Sharing Knowledge in Smallcaps

[KauaiPI]

DFNS.ob~web presence is back ...

Date: Mon, 19 May 2003 13:53:34 -0400
From: "Lee Roth" <[e-mail]>
To: [e-mail]
Subject: Re: follow up; 2 DFNS Qs for you... and "NIJ standards" (body armor) recently sent you

Greetings kauaipi, Just wanted to pass along word that the website at www.defenseindustries.net is back online. As mentioned, please bear in mind that this is more or less temporary, as the feeling is that "something is better than nothing" and essentially serves as a place holder while we work on a more comprehensive web presence with the Company. Regards, Lee
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The company has a varied product offering and suggest if anyone is interested, they check out the company's temporary web site to see for themselves...


About Defense Industries International, Inc.

Defense Industries International, Inc. is a leading manufacturer and global provider of personal military and civilian protective equipment and supplies. Defense Industries' subsidiary, Export Erez Ltd., was formed and registered in 1983. Defense Industries' main products include body armor, bomb disposal suits and bullet-resistant vests and jackets; ballistic wall covers, helmets, plates and one-way protective windows; personal military equipment, battle pouch units and combat harness units; dry storage units, liquid logistics, tents and vehicle covers; and winter suits, sleeping bags and backpacks.

Defense Industries' products are used by military, law enforcement, border patrol enforcement and other special security forces, corporations, non-governmental organizations and individuals throughout the world. Customers include the Israel Defense Forces, the North Atlantic Treaty Organization (NATO), the United Nations Peacekeeping Forces and other U.N. organizations.

Defense Industries manufactures its own products, thereby enabling it to offer highly competitive pricing and to fulfill product orders on a rapid and efficient basis. Its manufacturing facilities meet American EQNET and international ISO 9002 standards. Quality control in the Company's manufacturing facilities is performed according to ISO 9002; MIL.STD.105D; MIL-I-45208A (for the U.S. Armed Forces); AQAP (for the German Armed Forces and NATO); and the National Institute of Justice (N.I.J.).


Certainly not the best web site lol ...but that is not the product itself that supports the site...

I like the business strategy taken from their 10K;

STRATEGY

Our strategy is to capitalize on our significant research and development capabilities and the strength of our brand identity and achieve greater economies of scale. With the increase in international tensions, we believe the demand for our products will continue to grow. We expect to address this growth by offering a comprehensive array of high quality branded security products to meet the needs of our customers around the world. We intend to enhance our leadership position through additional strategic acquisitions by creating a broad portfolio of products and services to satisfy all of our customers' increasingly complex security products needs. The following elements define our growth strategy.

o CAPITALIZE ON EXPOSURE TO MILITARY PROBLEMS. We believe the events of September 11, 2001, the subsequent "War on Terrorism", the increasing likelihood of military conflicts abroad, and recent actual events in saving lives through the performance of armor systems, are all likely to result in additional interest in our products.

o EXPAND DISTRIBUTION AND NETWORKS AND PRODUCT OFFERINGS. We expect to continue to leverage our distribution network by expanding our range of branded law enforcement equipment through the acquisition of niche defensive security products manufacturers, and by investing in the development of new and enhanced products which complement our existing offerings. A broader product line will strengthen our relationships with distributors and enhance our brand appeal with military, law enforcement and other end users.

o PURSUE STRATEGIC ACQUISITIONS. We selectively pursue strategic acquisitions that complement and/or expand our product offerings, provide access to new geographic markets, and provide additional distribution channels and new customer relations.
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As I have stated, they have a good share in the local business and that should continue to allow them to play to their strengths as the uncertainties become less a concern and purse strings are once again opened and they seem to have markets to grow;

Our share of the Israeli defense market for applicable products in 2002 was approximately 45% of a total market of $10,000,000. We have one major competitor in this market: Rabintex with approximately 20% of the market.

Our share of the Israeli civilian market for applicable products in 2002 was approximately 9% of a total market of $25,000,000, with 41% controlled by other Israeli companies and 50% made up by imported goods.

Internationally, our competitors in the defense market include companies such as Point Blank, Safari Land of Ontario, California and A.B.A. in the United States, L.B.A. in England, Indigo in Spain, Systema Compositi in Italy, Hellenic Arms Industries in Greece and Barman in Sweden. In each case, the competing manufacturers specialize in a more limited product line than does Defense Industries.

In the civilian market, we are aware of approximately 20 companies manufacturing similar products. A number of major manufacturers with resources and reputations larger than those of Defense Industries compete for the same market. We intend to market its products over the Internet as well as through a network of distributors.

It is also important to me that they hold patent and trademark *assets*

PATENTS AND TRADEMARKS

We hold several patents from various countries for our ballistic wall coverings, dry storage systems and mine protective shoes. Our subsidiary Achidatex holds several of our patents.
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My present concern is over their "late" filing...

http://biz.yahoo.com/bw/030515/155340_1.html

ASHKELON, Israel--(BUSINESS WIRE)--May 15, 2003--Defense Industries International, Inc. (OTCBB:DFNS - News), a leading manufacturer and global provider of personal military and civilian protective equipment and supplies, announced today that its financial results for the first quarter ended March 31, 2003, will be delayed beyond the prescribed deadline of May 15, 2003

The Company stated that the delay in filing of its quarterly report on form 10-QSB is the result of changes in the responsibilities of its auditors under the guidelines of the Sarbanes Oxley Act. These changes in auditors' responsibilities prevented the timely completion of the review of the Company's financial statements for the first quarter by Defense Industries' independent auditors.

best!

kp