Exhibit 99.1

Carbon Fiber Technology, LLC  Financial Statements

November 30, 2007

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TABLE OF CONTENTS

|Report of Independent Registered Public Accounting Firm |  | 1
|------------------------------------------------------- |  | -
|Balance Sheet                                           |  | 2
|Statement of Income                                     |  | 3
|Statement of Changes in Members' Equity                 |  | 4
|Statement of Cash Flows                                 |  | 5
|Notes to Financial Statements                           |  | 6

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[MAYER HOFFMAN MCCANN P.C. LETTERHEAD]

Report of Independent Registered Public Accounting Firm

The
Board of Members
Carbon Fiber Technologies, LLC

We
have audited the accompanying balance sheet of Carbon Fiber Technologies, LLC as of November 30, 2007, and the related statements of income, changes in members' equity, and cash flows
for the eleven months then ended. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our
audit.

We
conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.

In
our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Carbon Fiber Technologies, LLC as of November 30, 2007, and
the results of its operations and its cash flows for the eleven months then ended in conformity with accounting principles generally accepted in the United States of America.

Mayer
Hoffman McCann P.C.

/s/MAYER HOFFMAN MCCANN P.C.

San
Diego, California
February 8, 2008

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CARBON FIBER TECHNOLOGY, LLC        BALANCE SHEET        NOVEMBER 30, 2007

|CURRENT ASSETS                    |                           |                                       |           
|--------------------------------- | ------------------------- | ------------------------------------- | ----------
|                                  | Cash and cash equivalents |                                       | $         
|                                  | Accounts receivable       |                                       |           
|                                  | Inventories               |                                       |           
|                                  | Prepaid expenses          |                                       |           
|                                  |                           |                                      
|                                  |                           | Total current assets                  |           
|PROPERTY PLANT AND EQUIPMENT, NET |                           |                                       | 5,801,686 
|                                  |                           |                                      
|                                  |                           | Total assets                          |           
|CURRENT LIABILITIES               |                           |                                       |           
|                                  | Accounts payable          |                                       | $         
|                                  | Accrued expenses          |                                       |           
|                                  |                           |                                      
|                                  |                           | Total current liabilities             |           
|MEMBERS' EQUITY                   |                           |                                       | 10,843,299
|                                  |                           |                                      
|                                  |                           | Total liabilities and members' equity |           
|                                  |                           |                                      

The
accompanying notes are an integral part of these financial statements.

2

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CARBON FIBER TECHNOLOGY, LLC        STATEMENT OF INCOME        FOR THE ELEVEN MONTHS ENDED NOVEMBER 30, 2007

|REVENUES, NET |  | $ | 14,128,464
|------------- |  | - | ----------
|COST OF SALES |  |   | 13,393,999
|              |  |  
|GROSS PROFIT  |  |   | 734,465   
|OTHER EXPENSE |  |   | 6,521     
|              |  |  
|NET INCOME    |  | $ | 727,944   
|              |  |  

The
accompanying notes are an integral part of these financial statements.

3

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CARBON FIBER TECHNOLOGY, LLC        STATEMENT OF CHANGES IN MEMBERS' EQUITY        FOR THE ELEVEN MONTHS ENDED NOVEMBER 30, 2007

|BALANCE, DECEMBER 31, 2006 |                         | $ | 10,687,506 |         
|-------------------------- | ----------------------- | - | ---------- | --------
|                           | Distribution to members |   |            | (572,151
|                           | Net Income              |   |            | 727,944 
|                           |                         |   |           
|BALANCE, NOVEMBER 30, 2007 |                         | $ | 10,843,299 |         
|                           |                         |   |           

The
accompanying notes are an integral part of these financial statements.

4

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CARBON FIBER TECHNOLOGY, LLC        STATEMENT OF CASH FLOWS        FOR THE ELEVEN MONTHS ENDED NOVEMBER 30, 2007

