• Impact of changes in the overall economy;
• Changes in the business environment, including the transportation, building and construction, electronics and durable goods industries;
• Competitive factors, including domestic and foreign competition for both acoustical and coated applications as well as changes in industry capacity;
  Changes in laws, regulations, policies or other activities of governments, agencies or similar organizations (including the ruling under Section 201 of the Trade Act of 1974);
• Stability of governments and business conditions inside and outside of the U.S., which may affect the successful penetration of the Company’s products;
• Acts of war or terrorism;
• Acceptance of brake damping materials, engine components and body panel laminate parts by customers in North America, Asia and Europe;
• Continued successful operation of the Application Research Center in Michigan and the successful completion of the Application Development Center in Europe;
• Increases in the prices of raw and other material inputs used by the Company, as well as availability;
• Loss or changes in the operations, financial condition or results of operations, of one or more of the Company’s significant customers;
• Impact of future warranty expenses; environmental risks, costs, recoveries and penalties associated with the Company’s past and present manufacturing operations; and
• Other factors, risks and uncertainties identified in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended February 28, 2006, filed with the Securities and Exchange Commission on May 19, 2006, and as amended on May 23, 2006, and the Company’s quarterly report on Form 10-Q for the quarter ended August 31, 2006, filed with the Securities and Exchange Commission on October 10, 2006.

The Company undertakes no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise. The discussion of potential risks and uncertainties is by no means complete but is designed to highlight important factors that impact the Company’s business and financial condition. The Company operates in a competitive environment. New risks emerge from time to time and it is not always possible for management to predict all such risk factors, nor can it assess the impact of all such risk factors on the Company’s business or to which any factor or combination of factors may cause results to differ materially from those contained in the forward-looking statements. Given these risks and uncertainties, shareowners should not place undue reliance on forward-looking statements as a prediction of actual results.