TORONTO, Sept. 23, 2011 /PRNewswire/ – Exco Technologies Limited (TSX-XTC) today announced that it has completed the acquisition of a customer’s
extrusion tool making business situated in Colombia. Exco purchased
the assets of this business for cash consideration of approximately
$875,000. The acquisition secures for Exco an experienced workforce
and an agreement to supply the majority of the customer’s extrusion
tooling requirements. Exco has also moved machinery and equipment
worth approximately $1 million from Exco’s recently closed AluDie
facility in Canada to Colombia and Exco will invest an additional
amount of approximately $1 million for leasehold improvements and
additional machinery and equipment over the next year. The operating
results are expected to be accretive in the second year of operation.

Exco currently exports approximately $5 million worth of extrusion
tooling to a number of South American countries including Colombia.
Once Exco has satisfied its supply agreement obligations to the
Customer, it will transfer this business to the Colombian facility over
the next 2 to 3 years. This is expected to make available some
capacity at Exco’s remaining Canadian extrusion die facility which can
then be used to meet North American demand as economic conditions
improve. It is expected that once this process is complete, the
Colombian business will generate annual sales of approximately $8
million to $10 million. This is consistent with Exco’s goal of pursuing
market share in developing regions and manufacturing in low cost
jurisdictions.

Exco Technologies Limited is a global supplier of innovative
technologies servicing the die-cast, extrusion and automotive
industries. Through our 10 strategic locations, we employ 1,994 people
and service a diverse and broad customer base.

This news release contains forward-looking information and
forward-looking statements within the meaning of applicable securities
laws. We use words such as “anticipate”, “plan”, “may”, “will”,
“should”, “expect”, “believe”, “estimate” and similar expressions to
identify forward-looking information and statements especially with
respect to closing and completion dates, investment amounts and Exco
Colombia sales levels for future years. Such forward-looking
information and statements are based on assumptions and analyses made
by us in light of our experience and our perception of historical
trends, current conditions and expected future developments, as well as
other factors we believe to be relevant and appropriate in the
circumstances. Readers are cautioned not to place undue reliance on
forward-looking information and statements, as there can be no
assurance that the assumptions, plans, intentions or expectations upon
which such statements are based will occur. Forward-looking
information and statements are subject to known and unknown risks,
uncertainties, assumptions and other factors which may cause actual
results, performance or achievements to be materially different from
any future results, performance or achievements expressed, implied or
anticipated by such information and statements. These risks,
uncertainties and assumptions are described in the Company’s
Management’s Discussion and Analysis included in our 2010 Annual
Report, in our 2010 Annual Information Form and, from time to time, in
other reports and filings made by the Company with securities
regulatory authorities.

While the Company believes that the expectations expressed by such
forward-looking information and statements are reasonable, there can be
no assurance that such expectations and assumptions will prove to be
correct. In evaluating forward-looking information and statements,
readers should carefully consider the various factors which could cause
actual results or events to differ materially from those indicated in
the forward-looking information and statements. Readers are cautioned
that the foregoing list of important factors is not exhaustive.
Furthermore, the Company disclaims any obligations to update publicly
or otherwise revise any such factors or any of the forward-looking
information or statements contained herein to reflect subsequent
information, events or developments, changes in risk factors or
otherwise.

SOURCE Exco Technologies Limited