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Lapolla Industries Announces Upgrade to OTCQX®

Lapolla Industries Announces Upgrade to OTCQX

HOUSTON–(BUSINESS WIRE) — Lapolla Industries, Inc. (“Lapolla” or “Company”) (LPAD), a Houston-based global supplier of energy saving products, today announced it has qualified and started trading on the OTCQX® Best Market, operated by OTC Markets Group, effective July 1, 2016.

The OTCQX market is reserved for established, investor-focused U.S. and global companies that meet high financial standards, provide timely news and disclosure to investors, and are sponsored by a professional third-party advisor.

Douglas J. Kramer, President and CEO of Lapolla, stated, “Moving up to OTCQX is an important strategic step in our investor outreach commitment. Being traded on OTCQX will allow for greater exposure, accessibility, and liquidity from the investment community as we execute on our global strategy to deliver our energy saving products to key markets around the world.”

Lapolla is the first manufacturer, globally, to commercialize a third party tested and approved wall foam insulation system that uses an HFO cutting edge technology, offering an environmentally friendly, zero ODP and ultra low GWP. Lapolla’s FOAM-LOK 2000-4G (4th Generation) not only delivers environmental benefits that are 99.9 percent better than today’s most commonly-used blowing agents, the 4G now provides enhanced insulation values and yield from previous generation technology, bringing economic and bottom-line value to contractors and consumers.

Kramer continued, “Our global network of independent distribution and installing contractors continues to grow. The technology is at a tipping point of becoming mainstream around the world, providing Lapolla an opportunity to lead the transition from traditional insulation systems to advanced technology, literally changing the way in which we design and construct buildings, with an outcome of tighter, stronger and more energy efficient structures. Lapolla’s 4G advanced technology enters the global markets well ahead of eventual mandates by the US EPA and other foreign government mandates for change. These changes come as a result of the globally recognized initiatives, such as the Montreal Protocol, requiring reductions in greenhouse gases. Many countries around the world, from Europe, Scandinavia, the Middle East and South America, have already set required timelines for change, some currently implementing tariffs on old technology to encourage quicker adoption.”

As a result of Lapolla’s leadership in driving change, Kramer was invited to the White House to participate in the Executive Roundtable of the President’s Climate Action Plan. Kramer is now a regular participant at this annual event at the White House and Lapolla has since been named a Partner to the White House in the President’s Climate Action Plan. Kramer commented, “It’s been gratifying to get this recognition and to help lead such an important charge while knowing that the ultimate consumer value is so profound.”

Ty Pennington, from two time Emmy award winning Extreme Makeover – Home Edition (broadcasted on ABC), is the celebrity spokesman for Lapolla. Kramer said, “Driving consumer awareness and pull through is our goal as all consumers are looking for ways to gain not only energy savings, but also high performance homes.” Pennington commented, “This is personal for me. My mother struggled for many years with asthma and we are all aware of the growing epidemic levels of respiratory sensitivities. Lapolla’s 4G helps create better air quality by eliminating unwanted, unconditioned air, from entering the building. These airborne pollutants are one of the growing reasons for the surge in asthma among children. I have Lapolla 4G technology in my home,” said Pennington.

“At the end of the day, the clear global strategy, the strong management team, the 4G advanced technology, the global network, the consumer messaging, and the financial results, will drive shareholder value,” Kramer concluded.

U.S. investors can find current financial disclosure and Real-Time Level 2 quotes for Lapolla on www.otcmarkets.com.

About Lapolla Industries, Inc.

Lapolla Industries, Inc. is a global supplier and manufacturer of spray polyurethane foam for insulation and roofing applications, reflective roof coatings and equipment. Based in Houston, Texas, the company’s building envelope and roofing product solutions are designed to reduce energy consumption in the built environment, across the residential, commercial and industrial sectors, in both new construction and retrofits. Visit Lapolla Industries at www.lapolla.com.

Forward Looking Statements

Statements made in this press release that are not historical facts constitute “forward-looking statements” pursuant to Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and Private Securities Litigation Reform Act of 1995. Any such forward-looking statements should be considered in context with various disclosures made by Company about its business. All information as of date hereof. Company undertakes no duty to update any forward-looking statement.

