ZCL Composites Inc. Reports Third Quarter Results

February 19, 2003

Edmonton, Alberta June 11, 2003 ... ZCL Composites Inc. is pleased to report revenue of $25.5 million for the year ended March 31, 2003, an increase from revenue of $25.1 million for the year ended March 31, 2002. Net income was $756,000 for the year, down from net income of $1,836,000 last year. Basic and diluted earnings per share was $0.02, as compared to earnings per share of $0.11 last year, after adjusting for the costs of the convertible subordinated debenture.

Revenue was $6.0 million for the fourth quarter this year, as compared to $4.9 million last year. Net income for the fourth quarter was $4,000 (basic and diluted earnings per share of $0.00) compared to $75,000 (basic and diluted net loss per share of $0.02) for the quarter last year.

The acquisitions of Mocoat Services Inc. ("Mocoat") and Parabeam Industries BV ("Parabeam") during the year, along with an increase in activity in the petroleum industry in the latter part of this year, contributed to the increase in revenue. Activity picked up in the downstream sector of the petroleum industry in the third quarter of this fiscal year, and on the upstream side late in the fourth quarter.

The reduced net income is related largely to Mocoat and Parabeam, as steps are being taken to integrate these operations into the overall liquid storage business and finalize the development and marketing of the tank lining technologies. The convertible subordinated debenture was repaid late in the third quarter of this year and the significant related costs, which are deducted in the calculation of earnings per share, have been eliminated.

"During the year, we strengthened our financial position and brought in a partner that understands our business and shares our vision for the Company. We are now focused on the growth of our business through both internal expansion and acquisitions," says Ven Côté, President. "Activity in our key markets has improved over the last two quarters. We will further expand domestic and international markets for our tank manufacturing and lining technologies by leveraging our innovative industry leadership and customer relationships. With continued strength in our traditional markets, and growth of new products, we expect to significantly increase revenue and income over the next year."

ZCL Composites Inc. trades on the Toronto Stock Exchange under the symbol "ZCL" and is Canada's largest manufacturer of fiberglass underground storage tanks. ZCL's complete fuel storage systems marketed under the "Prezerver" trademark carry a $2 million warranty against pollution.

For further information, please contact:

Venence G. Côté President & CEO ZCL Composites Inc. (780) 466-6648 ven.cote@zcl.com

Tony G. Barlott VP Finance & CFO ZCL Composites Inc. (780) 466-6648 tony.barlott@zcl.com