Wilshire Technologies Announces First Quarter Fiscal Year 2001 Results

Apr 17, 2001, 01:00 ET from Wilshire Technologies, Inc.

    CARLSBAD, Calif., April 17 /PRNewswire/ -- Wilshire Technologies, Inc.
 (OTC Bulletin Board:   WILK) announced that for the first quarter ended February
 28, 2001, the Company reported sales of $11,000 and a net loss of $1,483,000,
 or $0.11 per share.
     Net sales decreased by $719,000 (98.0%) to $11,000 for the first three
 months of 2001 as compared to sales of $730,000 for 2000 due to the
 divestiture of the Company's Wilshire Contamination Control Division to Foamex
 Asia Co. Ltd. on May 19, 2000.  Sales essentially ceased at that time while
 the Company focused on development of a new polyurethane glove made with
 proprietary material supplied by the Lycra(R) Division of DuPont.
     Effective September 18, 2000, the Company signed a Product Development,
 Purchase and License Agreement (the "Agreement") with the Lycra(R) division of
 E. I. DuPont de Nemours and Company ("DuPont ").  Under the Agreement, DuPont
 will develop and supply a new proprietary polyurethane material and Wilshire
 will use the material to manufacture and sell a disposable polyurethane glove
 for industrial cleanroom applications.
     The Company anticipates continuing negative cash flow from operating and
 investing activities through fiscal 2001 as it focuses on the market
 introduction of the new polyurethane glove.  As such, the Company will
 continue to be economically dependent on its majority shareholder to finance
 operations through fiscal 2001.  The Company has projected its cash flow needs
 to be approximately $2.3 Million for the year ending November 2001.  Due to
 these matters, the Company's auditors, BDO Seidman, LLP, included a going
 concern qualification in the Company's annual report for the year ended
 November 30, 2000.  Trilon Dominion, the Company's largest shareholder with
 over 73% of the shares outstanding, has acknowledged the Company's cash flow
 needs and has indicated its commitment to provide financial support to the
 Company through November 30, 2001 to the extent of such budgeted cash flow
 requirements.
     Commenting on the results, President and Chief Executive Officer Kevin
 Mulvihill stated, "We began initial production of the gloves and continued to
 make great improvements in the glove material in the first quarter.  We are
 very encouraged by the positive test results with glove cleanliness,
 durability and strength.  Recent outgassing tests measuring airborne molecular
 contamination to the sensitive cleanroom environments confirmed that
 DuraCLEAN(R) with Lycra(R) vs. Latex, Nitrile and PVC is far superior in
 purity, and unlike these other materials, will not introduce a variety of
 contaminants to applications."  Mr. Mulvihill went on to say, "We have begun
 to introduce the product to customers and initial feedback is positive.  We
 will continue to introduce the gloves worldwide focusing sales efforts in the
 microelectronics market."
 
     This press release contains forward-looking statements that involve a
 number of risks and uncertainties.  Important factors that could cause actual
 results to differ materially from those indicated by such forward-looking
 statements are set forth under the caption "Forward-looking Statements" in
 Exhibit 99 to the Company's Annual Report on Form 10-KSB for the fiscal year
 ended November 30, 1996.  These include operating losses, liquidity, reliance
 on major distributors, new product development, competition, technological
 change, patents, trade secrets, product liability, dependence on key
 suppliers, and dependence on key personnel.
 
 
                          Wilshire Technologies, Inc.
                              Financial Highlights
 
                                                 (Unaudited)
                                             Three Months Ended
                                   February 28, 2001     February 29,2000
 
     Net sales                           $11,000               $730,000
 
     Loss from operations            $(1,125,000)             $(942,000)
 
     Net loss                        $(1,483,000)           $(1,296,000)
 
     Basic and Diluted loss per share     $(0.11)               $(0.10)
 
     Weighted average shares
      outstanding                     12,953,000             12,953,000
 
 
     Wilshire Technologies develops manufactures and markets engineered polymer
 products for industrial clean room use.
     For further information, contact Kathleen Terry, Chief Financial Officer,
 at (760) 929-7200.
 
