POWAY, CA--(Marketwire - Nov 9, 2011) - ALDILA, INC. (OTCQX: [ ALDA ]) (PINKSHEETS: [ ALDA ]) announced today net sales of $12.8 million and a net loss of $413,000 ($0.08 loss per share) for the three months ending September 30, 2011 as compared to net sales of $12.2 million and net income of $1.3 million ($0.24 income per share) for the comparable period in 2010. Included in the 2010 quarter was a tax benefit of $1.0 million. For the nine months ended September 30, 2011, the Company's net sales were $36.2 million and a net loss of $1.4 million as compared to net sales of $42.7 million and net income of $2.7 million for the comparable period in 2010.

"The slowdown in our golf business that we experienced in the second quarter of 2011 continued into the third quarter of 2011. Our golf shaft sales declined by 18% in the third quarter of 2011 as compared to 2010, which was driven by a 24% decrease in units shipped. We were down in the 2011 quarter and year to date with most of our major club company partners. While there have been some bright spots this year in the equipment industry, they have been few and far between," said Peter R. Mathewson, Chairman and CEO.

"We anticipated a stronger second half for golf shaft sales, due to new 2012 club programs beginning production during the second half of 2011, however, the startups of these programs have been slower to materialize because of launch dates being moved out or reduced forecasted demand. Our golf shaft sales for the first three quarters of 2011 have been approximately the same for each quarter. We anticipate that our fourth quarter shaft sales will be our largest this year. Our backlog of $8.6 million is up by 40% over the same period last year," Mr. Mathewson said.

"We are proud to report that 2011 was one of our best seasons ever on the PGA Tour. Through the conclusion of the PGA Tour Fall Series, our shafts were used to win 13 events on the PGA Tour. Aldila graphite shafts were once again the shafts of choice for the majority of players this year on Tour according to the Darrell Survey. Their weekly wood and hybrid shaft manufacturer reports confirm Aldila as the number one graphite shaft in play at 84% of all the PGA Tour events this year and for the 4^th consecutive year, Aldila shafts were the most popular wood and hybrid shafts at every event during the FedEx Cup Playoffs and Tour Championships. As the 2011 PGA Tour season wraps up, players who used Aldila shafts dominate the year end statistics. The number one and two players in the World Golf Rankings play Aldila shafts, and the 2011 PGA Tour Money list leader, Top-10 Finishes Leader, Scoring Average Leader, Driving Accuracy Leader and Proximity to the Hole Leader all played Aldila shafts during 2011. In addition, players using Aldila shafts in their drivers won over $37 million dollars on Tour this year," said Mr. Mathewson.

"Our Composite Materials Division continues to thrive with an increase in sales of 45% over the comparable period last year and is up 20% through nine months versus the nine month period of 2010. While the majority of the increase in sales for the 2011 quarter was from recreational customers, 57% of the increase in sales for the nine month period was attributable to non-recreational customers. We continue to be optimistic that we will breakthrough on one or more non-recreational programs which could have a significant positive effect on our sales," Mr. Mathewson said.

"Our Victory Archery business is on track to being fully transitioned to Vietnam by year end. As we begin the 2012 selling season we are very encouraged by the increased interest and excitement in the Victory brand, its flagship VAP (Victory Armour Piercing) product line and the fact that Aldila is the new owner of the brand. Being the only vertically integrated manufacturer in carbon arrows and our lengthy experience in producing carbon based products is benefiting our sales efforts in landing new accounts," said Mr. Mathewson.

Aldila will host a conference call at 5 P.M. Eastern Time, on November 09, 2011 with Peter R. Mathewson, Chairman and CEO, Robert J. Cierzan, Senior Vice President, Composite Materials and Scott M. Bier, Vice President, Chief Financial Officer, to review Aldila's Third Quarter 2011 financial results. For telephone access to the conference call dial 1-877-719-9799 or 1-719-325-4810 for international calls and request connection to the Aldila conference call, Participant Passcode: 5498199. A live webcast of the conference call can be accessed on the Aldila website at [ http://www.aldila.com ]. An archive of the webcast will be available through our website for 90 days following the conference call.

This press release contains forward-looking statements based on our expectations as of the date of this press release. These statements necessarily reflect assumptions that we make in evaluating our expectations as to the future. Forward-looking statements are necessarily subject to risks and uncertainties. Our actual future performance and results could differ from that contained in or suggested by these forward-looking statements as a result of a variety of factors. Our filings with the OTC Disclosure and News Service and the Securities and Exchange Commission (for filings prior to move to OTCQX U.S. Premier) present a detailed discussion of the principal risks and uncertainties related to our future operations, in particular our Annual Report for the year ended December 31, 2010, under "The nature of issuer's business" in Part C, Item VIII, and "Management's Discussion and Analysis or Plan of Operation" in Part C, Item XVI and Quarterly Reports and Current Reports, all of which can be obtained on the OTCQX U.S. Premier website, which can be found at [ www.otcqx.com ].

The forward-looking statements in this press release are particularly subject to the risks that:

• consumer discretionary spending will be flat or decline, which could have a material impact on our business;
• our product offerings, including the NV®, VS Proto™, DVS®, VooDoo® and RIP® shaft lines and product offerings outside the golf industry, will not achieve or maintain success with consumers or customers;
• we will not maintain or increase our market share at our principal customers;
• demand for clubs manufactured by our principal customers will decline, thereby affecting their demand for our shafts;
• demand for composite materials by our principal customers will decline or fail to continue to grow;
• the market for graphite shafts will continue to be extremely competitive, affecting selling prices and profitability;
• our international operations will be adversely affected by political instability, currency fluctuations, export/import regulations or other risks typical of multi-national operations, particularly those in less developed countries;
• the Company will not be able to acquire adequate supplies of carbon fiber at reasonable market prices;
• acts of terrorism, natural disasters, or disease pandemics interfere with our manufacturing operations or our ability to ship our finished products.

For additional information about Aldila, Inc., please go to the Company's website at [ www.aldila.com ].