FEDERAL PRISON INDUSTRIES, INC. (FPI) GOOD FAITH ANNOUNCEMENT Under the provisions of FPI's guidelines process, published March 12, 1997, in the Federal Register and March 25, 1997, in the Commerce Business Daily, FPI submits the following "good faith announcement" for public notice and comment. FPI manufactures chain and wire rope assemblies for sale to the Federal government. These items fall within Federal Supply Class (FSC) code 1680 -- Miscellaneous Aircraft Accessories and Components and FSC code 4010 -- Chain and Wire Rope. Some of these items have recently been transferred to FSC 2995 -- Miscellaneous Engine Accessories, Non-Aircraft. The function and manufacture of items has not been changed, only the FSC code in which they are classified. They are not substantially different in function from similar items in FSC 1680 and FSC 4010 currently produced by FPI. These items are classified within SIC 3496 -- Miscellaneous Fabricated Wire Products. For these reasons, FPI believes the chain and wire rope assemblies in FSC 2995 do not meet the definition of "new product" set forth by FPI's expansion guidelines. FPI believes these items should be classified within "Miscellaneous Engine Accessories, Non-Aircraft, FSC 2995." However, FPI recognizes that a reasonable person may construe these items to be a product separate and distinct from any other item supplied by FPI. Under the terms of FPI's expansion guidelines, interested parties may submit comments regarding the production of this item by FPI. In submitting comments to FPI, the following guidelines will apply: 1) Comments will be due within 21 days of the date of this notice; 2) Relevant comments will focus on and address why the item should be considered a new product, separate and distinct from a similar item currently produced by FPI; 3) While the primary purpose of the comments will be to determine if the item should be defined as a new product, comments related to market share and/or the impact that such a production decision may also be considered relevant. All comments received in response to this announcement will be considered by FPI. All commenters will be advised whether FPI decides to initiate the public involvement guidelines process. Any interested party has a right to raise any question at any time with FPI's Board of Directors. All comments should be addressed to: Manager, Planning, Research and Activation, Federal Prison Industries, Inc., 320 First Street, NW, Washington, D.C. 20534. Posted 06/14/00 (W-SN464793).

Loren Data Corp. http://www.ld.com (SYN# 0461 20000616\SP-0007.MSC)