27 February 2011

MANROY PLC

CONTRACTS WORTH £1.1M WITH UK MOD

Manroy Plc ("Manroy"), the AIM quoted leading UK machine gun manufacturer, is pleased to announce the signing of contracts worth £1.1 million to supply the UK Ministry of Defence ("MoD") with blank firing systems ("BFS"), tow bars and tripods.

Under the terms of the BFS contract, Manroy will provide the MoD with 295 additional BFS's which are used for training purposes. This will take the total number of BFS's sold to the MoD by Manroy from 68 to 363.

Manroy owns the Intellectual Property Rights for the 0.5" calibre Heavy Machine Gun ("HMG") Blank Firing System, including the ammunition, and in May 2011, signed a £4.1m, 5 year continuation to an existing contract to supply the MoD with blank ammunition.

Glyn Bottomley, Manroy's Chief Executive, said: "These contracts underline the strength of our relationship with the MoD and have the potential to open up further opportunities which can be serviced as a result of the expansion undertaken over the past twelve months."

For further information please contact:

Notes to Editors:

Manroy is a UK based manufacturer of machine guns, mounts and other associated products. A key Ministry of Defence supplier for 26 years, Manroy currently manufactures, supplies and supports:

·    the 12.7mm M2 Heavy Machine Gun ("HMG"), also known as the 0.50" calibre HMG;

·    the 7.62mm General Purpose Machine Gun ("GPMG"); and

·    weapon tripods and mounting systems.

Manroy is focused on the opportunity to derive further value from existing partner relationships and create additional revenue streams by continuing to expand the product offering, and to move into new territories.

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