IEC Adopts a Tax Benefit Preservation Plan

IEC Adopts a Tax Benefit Preservation Plan 
NEWARK, NY -- (Marketwired) -- 07/31/14 --  IEC Electronics Corp.
(NYSE MKT: IEC) (the "Company") announced today that its Board of
Directors (the "Board") has adopted a Tax Benefit Preservation Plan
(the "Plan") in an effort to preserve the value of its net operating
loss carryforwards ("NOLs") under Section 382 of the Internal Revenue
Code (the "Code"). The Company's use of its NOLs could be
substantially limited if the Company experiences an "ownership
change" (as defined in Section 382 of the Code). In light of recent
accumulations of a significant percentage of the Company's
outstanding common stock, the Plan is intended to protect the
Company's NOLs from potentially unfavorable tax treatment. 
In connection with the adoption of the Plan, on July 31, 2014, the
Board declared a non-taxable dividend of preferred share purchase
rights ("Rights") for stockholders of record as of the close of
business on August 15, 2014. The Rights become exercisable if any
person or group acquires beneficial ownership of 4.99% or more of the
Company's common stock or, in the case of any person or group that
currently owns 4.99% or more of the common stock, upon the
acquisition of additional shares by such person or group after July
31, 2014. The threshold may be amended, and the rights may be
redeemed or terminated by the Board at any time prior to being
The Plan will expire on December 31, 2017, subject to earlier
expiration in specific circumstances. 
Additional information regarding the Plan, the dividend and the new
series of preferred stock is contained in a Form 8-K and in a
Registration Statement on Form 8-A that the Company is filing with
the Securities and Exchange Commission.  
Baker Botts L.L.P. and Harris Beach PLLC are serving as the legal
advisors to the Company. 
About IEC Electronics
 IEC Electronics Corporation is a premier
provider of electronic manufacturing services ("EMS") to advanced
technology companies primarily in the military and aerospace,
medical, industrial and communications sectors. The Company
specializes in the custom manufacture of high reliability, complex
circuit cards, system level assemblies, a wide array of custom cable
and wire harness assemblies, precision sheet metal products, and
advanced research and testing services. As a full service EMS
provider, IEC is a world-class ISO 9001:2008, AS9100 and ISO13485
certified company. The AS9100 certification enables IEC to serve the
military and commercial aerospace markets. The ISO13485 certification
supports the quality requirements of medical device markets. The
Company is also AC7120 Nadcap accredited for electronics
manufacturing to support the most stringent quality requirements of
the aerospace industry, as well as ITAR registered and NSA approved
under the COMSEC standard. Dynamic Research and Testing Laboratories
(DRTL), the Company's newest business unit, is an ISO 17025
accredited laboratory specializing in the testing and detection of
counterfeit electronic parts, as well as component risk mitigation
and advanced failure analysis. IEC Electronics is headquartered in
Newark, NY (outside of Rochester) and also has operations in
Rochester, NY, Albuquerque, NM and Bell Gardens, CA. Additional
information about IEC can be found on its web site at  
Michael T. Williams
Chief Financial Officer
IEC Electronics Corp.
(315) 332-4324 
John Nesbett or Jennifer Belodeau
Institutional Marketing Services (IMS)
(203) 972-9200 
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