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Innovative Composites International Announces Receipt of Notice from Debenture Holder

TORONTO, ONTARIO -- (Marketwire) -- 02/11/13 -- Innovative Composites International Inc. ("ICI" or the "Company"), (TSX VENTURE:IC)(OTCQX:ICIZF), a producer of proprietary engineered composite products (www.innovativecompositesinc.com/structure-lite-composite-materials), announced today that it has received a demand payment notice from KS Centoco Ltd., the holder of the $2 million convertible debenture, requiring its repayment by no later than March 4, 2013.

"We are, of course, disappointed that the debenture holder chose to demand payment at this time," said Terry Ball, CEO of ICI. "In response, we are in active discussions with several potential sources of funding in both Canada and the United States, each of which has the ability to provide sufficient funds to repay the debenture. We are also continuing to manage our cash resources by working to generate new revenue and by looking at ways we can further reduce costs. Our cash resources remain unchanged, other than in the normal course as a result of our burn rate, and this demand notice."

The demand notice has no impact on the ability of the Company to continue its operations and business development activities between now and the demand notice payment date.

"The Board has confidence in the Company's management and business plan," said Ken Keeley, Chairman of the Board of Directors of ICI. "We believe that upon its successful resolution, based on the Company's current initiatives and pipeline of potential customers, the Company will have the resources necessary to execute the business plan, whose short term objective is to generate sufficient cash flow to extinguish the burn rate."

About Innovative Composites International Inc.

Headquartered in Toronto, Canada, Innovative Composites International Inc. (TSX VENTURE:IC)(OTCQX:ICIZF) is a high-tech engineering and manufacturing company whose goal is to utilize its proprietary "green" composite materials and building systems to provide innovative, engineered product solutions to markets that include prefabricated modular housing, shelters (www.innovativecompositesinc.com/prefabricated-modular-housing/) and containers, and industrial applications.

To find out more about ICI please visit our website at: www.innovativecompositesinc.com.

Follow us on www.waggle.ca.

"Statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, competition in its target markets, the demand for ICI's products and the availability of funding. These forward-looking statements are made as of the date hereof and ICI does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from ICI's expectations and projections."

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts:
Innovative Composites International Inc.
Sam Greiss
Chief Financial Officer
(416) 646 0754
sgreiss@innovativecompositesinc.com
www.innovativecompositesinc.com

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