| For      the quarter ended September 30,      2009 | Commission      file number 1-13905 |
|----------------------------------------------------|-------------------------------------|

| COMPX      INTERNATIONAL INC.                              |
|------------------------------------------------------------|
| (Exact      name of Registrant as specified in itscharter) |

|                                                                       |   |                                       |
|----------------------------------------------------------------------------|--------|--------------------------------------------|
| Delaware                                                                   |   | 57-0981653                                 |
| (State      or other jurisdiction ofIncorporation      or organization)    |   | (IRS      EmployerIdentification      No.) |
|                                                                       |   |                                       |
| 5430      LBJ Freeway, Suite 1700,Three      Lincoln Centre, Dallas, Texas |   | 75240-2697                                 |
| (Address      of principal executive offices)                              |   | (Zip      Code)                            |
|                                                                       |   |                                       |
| Registrant’s      telephone number, including area code              |   | (972)      448-1400                        |
|                                                                       |   |                                       |

----

| Part      I.    FINANCIAL      INFORMATION                                                                                                                                         |  Page  |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------|
|                                                                                                                                                                                                   |             |
| Item      1.    Financial      Statements                                                                                                                                          |             |
|                                                                                                                                                                                                   |             |
| Condensed      Consolidated Balance Sheets –    December 31, 2008 and      September 30, 2009 (unaudited)                                                                         |  3          |
|                                                                                                                                                                                                   |             |
| Condensed      Consolidated Statements of Operations -    Three and nine      months ended September 30, 2008 and 2009 (unaudited)                                                 |  5          |
|                                                                                                                                                                                                   |             |
| Condensed      Consolidated Statements of Cash Flows -    Nine months ended      September 30, 2008 and 2009 (unaudited)                                                                |  6          |
|                                                                                                                                                                                                   |             |
| Condensed      Consolidated Statement of Stockholders' Equity and    Comprehensive Loss      –     Nine months ended      September 30, 2009 (unaudited) |   7    |
|                                                                                                                                                                                                   |             |
| Notes      to Condensed Consolidated Financial Statements (unaudited)                                                                                                                                  | 8                |
|                                                                                                                                                                                                   |             |
| Item      2.    Management's      Discussion and Analysis of FinancialCondition      and Results of Operations                                                                     |  14         |
|                                                                                                                                                                                                   |             |
| Item      3.    Quantitative      and Qualitative Disclosure About Market Risk                                                                                                     | 23               |
|                                                                                                                                                                                                   |             |
| Item      4.    Controls and      Procedures                                                                                                                                       | 23               |
|                                                                                                                                                                                                   |             |
|                                                                                                                                                                                                   |             |
| Part      II.    OTHER      INFORMATION                                                                                                                                            |             |
|                                                                                                                                                                                                   |             |
| Item      1.     Legal      Proceedings                                                                                                                                            | 25               |
|                                                                                                                                                                                                   |             |
| Item      1A.  Risk Factors                                                                                                                                                                  | 25               |
|                                                                                                                                                                                                   |             |
| Item      2.     Unregistered      Sale of Equity Securities and Use of Proceeds;Share      Repurchases                                                                            |  25         |
|                                                                                                                                                                                                   |             |
| Item      6.    Exhibits                                                                                                                                                           | 25               |
|                                                                                                                                                                                                   |             |
|                                                                                                                                                                                                   |             |
| Items      3, 4 and 5 of Part II are omitted because there is no information to      report.                                                                                                           |             |
|                                                                                                                                                                                                   |             |

