(*) 2001 earnings restated to reflect change in accounting for deferred foreign exchange gains or losses on long-term debt in accordance with CICA guidelines effective 2002. Restatement reduced earnings by $45,000 for the year ending December 31, 2001, and increased earnings by $35,000 for the three months ending December 31, 2001.

Guelph, Ontario - February 28, 2003 – The year 2002 produced results that provide a better indication of the earnings potential from our re-organized company after the spin off of the electrical dry-type transformer business into Hammond Power Solutions Inc.

We are pleased to report improved earnings, and debt reduction of $2,662,000 in the year, achieved under challenging market conditions. Book value per share increased to $1.85.

Our most satisfying accomplishment over the year is the continuing progress toward a more involved “people culture” where job security results from work involvement, flexibility, and customer support through service excellence.

Hammond Manufacturing Company Limited manufactures a broad range of products for the electronic and electrical products industry, including metallic and non-metallic enclosures, racks, small cases, outlet strips, surge suppressors and electronic transformers.

Robert F. Hammond, Chairman and CEO
Tel: (519) 822.2960
Fax: (519) 822.8987
Email: ir@hammfg.com