Sabre’s comments after their raid by the Feds

| 23 February 2010 | 0 Comments

NASHVILLE, Tenn., February 19, 2010 – On February 17, 2010, Sabre Defence Industries
LLC, an established manufacturer of firearms and weapon systems to the United States military,
state and local law enforcement, and worldwide commercial markets, was informed that
employees of Sabre are suspected of illegally re-selling non-saleable and non-military items, that
such employees purchased from Sabre, that were otherwise to be discarded as scrap. Sabre is
and has been cooperating with federal agents in this investigation.

The federal agents completed their on-site investigation on February 18, 2010 and Sabre resumed
normal operations today. Sabre is confident that any production backlog will be brought back to
schedule over the next few days. The federal agents conducted their on-site investigation in a
courteous manner with a sensitivity to the critical work Sabre is doing for the United States
military. Sabre is conducting an internal investigation into this matter and is taking steps
necessary to prevent future employee misuse or theft of parts.

Sabre has more than 120 employees in its Nashville plant. Sabre’s biggest customer is the
United States military. Sabre products used by United States armed forces in Iraq and
Afghanistan include .50 caliber barrels and components of the M2 Browning machine gun, 7.62
mm mini-gun barrels, and M-16A3 and A4 rifles. Sabre is the only non-public company in the
world ever to be awarded a contract for a military spec M-16 rifle. Sabre is dedicated to
continuing to provide high quality firearms to the United States military, state and local law
enforcement, and Sabre’s commercial customers.




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