 

Investor Relations Contact:

Michael T. Adams, EVP

Tel: (281) 219-4700

Email: info@lapolla.com

Entrepreneur Magazine Logo

Why Environmental Responsibility Is Good for Your Bottom Line

by Doug Kramer, President & CEO for Entrepreneur Magazine

Click here to view the article in Entrepreneur Magazine

“Greening” your company, via any number of means, obviously brings multiple benefits to the physical environment. But while going green may be the responsible thing to do, many companies shy away from these sustainability measures. The reason is their (common) misconception that the costs will outweigh any benefit, that there is no bottom-line value in environmentally responsible business practices.

In fact, this belief may be false, because setting a green path can often improve your bottom line.

So, why set a green path for your own company?

“Sustainability” is a catch-all phrase that refers to the science, or practice, of acting so as not to harm the environment, protecting (rather than depleting) natural resources and supporting long-term ecological balance.

In business, sustainability may refer to any number of operational, technological or product efforts that support environmental protection. For example, some companies set a green path by utilizing environmentally-friendly materials and/or locally sourcing those materials for the manufacture of their products.

Other activities include: producing products that may be recycled at the end of their lifespan for material reuse; reducing energy consumption in operations; or even re-engineering distribution methods as a means of reducing long-distance travel during product delivery, ultimately reducing fossil fuel consumption (and the disease-causing air pollution that is its byproduct).

These represent just a handful of ways to improve sustainability in business. There are many additional ones that will help ensure the protection of the environment. Some of these green measures also have the power to meet customer demands, representing a positive image for the business as well as a positive move for the environment.

Keep in mind something else: Very few businesses can claim no competition. When done well, innovation in environmental sustainability can create market differentiation as well as opportunity. And most entrepreneurs understand that you are either leading or following. Thus, innovation may be a matter of survival. And, what’s more, not all sustainable innovation needs to be profound, or novel. It is more important that the effort deliver value, perceived or otherwise, to your customers.

Where to start

When determining how your organization may best employ sustainability measures, keep in mind that research and development cannot dictate your customers’ needs; your customers do that. Start by analyzing your market to determine what your customers’ needs truly are, then develop a plan to provide a solution to meet them.

The challenge will be finding ways to effectively incorporate meaningful “green value” to the solutions you aim to provide, whether they lie in technology, operations, end product for sale, etc.  Ideally, the green value will carry not only the marketable perception among customers that your company is being green, but should also yield a potential net value, such as cost savings or efficiency.

One benefit of setting a green path is the likely belief among customers, business partners, employees and others stakeholders in your company’s goodwill.  Some customers will even pay more for eco-friendly products. Unfortunately, scale in business is critical and the potential consumers interested in goodwill or sustainable products only may not be sufficient in number to justify the expense of the innovation.

So, instead, focus on net cost savings to your company, market differentiation or savings to the consumer to help ensure ultimate success.

In 2014, the company I lead — Lapolla Industries — decided to forge a path ahead of our competition by re-engineering the chemistry of our core product line. This innovation in materials technology aimed to mitigate two negative environmental impacts common to all competing products in our space: ozone depletion and global warming impact.

Essentially, the innovation allowed us to bring to market a “next-generation” product line of spray polyurethane foam for insulation and roofing that represented a much more environmentally friendly solution for homes, commercial structures and consumers at-large.

While many of our competitors hesitated to make similar product sustainability improvements (presumably for cost reasons), it was important for us to complete this move ahead of them or any future regulation. Not only was it the right thing to do, but we also recognized the power it gave us to set ourselves apart from the group, as well as to positively impact our bottom line.

Innovation for bottom-line value

Many business leaders today refuse to employ sustainability measures, as they believe the cost will outweigh the benefit. However, viewing sustainability measures simply from a cost perspective may be shortsighted. Focus, instead, on the innovation fundamentals that will deliver both consumer and bottom-line value.

Because bottom-line value can be defined in two ways — as an increase in market share or as a reduction in costs — different avenues exist for linking your environmental responsibility to such growth. As long as your efforts grow your financial stability, it doesn’t matter which direction that growth comes from.

When our company sought to make our spray foam products more eco-conscious, we collaborated with raw material suppliers to innovate through technology. This allowed us to achieve the new thresholds while also achieving a net cost savings for our customers.  Although the technology cost was 10 percent more than our previous generation of products, the net savings to our customers was approximately 10 percent, achieved through a pick-up of 20 percent in added efficiency.

This resulted in a market interpretation of innovation, market leadership and goodwill, as well as consumer cost savings — a true win-win all around. We believe success of this kind is achievable by businesses of many types, and that if more leaders jump on board, our planet will be much better off.