|                                             |                                                                                   |                               |                                          
|-------------------------------------------- | --------------------------------------------------------------------------------- | ----------------------------- | -----------------------------------------
|CASH FLOWS FROM OPERATING ACTIVITIES         |                                                                                   |                               |                                          
|                                             | Net income                                                                        |                               | $                                        
|                                             | Adjustments to reconcile net income to net cash provided by operating activities: |                               |                                          
|                                             |                                                                                   | Depreciation and amortization |                                          
|                                             |                                                                                   | Loss on sale of equipment     |                                          
|                                             | Changes in operating assets and liabilities                                       |                               |                                          
|                                             |                                                                                   | Accounts receivable           |                                          
|                                             |                                                                                   | Inventories                   |                                          
|                                             |                                                                                   | Prepaid expenses              |                                          
|                                             |                                                                                   | Accounts payable              |                                          
|                                             |                                                                                   | Accrued expenses              |                                          
|                                             |                                                                                   |                               |                                          
|                                             |                                                                                   |                               | Net cash provided by operating activities
|CASH FLOWS FROM INVESTING ACTIVITIES         |                                                                                   |                               |                                          
|                                             | Purchases of property, plant and equipment                                        |                               |                                          
|                                             |                                                                                   |                               |                                          
|                                             |                                                                                   |                               | Net cash used for investing activities   
|CASH FLOWS FROM FINANCING ACTIVITIES         |                                                                                   |                               |                                          
|                                             | Distributions to members                                                          |                               |                                          
|                                             |                                                                                   |                               |                                          
|                                             |                                                                                   |                               | Net cash used for financing activities   
|NET INCREASE IN CASH AND CASH EQUIVALENTS    |                                                                                   |                               | 407,442                                  
|CASH AND CASH EQUIVALENTS, DECEMBER 31, 2006 |                                                                                   |                               | 1,360,868                                
|                                             |                                                                                   |                               |                                          
|CASH AND CASH EQUIVALENTS, NOVEMBER 30, 2007 |                                                                                   | $                             | 1,768,310                                
|                                             |                                                                                   |                               |                                          
|SUPPLEMENTAL DISCLOSURE                      |                                                                                   |                               |                                          
|                                             | Interest paid                                                                     |                               | $                                        
|                                             |                                                                                   |                               |                                          
|                                             | Income taxes paid                                                                 |                               | $                                        
|                                             |                                                                                   |                               |                                          

The
accompanying notes are an integral part of these financial statements.

5

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CARBON FIBER TECHNOLOGY, LLC  NOTES TO FINANCIAL STATEMENTS

Note 1Organization and Summary of Significant Accounting Policies

Nature of Operations

Carbon Fiber Technology, LLC (a Delaware limited liability company) (the "Company") manufactures carbon fiber for use in various applications, including
aerospace, sporting goods, and other commercial applications. The Company, which was previously a wholly owned subsidiary of Aldila Materials Technology Corporation ("AMTC"), was formed on
October 29, 1999 as a joint venture between AMTC and SGL Carbon Fibers and Composites, Inc. ("SGL"). Profit and loss are allocated equally to each member based on their
respective ownership interest of 50% in the joint venture. The Amended and Restated LLC Agreement provides that the Company is to continue until December 31, 2099 unless it is dissolved
earlier, its affairs are wound up, and final liquidating distributions are made pursuant to the Amended and Restated LLC Agreement. See Note 9, Subsequent Events.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make
estimates and assumption. The recorded amounts of assets, liabilities, revenues, expenses, and related disclosures are affected by such estimates and assumptions, and actual results could differ from
those estimates and assumptions.

Cash and Cash Equivalents

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company has not
historically experienced losses on such investments.

Accounts Receivable

The Company was established to provide for the carbon fiber needs of the respective members. Accounts receivable consist primarily of balances due from the
Company's members as sales to third parties are permitted only after the carbon fiber requirements of each member are met. The Company has not established an allowance for bad debts as historical
losses related to uncollectible accounts from third parties have been minimal.

Inventories

Inventories are stated at the lower of first-in, first-out (FIFO) cost or market value. Substantially all operating costs of the Company
are directly related to the manufacturing process, and are included in the cost of inventory.

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CARBON FIBER TECHNOLOGY, LLC
NOTES TO FINANCIAL STATEMENTS

Property, Plant and Equipment

Property, plant and equipment are stated at cost. Depreciation is provided on a straight- line basis over the estimated useful lives of the assets as follows:

Asset Description

YearsBuilding

39Manufacturing equipment

5-10Office furniture and equipment

3-10


Impairment or Disposal of Long-Lived Assets

The Company evaluates its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such
assets may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future undiscounted net cash flows expected to be
generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the
assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. No assets are considered to be impaired as of November 30, 2007.

Revenue Recognition

Sales to Members The Company recognizes revenue when product is shipped. In accordance with the
Amended and Restated LLC Agreement and subject to modifications made by the members, the Company bills the members for fixed costs incurred on a monthly basis and bills variable costs at an
agreed-upon transfer price for the eleven months as carbon fiber is shipped. The billings reflect an approximate 5% gross profit margin to the Company.

Outside Sales The Company recognizes revenue when products are shipped and the customer takes ownership and assumes risk of
loss, collection of the relevant receivable is probable, persuasive evidence of an arrangement exists, and the sales price is fixed or determinable.

Income Taxes

As a limited liability company, the Company is not subject to federal and state income taxes. The taxable income or loss of the Company is included in the income
tax returns of its members. Accordingly, the Company has made no provision for income taxes.

Fair Value of Financial Instruments

The carrying amount of cash and cash equivalents, trade accounts receivable and payable and certain accrued expenses in the financial statements approximates
their fair value due to their short term nature.

Shipping and Handling Costs

Shipping and handling costs are classified as cost of sales.

