Contact: Lynn Carlisle
Carlisle Communications, Inc.

CARON INTERNATIONAL ACQUIRES CC PRODUCT CO./BOND AMERICA
Strategic acquisition recognizes growth of knitting

JANUARY 17, 2003, WASHINGTON, NC—Caron International announces the acquisition of substantially all the assets of CC Product Co./Bond America, makers of the Ultimate Sweater Machine®, Wyr Knittr™, Tassel Master™ and Magicord® knitting and cord-making machines.

"We are delighted to bring the family of Bond America products under the Caron umbrella," notes Matt Rauschenbach, President of Caron International, a subsidiary of National Spinning Company. "We expect that the alignment of our significant yarn offering with the leader in knitting machine technology along with product innovation will be extremely productive," continues Rauschenbach.

Cari Clement, president of CC Product Co./Bond America states, "We couldn't envision a more complementary and growth-oriented company with whom to join forces than Caron." Further, she notes, "Caron's respect in the marketplace coupled with their expertise in operations is ideal for our product line and direction."

Clement has accepted a position with Caron as Director of Marketing for Bond America branded products. Clement will also continue as editor-in-chief of Ultimate Knitting magazine, a co-publishing partnership with Primedia, Inc. Ultimate Knitting is a consumer magazine introduced in 2002 that focuses on both hand and machine knitting.