----

|            ASSETS |   | December      31, 2008 |    |   | September      30, 2009 |   |
|--------------------------------------------------------------------------|--------|-----------------------------|---------|--------|------------------------------|--------|
|                                                                     |   |                        |    |   | (unaudited)                  |   |
|                                                                     |   |                        |    |   |                         |   |
| Current      assets:                                                     |   |                        |    |   |                         |   |
|   Cash      and cash equivalents                               |   | $                           | 14,411  |   |                         | $      | 18,243 |   |
|   Accounts      receivable, net                                |   |                        | 16,837  |   |                         |   | 14,001 |   |
|   Receivables      from affiliates                             |   |                        | 1,472   |   |                         |   | 1,768 |   |
|   Inventories,      net                                        |   |                        | 22,661  |   |                         |   | 17,276 |   |
|   Prepaid      expenses and other                              |   |                        | 1,300   |   |                         |   | 1,146 |   |
|   Deferred      income taxes                                   |   |                        | 1,841   |   |                         |   | 1,841 |   |
|   Refundable      income taxes                                 |   |                        | 83      |   |                         |   | 469 |   |
|   Current      portion of interest and note receivable         |   |                        | 943     |   |                         |   | - |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
|      Total      current assets                  |   |                        | 59,548  |   |                         |   | 54,744 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
| Other      assets:                                                       |   |                        |    |   |                         |   |   |   |
|   Goodwill                                                     |   |                        | 30,827  |   |                         |   | 30,944 |   |
|   Other      intangible assets                                 |   |                        | 1,991   |   |                         |   | 1,556 |   |
|   Assets      held for sale                                    |   |                        | 3,517   |   |                         |   | 2,800 |   |
|   Other      assets                                            |   |                        | 90      |   |                         |   | 914 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
|      Total      other assets                    |   |                        | 36,425  |   |                         |   | 36,214 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
| Property      and equipment:                                             |   |                        |    |   |                         |   |   |   |
|   Land                                                         |   |                        | 11,858  |   |                         |   | 12,034 |   |
|   Buildings                                                    |   |                        | 36,642  |   |                         |   | 38,656 |   |
|   Equipment                                                    |   |                        | 110,915 |   |                         |   | 118,839 |   |
|   Construction      in progress                                |   |                        | 4,406   |   |                         |   | 1,512 |   |
|                                                                     |   |                        | 163,821 |   |                         |   | 171,041 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
|   Less      accumulated depreciation                           |   |                        | 96,392  |   |                         |   | 106,270 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
|      Net      property and equipment            |   |                        | 67,429  |   |                         |   | 64,771 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |
|       Total      assets                    |   | $                           | 163,402 |   |                         | $      | 155,729 |   |
|                                                                     |   |                        |    |   |                         |   |   |   |

----

| LIABILITIES      AND STOCKHOLDERS' EQUITY                        |   | December      31, 2008 |    |   | September      30, 2009 |   |
|------------------------------------------------------------------|--------|-----------------------------|---------|--------|------------------------------|--------|
|                                                             |   |                        |    |   | (unaudited)                  |   |
| Current      liabilities:                                        |   |                        |    |   |                         |   |
|   Current      maturities of note payable to affiliate |   | $                           | 1,000   |   |                         | $      | - |   |
|   Accounts      payable and accrued liabilities        |   |                        | 14,256  |   |                         |   | 13,424 |   |
|   Interest      payable to affiliate                   |   |                        | 528     |   |                         |   | 163 |   |
|   Deferred      income taxes                           |   |                        | 20      |   |                         |   | 22 |   |
|   Income      taxes                                    |   |                        | 1,167   |   |                         |   | 227 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
|      Total      current liabilities     |   |                        | 16,971  |   |                         |   | 13,836 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
| Noncurrent      liabilities:                                     |   |                        |    |   |                         |   |   |   |
|   Note      payable to affiliate                       |   |                        | 41,980  |   |                         |   | 42,230 |   |
|   Deferred      income taxes and other                 |   |                        | 13,174  |   |                         |   | 13,111 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
|      Total      noncurrent liabilities  |   |                        | 55,154  |   |                         |   | 55,341 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
| Stockholders'      equity:                                       |   |                        |    |   |                         |   |   |   |
|   Preferred      stock                                 |   |                        | -       |   |                         |   | - |   |
|   Class      A common stock                            |   |                        | 24      |   |                         |   | 24 |   |
|   Class      B common stock                            |   |                        | 100     |   |                         |   | 100 |   |
|   Additional      paid-in capital                      |   |                        | 54,873  |   |                         |   | 54,928 |   |
|   Retained      earnings                               |   |                        | 27,798  |   |                         |   | 21,505 |   |
|   Accumulated      other comprehensive income          |   |                        | 8,482   |   |                         |   | 9,995 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
|      Total      stockholders' equity    |   |                        | 91,277  |   |                         |   | 86,552 |   |
|                                                             |   |                        |    |   |                         |   |   |   |
| Total      liabilities and stockholders’ equity            |   | $                           | 163,402 |   |                         | $      | 155,729 |   |

