Mr. Mark Smith reports

IBC ADVANCED ALLOYS PROVIDES FINANCIAL UPDATE

IBC Advanced Alloys Corp. has provided a financial update regarding its cash balance, working capital and indebtedness owing under its 9.5 per cent senior unsecured debentures and 8.25 per cent senior unsecured convertible debentures.

The company's current cash balance is approximately $687,600 (U.S.) and net working capital deficit is approximately $5,153,895 (U.S.) (which includes the principal owed on the debentures). The debentures, issued pursuant to a debenture indenture dated June 6, 2018, and a convertible debenture indenture dated June 6, 2018, respectively, have a maturity date of June 6, 2023, at which time the company must pay approximately $136,000 (U.S.) in principal on the 9.5 per cent debentures and $2,591,000 (U.S.) in principal on the 8.25 per cent debentures. If additional outside financing is not obtained in the short term, the company will not be able to meet its obligations to pay the principal on the debentures before the maturity date, resulting in an event of default under the indentures.

The company is investigating options to obtain outside financing to pay the principal on the debentures, and other alternatives, and has signed a non-binding term sheet with a commercial lender to provide additional financing to the company, but there is no guarantee that such financing will be obtained.

The company is also in discussions with the holders of debentures to obtain a temporary waiver of default for failure to pay principal while the company continues to seek financing. At this time, there are no assurances that the holders of the debentures will refrain from seeking immediate enforcement under the terms of the indentures if the company does not pay the outstanding principal by the maturity date.

About IBC Advanced Alloys Corp.

IBC is a leading beryllium and copper advanced alloys company serving a variety of industries, such as defence, aerospace, automotive, telecommunications and precision manufacturing. IBC's copper alloys division manufactures and distributes a variety of copper alloys as castings and forgings, including beryllium copper, chrome copper and aluminum bronze. IBC's engineered materials division makes the Beralcast family of alloys, which can be precision cast and are used in an increasing number of defence, aerospace and other systems, including the F-35 joint strike fighter. IBC has production facilities in Indiana, Massachusetts, Pennsylvania and Missouri.

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