the city of Sherbrooke, Quebec and has known how to
renew itself. Today it operates in cutting-edge sectors, using
state-of-the-art technologies. Beckwith has several different technologies
including film extrusion, hot-melt adhesive coatings, printing, coated
laminated fabrics and embossing. In addition to its capability of extruding a
large range of polymers for a variety of fabrics, both woven and non-woven,
Beckwith is capable of coloring a range of diverse materials.

    Beckwith Bemis: a strategic acquisition

    "The acquisition of Beckwith Bemis falls directly in line with our
development strategy. This deal provides us with access to a membrane
manufacturing market that serves the water and sewer networks rehabilitation
sector. An economical and effective solution, this market is in high-growth
mode. This technology has many advantages over traditional excavation work
carried out during renovations on underground infrastructures. The cost of
repair work can be reduced by 30% to 50% and the time needed to perform the
work is also greatly reduced, thus minimizing the impact on communities and
traffic. The majority of cities in Canada and the United States are facing
major problems with respect to sewer and water network deterioration. Huge
budgets are being allocated to restore these systems and these expenditures
will total billions of dollars in the coming years," said Mr. Guy Drouin,
President and Chief Executive Officer of ADS.
    "Beckwith Bemis complements our market offerings extremely well and will
integrate easily into our current operations. Beckwith will be able to use the
non-woven materials manufactured by Texel, a division of ADS, and ADS will be
able to use Beckwith as a sub-contractor for the final manufacturing steps of
some products. We share common clients in the medical sector and other
business opportunities could be developed in our various business sectors. We
are very proud of this acquisition and it encourages us to continue
intensively pursuing our enterprise evaluation program, which is aimed at
exploring other acquisition opportunities presently available in the market.
We are seeking out these promising business opportunities to strengthen our
market position in North America. The acquisition of Beckwith Bemis boosts the
ADS Group's total annual sales to $65 million, bringing us closer to our
$100 million goal, which we aim to reach by the end of 2009," added
Mr. Drouin.

    Forward-looking statement

    With the exception of historical information, this press release contains
forward-looking information and statements about the Company's future
performance. These statements are based on assumptions, uncertainties, as well
as on management's best evaluations possible in relation to future events.
These factors are subject to, but are not limited to, variations in quarterly
financial results, changes in demand for the Company's products and services,
the impact of the competition on pricing and on the market in general, in
addition to setbacks that could affect economic conditions. Readers are
therefore cautioned that actual results could differ from forecast results.

    ADS Inc., whose head office is based in Beauce, near Quebec City, is a
corporation active primarily in the manufacturing sector through subsidiaries
operating in the technical textiles field.

For further information:

For further information: Mr. Paul Drouin, Chairman of the board; Mr. Guy
Drouin, President and Chief Executive Officer, (418) 387-3383; Source: ADS

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