----

|                                                                                         |   | Three      months ended |         |   | Nine      months ended |   |
|----------------------------------------------------------------------------------------------|--------|-------------------------|--------------|--------|------------------------|--------|
|                                                                                         |   | September 30,           |         |   | September 30,          |   |
|                                                                                         |   | 2008                    |         |   | 2009                   |   |   | 2008 |   |   | 2009 |   |
|                                                                                         |   | (unaudited)             |         |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |
| Net      sales                                                                               |   | $                       | 43,909       |   |                   | $      | 29,411 |   |   | $ | 128,137 |   |   | $ | 87,126 |   |
| Cost      of goods sold                                                                      |   |                    | 32,688       |   |                   |   | 22,447 |   |   |   | 95,993 |   |   |   | 69,141 |   |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Gross      margin                                                    |   |                    | 11,221       |   |                   |   | 6,964 |   |   |   | 32,144 |   |   |   | 17,985 |   |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Selling,      general and administrative expense                                             |   |                    | 6,316        |   |                   |   | 6,910 |   |   |   | 19,224 |   |   |   | 19,041 |   |
| Goodwill      impairment                                                                     |   |                    | 9,881        |   |                   |   | - |   |   |   | 9,881 |   |   |   | - |   |
| Assets      held for sale write-down                                                         |   |                    | -            |   |                   |   | - |   |   |   | - |   |   |   | 717 |   |
| Other      operating income (expense), net                                                   |   |                    | 35           |   |                   |   | (213 | ) |   |   | 16 |   |   |   | (273 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Operating      income (loss)                                         |   |                    | (4,941       | )      |                   |   | (159 | ) |   |   | 3,055 |   |   |   | (2,046 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Other      non-operating income, net                                                         |   |                    | 53           |   |                   |   | 8 |   |   |   | 194 |   |   |   | 32 |   |
| Interest      expense                                                                        |   |                    | (507         | )      |                   |   | (230 | ) |   |   | (1,773 | ) |   |   | (845 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Income      (loss) before income taxes                               |   |                    | (5,395       | )      |                   |   | (381 | ) |   |   | 1,476 |   |   |   | (2,859 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Provision      (benefit) for income taxes                                                    |   |                    | 2,094        |   |                   |   | (892 | ) |   |   | 5,280 |   |   |   | (1,203 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Net      income (loss)                                               |   | $                       | (7,489       | )      |                   | $      | 511 |   |   | $ | (3,804 | ) |   | $ | (1,656 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Basic      and diluted earnings (loss) per common      share                            |   | $                       | (.61         | )      |                   | $      | .04 |   |   | $ | (.31 | ) |   | $ | (.13 | ) |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      dividends per share                                                                |   | $                       | .125         |   |                   | $      | .125 |   |   | $ | .375 |   |   | $ | .375 |   |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Shares      used in the calculation of basic and      diluted earnings (loss) per share |   |                    |  12,361 |   |                   |   |  12,370 |   |   |   |   12,394 |   |   |   |  12,365 |   |
|                                                                                         |   |                    |         |   |                   |   |   |   |   |   |   |   |   |   |   |   |

----

|                                                                               |   | Nine      months endedSeptember 30, |    |
|------------------------------------------------------------------------------------|--------|-------------------------------------|---------|
|                                                                               |   | 2008                                |    |   | 2009 |   |
|                                                                               |   | (unaudited)                         |    |
|                                                                               |   |                                |    |   |   |   |
| Cash      flows from operating activities:                                         |   |                                |    |   |   |   |
|   Net      loss                                                          |   | $                                   | (3,804  | ) |   | $ | (1,656 | ) |
|   Depreciation      and amortization                                     |   |                                | 6,977   |   |   |   | 6,223 |   |
|   Goodwill impairment                                                         |   |                                | 9,881   |   |   |   | - |   |
|   Assets      held for sale write-down                                   |   |                                | -       |   |   |   | 717 |   |
|   Deferred      income taxes                                             |   |                                | (739    | ) |   |   | (1,484 | ) |
|   Other,      net                                                        |   |                                | 675     |   |   |   | 1,058 |   |
|   Change      in assets and liabilities:                                 |   |                                |    |   |   |   |   |   |
|     Accounts      receivable, net                              |   |                                | (849    | ) |   |   | 2,925 |   |
|     Inventories,      net                                      |   |                                | (1,891  | ) |   |   | 5,131 |   |
|     Accounts      payable and accrued liabilities              |   |                                | 1,077   |   |   |   | (1,603 | ) |
|     Accounts      with affiliates                              |   |                                | (156    | ) |   |   | (296 | ) |
|     Income      taxes                                          |   |                                | 412     |   |   |   | (1,231 | ) |
|     Other,      net                                            |   |                                | (951    | ) |   |   | 883 |   |
|                                                                               |   |                                |    |   |   |   |   |   |
|       Net      cash provided by operating activities |   |                                | 10,632  |   |   |   | 10,667 |   |
|                                                                               |   |                                |    |   |   |   |   |   |
| Cash      flows from investing activities:                                         |   |                                |    |   |   |   |   |   |
|   Capital      expenditures                                              |   |                                | (5,393  | ) |   |   | (1,783 | ) |
|   Cash      collected on note receivable                                 |   |                                | 1,306   |   |   |   | 261 |   |
|   Proceeds      on disposal of asset held for sale                       |   |                                | 255     |   |   |   | - |   |
|                                                                               |   |                                |    |   |   |   |   |   |
|       Net      cash used in investing activities     |   |                                | (3,832  | ) |   |   | (1,522 | ) |
|                                                                               |   |                                |    |   |   |   |   |   |
| Cash      flows from financing activities:                                         |   |                                |    |   |   |   |   |   |
|   Principal      payments on note payable to affiliate                   |   |                                | (7,000  | ) |   |   | (750 | ) |
|   Dividends      paid                                                    |   |                                | (4,647  | ) |   |   | (4,637 | ) |
|   Treasury      stock acquired                                           |   |                                | (1,006  | ) |   |   | - |   |
|   Other,      net                                                        |   |                                | (56     | ) |   |   | (134 | ) |
|                                                                               |   |                                |    |   |   |   |   |   |
|       Net      cash used in financing activities     |   |                                | (12,709 | ) |   |   | (5,521 | ) |
|                                                                               |   |                                |    |   |   |   |   |   |
| Cash      and cash equivalents – net change from:                            |   |                                |    |   |   |   |   |   |
|   Operating,      investing and financing activities                     |   |                                | (5,909  | ) |   |   | 3,624 |   |
|   Currency      translation                                              |   |                                | 147     |   |   |   | 208 |   |
| Cash      and cash equivalents at beginning of period                              |   |                                | 18,399  |   |   |   | 14,411 |   |
|                                                                               |   |                                |    |   |   |   |   |   |
| Cash      and cash equivalents at end of period                                    |   | $                                   | 12,637  |   |   | $ | 18,243 |   |
|                                                                               |   |                                |    |   |   |   |   |   |
| Supplemental      disclosures – cash paid for:                               |   |                                |    |   |   |   |   |   |
|     Interest                                                   |   | $                                   | 1,789   |   |   | $ | 1,149 |   |
|     Income      taxes, net                                     |   |                                | 6,177   |   |   |   | 1,807 |   |
|                                                                               |   |                                |    |   |   |   |   |   |
| Non-cash      investing activities:                                                |   |                                |    |   |   |   |   |   |
|     Accrual      for capital expenditures                      |   | $                                   | 169     |   |   | $ | 143 |   |