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CARBON FIBER TECHNOLOGY, LLC
NOTES TO FINANCIAL STATEMENTS

Recent Accounting Pronouncements

In
February 2007, FASB issued SFAS No. 159, "The Fair Value Option for Financial Assets and Financial LiabilitiesIncluding an Amendment of FASB Statement
No. 115" ("SFAS 159"). SFAS 159 permits entities to choose to measure eligible items at fair value at specific election dates (fair value option). Unrealized gains and losses on
items for which the fair value option is elected shall be reported in earnings at each subsequent reporting period. This accounting standard is effective for the Company beginning January 1,
2008. SFAS 159 is not expected to have a material effect on the Company's financial position, results of operations and cash flows.

Note 2Inventories

The composition of inventory is summarized as follows:

November 30, 2007Raw materials

$
6,175,955Work in process


2,449Finished goods


528,098$
6,706,502


Note 3Property, Plant and Equipment

The composition of property, plant and equipment is summarized as follows:

November 30,
2007Land

$
140,142Building


5,951,868Manufacturing equipment


8,679,665Office furniture and equipment


66,444Construction in progress


39,53514,877,654Less accumulated depreciation and amortization


9,075,968$
5,801,686


Depreciation
and amortization expense was $1,068,102 for the eleven months ended November 30, 2007.

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CARBON FIBER TECHNOLOGY, LLC
NOTES TO FINANCIAL STATEMENTS

Note 4Accrued Expenses

The composition of accrued expenses is summarized as follows:

November 30, 2007Salaries

$
93,154Accrued bonuses


117,871Other


12,504$
223,529


Note 5Concentration Risk

Cash and Cash Equivalents

The Company maintains some of its cash in bank deposit accounts, which may be uninsured or exceed the federally insured limits. No losses have been experienced
related to such accounts. The Company believes it places its cash with quality financial institutions and is not exposed to any significant concentration of credit risk on cash.

Supplier Concentrations

The Company is dependent on one supplier for all of its purchases of precursor, which is the essential raw material in the manufacture of carbon fiber. Purchases
of precursor for the eleven months ended November 30, 2007 was $11,930,744. The Company was notified in the early part of 2007 that its current supplier at the time would not supply the Company
with precursor beyond October 2007. In anticipation of this, the Company has been building up its precursor inventory from this supplier and also purchased some precursor from SGL and Mitsubishi. The
Company anticipates that it will have available precursor on hand as of November 30, 2007 to last until the early stages of the fourth quarter of 2008. There Company has sampled other suppliers
and is encouraged by the results. If the Company cannot find a new supplier to provide sufficient quantities of precursor on a timely basis and on comparable pricing terms, it could have an adverse
effect on its business.

Note 6Related Party Transactions

The Company was established to provide for the carbon fiber needs of its respective members. Revenues to members, SGL and Aldila Golf Corp., an affiliate of AMTC,
for the eleven months ended November 30, 2007 were $8,032,081 and $5,904,196, respectively. Accounts receivable due from SGL and Aldila Golf Corp. as of November 30, 2007 were $448,257
and $173,592, respectively. Administrative services charged by Aldila Golf Corp. to the Company were $16,767 for the eleven months ended November 30, 2007.

Note 7Employee Benefit Plan

Effective January 1, 2000, the Company adopted the Carbon Fiber Technology, LLC 401(k) Savings Plan (the "Plan") for employees of the Company. This
defined contribution plan allows employees who satisfy the age and service requirements of the Plan to contribute up to 24% of pre-tax wages, limited to the maximum amount permitted by
federal law. The Company matches the first 4% of wages contributed by employees at a rate of $0.25 for every $1.00. The Company's matching

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CARBON FIBER TECHNOLOGY, LLC
NOTES TO FINANCIAL STATEMENTS

contributions
vest immediately for employees with four or more years of service. The Company's contributions amounted to $6,136 for the eleven months ended November 30, 2007.

Note 8Commitments and Contingencies

The Company leases vehicles and a copier under non-cancelable operating leases, which expire at various dates through 2010. As of November 30,
2007, future minimum lease payments under the non-cancelable operating leases were as follows:

Year Ending November 30,

Future Minimum
Lease Payments2008

$
7,8152009


5,8202010


2,425Total minimum lease payments

$
16,060


Rent
expense for the eleven months ended November 30, 2007 was $10,158.

Note 9Subsequent Events

On November 30, 2007, SGL purchased the AMTC's 50% interest in CFT for $17.0 million in cash, plus cash equal to one-half of CFT's Net
Working Capital as of November 30, 2007. Subsequent to November 30, 2007, CFT will be a 100% wholly owned subsidiary of SGL. Aldila Golf Corp. ("AGC"), an affiliate of AMTC, and CFT
concurrently entered into a supply agreement to allow AGC to continue to purchase up to 900,000 pounds of carbon fiber during the first year, and up to approximately 1,000,000 pounds of carbon fiber
in subsequent years. The supply agreement is for five years, subject to certain early termination provisions. AGC will pay CFT's costs plus an agreed mark-up for carbon fiber purchased
under the supply agreement.

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