Automodular Corporation: Ford Contract Update

Automodular Corporation: Ford Contract Update 
AJAX, ONTARIO -- (Marketwired) -- 10/21/13 -- Automodular Corporation
(TSX:AM) ("Automodular" or "the Company") reports that it has signed
an extension agreement with Ford Motor Company of Canada, Limited
("Ford") that would have the Company continue to provide sub-assembly
and sequencing services for its existing commodities until December
23, 2014 on commercial terms similar to those in its current
agreement with Ford. As part of the agreement, Ford has provided
certain production and price related assurances and will fund
Automodular's incremental closure costs related to this extension.
Following the expiry of the commercial extension, Automodular expects
to close its two remaining automotive operating facilities located in
Oakville, Ontario. Automodular continues to search for opportunities
in both the wind renewable sector and others to leverage its core
manufacturing and project management skills.  
In conjunction with the Ford commercial extension, Automodular
reports that it has reached agreement on a one-year labour extension
agreement for its Oakville-area workers with Unifor (formerly the
CAW). The existing labour agreement was set to expire on June 30,
2014. The extension provides for a signing bonus and improvements in
severance entitlements.  
Automodular Corporation is a supplier of sub-assembly, sequencing and
transportation services to the automotive industry - Ford Motor
Company's Oakville Assembly Plant. The Company has two operating
facilities and employs approximately 525 people. 
This press release contains forward-looking statements that involve a
number of risks and uncertainties. Among the important factors that
could cause actual results to differ materially from those indicated
by such forward-looking statements are market and general economic
conditions and the risk factors detailed from time to time in the
Company's periodic reports filed with the Canadian securities
regulatory authorities and on SEDAR at www.sedar.com. Readers are
cautioned not to rely on forward-looking statements. Except as
required under continuous disclosure obligations, the Company
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise. Automodular does not provide financial
outlooks.
Contacts:
Automodular Corporation
Christopher S. Nutt
President and CEO
(905) 619-4202
invest@automodular.com