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Micrometals, Inc. Acquires Arnold Powder Cores from Arnold Magnetic Technologies

ANAHEIM, Calif. – January 6, 2010 – Micrometals Incorporated announced today the purchase of the powder core business unit from Arnold Magnetic Technologies. The acquisition includes the manufacturing facility in Shenzhen, China along with the Hong Kong sales office. This addition will expand the Micrometals product offering of well- known Iron Powder and 200C Series cores to include Arnold’s extensive range of MPP (molypermalloy powder), Sendust (MS), HI-FLUX® (50/50 nickel iron), Iron Silicon (FS) and other alloy based powder cores.

“This addition will give Micrometals the widest selection of powder core materials and sizes in the industry.” according to Micrometals’ President James R. Cox. He further added “We plan to capitalize on the natural production synergies while emphasizing our strong engineering support and customer service.”

The full line of Arnold Powder Cores will continue be manufactured at the factory in Shenzhen, China. The part numbers will remain unchanged, and the existing Arnold Powder Cores sales and distribution channels will stay intact to provide a seamless transition. Please refer to www.MicrometalsArnoldPowderCores.com for a complete listing of distributors, representatives, and sales locations along with the complete product information.

About Micrometals, Inc.

Micrometals is a privately held corporation headquartered in Anaheim, California and has been producing top quality iron powder cores since 1951. The existing sales and distribution channels for Micrometals products will remain unchanged and may be different than the newly acquired Arnold products. The Iron Powder and 200C Series cores will continue to be manufactured at the facilities in Anaheim, California; Abilene, Texas; and Zhongshan, China. Stocking warehouses are maintained in Hong Kong and Dietzenbach, Germany.

Contact Information and Further Company Information:

Joseph Barbeito Micrometals, Inc. JBarbeito@micrometals.com

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