 

SOURCE Wilshire Technologies, Inc.
    CARLSBAD, Calif., April 17 /PRNewswire/ -- Wilshire Technologies, Inc.
 (OTC Bulletin Board:   WILK) announced that for the first quarter ended February
 28, 2001, the Company reported sales of $11,000 and a net loss of $1,483,000,
 or $0.11 per share.
     Net sales decreased by $719,000 (98.0%) to $11,000 for the first three
 months of 2001 as compared to sales of $730,000 for 2000 due to the
 divestiture of the Company's Wilshire Contamination Control Division to Foamex
 Asia Co. Ltd. on May 19, 2000.  Sales essentially ceased at that time while
 the Company focused on development of a new polyurethane glove made with
 proprietary material supplied by the Lycra(R) Division of DuPont.
     Effective September 18, 2000, the Company signed a Product Development,
 Purchase and License Agreement (the "Agreement") with the Lycra(R) division of
 E. I. DuPont de Nemours and Company ("DuPont ").  Under the Agreement, DuPont
 will develop and supply a new proprietary polyurethane material and Wilshire
 will use the material to manufacture and sell a disposable polyurethane glove
 for industrial cleanroom applications.
     The Company anticipates continuing negative cash flow from operating and
 investing activities through fiscal 2001 as it focuses on the market
 introduction of the new polyurethane glove.  As such, the Company will
 continue to be economically dependent on its majority shareholder to finance
 operations through fiscal 2001.  The Company has projected its cash flow needs
 to be approximately $2.3 Million for the year ending November 2001.  Due to
 these matters, the Company's auditors, BDO Seidman, LLP, included a going
 concern qualification in the Company's annual report for the year ended
 November 30, 2000.  Trilon Dominion, the Company's largest shareholder with
 over 73% of the shares outstanding, has acknowledged the Company's cash flow
 needs and has indicated its commitment to provide financial support to the
 Company through November 30, 2001 to the extent of such budgeted cash flow
 requirements.
     Commenting on the results, President and Chief Executive Officer Kevin
 Mulvihill stated, "We began initial production of the gloves and continued to
 make great improvements in the glove material in the first quarter.  We are
 very encouraged by the positive test results with glove cleanliness,
 durability and strength.  Recent outgassing tests measuring airborne molecular
 contamination to the sensitive cleanroom environments confirmed that
 DuraCLEAN(R) with Lycra(R) vs. Latex, Nitrile and PVC is far superior in
 purity, and unlike these other materials, will not introduce a variety of
 contaminants to applications."  Mr. Mulvihill went on to say, "We have begun
 to introduce the product to customers and initial feedback is positive.  We
 will continue to introduce the gloves worldwide focusing sales efforts in the
 microelectronics market."
 
     This press release contains forward-looking statements that involve a
 number of risks and uncertainties.  Important factors that could cause actual
 results to differ materially from those indicated by such forward-looking
 statements are set forth under the caption "Forward-looking Statements" in
 Exhibit 99 to the Company's Annual Report on Form 10-KSB for the fiscal year
 ended November 30, 1996.  These include operating losses, liquidity, reliance
 on major distributors, new product development, competition, technological
 change, patents, trade secrets, product liability, dependence on key
 suppliers, and dependence on key personnel.
 
 
                          Wilshire Technologies, Inc.
                              Financial Highlights
 
                                                 (Unaudited)
                                             Three Months Ended
                                   February 28, 2001     February 29,2000
 
     Net sales                           $11,000               $730,000
 
     Loss from operations            $(1,125,000)             $(942,000)
 
     Net loss                        $(1,483,000)           $(1,296,000)
 
     Basic and Diluted loss per share     $(0.11)               $(0.10)
 
     Weighted average shares
      outstanding                     12,953,000             12,953,000
 
 
     Wilshire Technologies develops manufactures and markets engineered polymer
 products for industrial clean room use.
     For further information, contact Kathleen Terry, Chief Financial Officer,
 at (760) 929-7200.
 
 SOURCE  Wilshire Technologies, Inc.