FDI ANNOUNCES 2014 OUTSTANDING SUPPLIER AWARDS

MOORPARK, CA - January 19, 2015: Federal Defense Industries, Inc. (FDI) today announced the recipients of its annual Outstanding Supplier Awards. The awards recognize outstanding performance and accomplishments of suppliers supporting a special segment of the defense industry.

Each year FDI selects an Outstanding Supplier for each of three categories; Aircraft Components, Electronic Components, and Vehicle Components. FDI President, Philip Ochoa, stated he was proud to present the 2014 Outstanding Supplier Awards to:

• Valley Power Systems, Inc., Mira Loma, CA - Vehicle Components
• First Source, Inc, Post Falls, ID - Electronic Components
• GKN Aerospace Chem-tronics, Inc., El Cajon, CA - Aircraft Components

Ochoa stated, "Valley Power Systems, represented by Daniel Garcia and Victor Story, first became suppliers to FDI in 2009, and our business with them has grown over the years. They have been consistent performers as distributors of a wide variety of OEM parts and products which we need to support military vehicles worldwide. Recognizing their consistent performance, we are proud to make Valley Power first time winners in this category."

Jill Cosgrove, FDI's Quality Systems Administrator, stated, "Our goal is to identify and recognize the best performers. We constantly monitor and annually review more than 4,500 suppliers for accuracy of materials received, purchase order volume, timely delivery, and FDI employee rankings for vendor cooperation. Valley Power Systems' commitment to product support and accuracy is impressive."

Ochoa says, "The accuracy of our suppliers is a critical factor of FDI's mission success to the Department of Defense (DoD) to accurately and efficiently supply and support US manufactured equipment, which is maintained or supported by the US Military. In our performance spanning more than 31,000 US Government contract awards, we have earned a reputation for being the most accurate high-volume supplier in the US Military non-standard item support programs, and ultimately that translates into mission success for the DoD and the US taxpayers. We are thankful for Valley Power Systems' commitment to supply perfection and product support."

About Federal Defense Industries Inc.

Federal Defense Industries, Inc. (FDI), CAGE 1PJ28, is a US defense contractor specializing in expediting the supply of new equipment and spare parts to the US Department of Defense and US Government. FDI operates under multi-year Blanket Purchase Agreements (BPA's), formal contracts, and purchase orders to supply spare and replacement parts and consumables for US manufactured aircraft, vehicles, and equipment used in military and defense programs worldwide. FDI maintains buying relationships with more than 4,500 OEMs, Manufacturers, and Franchised Distributors. FDI is headquartered in Southern California's technology-rich region, in Moorpark. More information is available at www.fdi.us.com.