WATKINS, Minn. and VANCOUVER, British Columbia, Canada, April 05, 2004 (PRIMEZONE) -- International Barrier Technology Inc. ("Barrier") (OTCBB:IBTGF) (TSX Venture Exchange:IBH), a manufacturer and marketer of fire resistant building materials, has acquired from Pyrotite Corporation, by way of an Agreement for Sale of Technology dated March 31, 2004, the Pyrotite fire retardant technology, Pyrotite trademark, US and international patents and know-how (collectively, "Pyrotite Technology"). Based on Barrier's success in developing a US market and sales for Blazeguard(r), its award-winning, fire resistant wood panel, this acquisition now enables the company to pursue global sales growth of Blazeguard and the Pyrotite Technology by developing opportunities in new countries, new applications, and through new business strategies including licensing.
Barrier agreed to purchase the Pyrotite Technology for US $1 million and has deposited $50,000. The balance is due by June 29, 2004. The agreement excludes certain specific applications that are not part of Barrier's current business or intended business plan, for which Pyrotite Corporation will pay Barrier a royalty.
"The Pyrotite Technology acquisition is an historic milestone and begins a new era for International Barrier," said Mike Huddy, president. "We have established the merits of Blazeguard and the Pyrotite Technology through our successful sales efforts with some of America's largest homebuilders and building material suppliers. With $8.7 billion in residential and commercial property damage caused by fire in the US in 2002, and $3.0 billion in damage caused by the California wildfires alone in 2003, there are clearly significant unmet needs for effective materials to help protect people and property from fire. We believe these needs are mirrored in many other countries. Blazeguard and the Pyrotite Technology can help meet these needs, and securing ownership of the technology positions us to dramatically expand our market opportunities and sales, leverage the capital and expertise of partners or licensees, and maximize profit potential."
Barrier's acquisition of the Pyrotite technology provides the following opportunities and benefits:
-- Eliminates sales royalties payable by Barrier.
-- Geographic extension from the US to global markets: Many
countries use construction methods and have emerging building
codes favoring building materials that help protect people and
property from fire, adding significant new target markets.
-- New applications: Eliminating sales royalties payable by Barrier
and access to international markets creates substantial incentive
for Barrier to develop, market, and/or license new applications.
Barrier's Blazeguard(r) wood panels are currently used as fire
resistant sheathing in residential and commercial modular
buildings. Potential fire resistance applications in engineered
wood products, paint, plastics, and expanded polystyrene
dramatically broaden the array of new product and market
opportunities.
-- Licensing and other business models: Barrier will have the
unrestricted ability to establish licensing and other business
arrangements with third parties worldwide. This enables Barrier
to leverage the market presence, capital, and know-how of
companies with expertise in particular applications and
countries to accelerate the commercialization of Blazeguard and
Pyrotite.
Barrier intends to raise additional funding to complete the technology acquisition and for business development and working capital.
About International Barrier Technology Inc.
International Barrier Technology, Inc. develops, manufactures, and markets proprietary fire resistant building materials branded as Blazeguard(r). The award-winning Blazeguard wood panel uses a patented, non-toxic, non-combustible coating with an extraordinary capability: it releases water when exposed to the heat of fire. The panels exceed International Building Code requirements in every targeted fire test and application and are unique in combining properties that increase panel strength and minimize environmental and human impact. Blazeguard customers include Centex, D.R. Horton, KB Home, and Lennar. Lowe's Companies, Stock Building Supply, and Mule-Hide Products Co., Inc. are Blazeguard distributors.
Barrier is part of the DJ Building Materials Index (US).
INTERNATIONAL BARRIER TECHNOLOGY INC.
Per: "MICHAEL HUDDY" Michael Huddy President & Director
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS PRESS RELEASE.
For more information please visit:www.intlbarrier.com or www.investorideas.com
Toll free 1.866.735.3519
Bernie Hertelir@intlbarrier.comorDawn Van Zant, ECON Investor Relations, Inc.dvanzant@investorideas.com
Forward-Looking Information: The statements in this news release contain forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve certain risks, assumptions and uncertainties, including but not limited to the ability to generate and secure product sales. In each case actual results may differ materially from such forward-looking statements. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results (expressed or modified) will not be realized.