Protective Products of America Provides Update on Credit Facility

    SUNRISE, FL, June 30 /CNW/ - Protective Products of America, Inc.
(PPA:TSX), a leading manufacturer and distributor of advanced products in
ballistics protection, today announced that it is in negotiations to extend
its Forbearance Agreement with Canadian Imperial Bank of Commerce (CIBC) for
its primary operating line of credit by up to four months. As of March 31,
2009, PPA had $5.1 million of debt outstanding under the line of credit which
is expected to be extended to October 31, 2009.
    "We believe that we maintain a good relationship with CIBC and we are
working to secure this forbearance extension given the impact of the economic
slowdown on our business," said Brian L. Stafford, Acting Chief Executive
Officer of PPA. "Such an extension will give us the benefit of additional time
and a better liquidity position from which to execute on our business
strategies and strategic opportunities."

    About Protective Products of America, Inc.

    Protective Products of America, Inc. ("PPA"), formerly known as Ceramic
Protection Corporation, is headquartered in Sunrise, Florida, with
manufacturing facilities in Sunrise, Florida and Granite Falls, North
Carolina. The Company, together with its subsidiaries, is engaged in the
design, manufacture and marketing of advanced products used to provide
ballistic protection for personnel and vehicles in the military and law
enforcement markets. The Company's product portfolio includes concealable soft
body armor products for law enforcement and the Modular Tactical Vest ("MTV"),
a ballistic system for military personnel. Visit for more company information.
    Management is of the opinion that the Company is a leader in the design
and manufacture of high performance and high quality products used for
ballistic protection. Protective Products International Corp, a wholly owned
subsidiary of PPA, is an ISO 9001:2000 certified manufacturer. Furthermore,
PPA is capable of providing customers with an integrated personnel armoring
system of ceramic plates, soft ballistic material and vests for law
enforcement and the military.

    Safe Harbor Language

    This release may contain forward-looking statements including
expectations of future sales, cash flow, and earnings. These statements are
based on current expectations that involve a number of risks and uncertainties
that could cause actual results to differ from those anticipated. These risks
include, but are not limited to, uncertainties associated with the defense
industry, commodity prices, exchange rate fluctuations, and risks resulting
from potential delays, appeals or changes related to government orders in the
defense sector.
    PPA depends on reliable supplies of high quality source materials used in
the manufacture of armor products, including aramid fabrics and polyethylene
materials, and works actively with key suppliers to ensure that requirements
and demands for these materials are anticipated and properly met. The
foregoing is not exhaustive and other risks are detailed from time to time in
other disclosure filings of PPA. Should one or more of these risks or
uncertainties materialize, or should stated assumptions underlying the forward
looking statements prove incorrect, actual results may vary materially from
those described herein as anticipated, believed, estimated or expected. The
reader is also referred to other uncertainties and risks discussed in detail
in the MD&A section of the Company's December 31, 2008 Annual Report dated
April 6, 2009, the Company's Annual Information Form dated March 31, 2009 and
the Company's Form 10 Registration Statement filed April 10, 2009 and amended
on May 12, 2009. These documents are available on and
    In light of certain sensitive aspects in regard to customers and
products, PPA may choose not to disclose all information related to the
purchasers of its products, such as government agencies, countries or other
end users. Products manufactured for export in the United States must first be
approved for export by the appropriate U.S. government agencies. Other armor
sales may be made to recognized domestic agencies such as the military and
those involved in local, provincial, or national law enforcement and homeland
security matters.

    %SEDAR: 00001737E

For further information:

For further information: Kristen McNally, The Piacente Group, Inc.,
Investor Relations, (212) 481-2050

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