Flame Seal Products, Inc. Releases March 31, 2015 Results

HOUSTON, TX--(Marketwired - May 28, 2015) - FLAME SEAL PRODUCTS, INC. (OTC PINK: FLMP), a leading provider of Specialty Chemicals for the Passive Fire Protection Market, today issues the following update to its Stockholders.

From: The Board of Directors
Subject: March 31, 2015 Financial Report and Update

Overview

As per plan, Flame Seal (FSP) continued to operate at close to breakeven in the first quarter of 2015. The Board of Directors (BOD) is committing its time and available assets to ensure the swift execution of the Company's turnaround plan until increased revenues generate self-financing cash flow and profitability.

CEO Craig Keyser comments, "2015's first quarter marked further progress in FSP's strategic positioning. Revenues were close to plan at $471,898 producing a $25,165 net loss. The Company continues to clean up its balance sheet and tighten accounting controls. The balance sheet was enhanced by an investment and two loans by a long term stake holder in the Company and a BOD member. The new capital is being employed to continue the product testing and certifications program and the purchase of key equipment for the production of our new coating technology.

"At quarter's end FSP had 53,354,791 shares outstanding. While FSP's Preferred Stock Offering remains available, the BOD has chosen not to implement it at this time in light of investments and loans received from third parties and Board Members. The financial vote of confidence placed by investors in the Company and BOD members has enabled us to proceed investing in the future of the company.

"During the first quarter of 2015, FSP has continued to focus on key projects that are slated to yield new business later in the year. It is anticipated these new projects will have a significant impact on revenue growth and overall profitability. 

"For the past two (2) years, the BOD and the entire FSP team have worked singly-focused to realize our turnaround strategy. Much still remains to be done. We thank our share and stake holders for their patience and continued confidence." 

March 31, 2015 Financial Review

Earnings on an Accrual Basis:

For the quarter ending March 30, 2015 FSP had a $25,165 loss on sales of $471,898. Revenues were not materially below the 2015 plan.

Balance Sheet