Mr. Stephen Hardy reports

PFB CORPORATION ANNOUNCES ITS SECOND QUARTER RESULTS FOR 2014 AND DECLARES REGULAR QUARTERLY DIVIDEND

PFB Corp. has released its financial results for the three- and six-month periods ended June 30, 2014.

Consolidated net income for the three-month period ended June 30, 2014, was $95,000, basic earnings per share of one cent, as compared with net income of $311,000, basic earnings per share of five cents, reported in the comparative three-month period of 2013. Sales in the three-month period ended June 30, 2014, were $23,068,000, as compared with sales of $22,698,000 in the comparative three-month period of 2013. Gross margins during the period were 17.1 per cent of sales, compared with 16.0 per cent in the comparative period.

A consolidated loss of $1,748,000 resulted for the six-month period ended June 30, 2014, loss per share of 26 cents, as compared with net income of $5,439,000, basic earnings per share of 81 cents, reported in the comparative six-month period of 2013. The consolidated results for the comparative six-month period of 2013 are inclusive of an after-tax gain in the amount of $6,198,000, which was realized on the sale of four properties as part of a sale and leaseback transaction. Excluding the after-tax effect of the one-time gain, the corporation would have reported a loss of $759,000 in the prior-year six-month period, equivalent to a loss per share of 11 cents. Sales in the six-month period ended June 30, 2014, were $37,478,000, as compared with sales of $37,905,000 in the comparative six-month period of 2013.

Dividend payment

The board of directors has approved the payment of a regular quarterly dividend of six cents per common share. The dividend will be paid on Aug. 29, 2014, to shareholders of record on Aug. 14, 2014.

PFB's condensed consolidated financial statements, and interim management's discussion and analysis, for the three- and six-month periods ended June 30, 2014, and 2013 will be posted on SEDAR on or before Aug. 14, 2014.