Conrad Industries Announces Expansion into Aluminum Marine Fabrication and Repair.

Business Editors

MORGAN CITY, La.--(BUSINESS WIRE)--June 19, 2003

Conrad Industries, Inc. (Nasdaq: CNRD) announced today that it is expanding its products and services to include aluminum marine fabrication, repair and conversion for both commercial and government customers. The expansion is part of a $5.5 million investment in one of the Company's existing facilities in Amelia, Louisiana.

Kenneth G. "Jerry" Myers, Jr., Conrad's President and CEO commented, "We are extremely excited to announce our entrance into the aluminum marine fabrication, repair and conversion business via our subsidiary, Conrad Aluminum, L.L.C. This expansion is being made possible as a result of the direct support we have received from the State of Louisiana and St. Mary Parish. The creation of this new line of business allows us to selectively pursue opportunities arising out of the changing demands of the industries we serve."

The financing of this expansion includes a $1.5 million grant by the State of Louisiana through the Economic Development Award Program (EDAP) and $4.0 million of Industrial Revenue Bonds to be issued by the St. Mary Parish Industrial Revenue Board. The investment includes a 37,500 square foot two bay building, six overhead cranes and a 300 ton travel lift.

Conrad Industries, Inc., established in 1948 and headquartered in Morgan City, designs, builds and overhauls tugboats, ferries, liftboats, barges, offshore supply vessels and other steel and aluminum products for both the commercial and government markets. The company provides both repair and new construction services at its four shipyards located in southern Louisiana and Texas.

All statements in this press release other than statements of historical fact are forward-looking statements, which are subject to a number of risks, uncertainties and assumptions. These include execution of definitive documentation for and receipt of the proceeds from the EDAP Grant and Industrial Revenue Bonds, Conrad's reliance on cyclical industries, principal customers and government contracts, its ability to finalize contracts on projects for which it has bid, and its ability to perform contracts at costs consistent with estimated costs used in bidding the contracts. Actual results may differ materially from those expected or projected. These and other risks are discussed in more detail in Conrad Industries, Inc.'s filings with the Securities and Exchange Commission. The Company undertakes no duty to update forward-looking statements.