----

|                                 |   |         |   |   | Additional |   |   |     |   |   | Accumulated      other comprehensive income- |   |   | Total       |   |   |                |   |
|--------------------------------------|--------|--------------|--------|--------|------------|--------|--------|----------|--------|--------|----------------------------------------------|--------|--------|-------------|--------|--------|---------------------|--------|
|                                 |   | Common Stock |   |   | paid-in    |   |   | Retained |   |   | Currency                                     |   |   | Hedging     |   |   | stockholders’ |   |   | Comprehensive |   |
|                                 |   | Class A      |   |   | Class B    |   |   | capital  |   |   | earnings                                     |   |   | translation |   |   | derivatives         |   |   | equity |   |   | loss |   |
| (unaudited)                          |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |
| Balance      at December 31, 2008    |   | $            | 24     |   |       | $      | 100    |     |   | $      | 54,873                                       |   |   | $           | 27,798 |   |                | $      | 8,356 |   |   | $ | 126 |   |   | $ | 91,277 |   |   |   |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                        |   |         | -      |   |       |   | -      |     |   |   | -                                            |   |   |        | (1,656 | )      |                |   | - |   |   |   | - |   |   |   | (1,656 | ) |   | $ | (1,656 | ) |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other      comprehensive income, net |   |         | -      |   |       |   | -      |     |   |   | -                                            |   |   |        | -      |   |                |   | 1,639 |   |   |   | (126 | ) |   |   | 1,513 |   |   |   | 1,513 |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common stock        |   |         | -      |   |       |   | -      |     |   |   | 55                                           |   |   |        | -      |   |                |   | - |   |   |   | - |   |   |   | 55 |   |   |   | - |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      dividends                  |   |         | -      |   |       |   | -      |     |   |   | -                                            |   |   |        | (4,637 | )      |                |   | - |   |   |   | - |   |   |   | (4,637 | ) |   |   | - |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance      at September 30, 2009   |   | $            | 24     |   |       | $      | 100    |     |   | $      | 54,928                                       |   |   | $           | 21,505 |   |                | $      | 9,995 |   |   | $ | - |   |   | $ | 86,552 |   |   |   |   |   |
|                                 |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      loss              |   |         |   |   |       |   |   |     |   |   |                                         |   |   |        |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   | $ | (143 | ) |

----

----

|                                                       |   | Three      months ended |    |   | Nine      months ended |   |
|------------------------------------------------------------|--------|-------------------------|---------|--------|------------------------|--------|
|                                                       |   | September 30,           |    |   | September 30,          |   |
|                                                       |   | 2008                    |    |   | 2009                   |   |   | 2008 |   |   | 2009 |   |
|                                                       |   | (In      thousands)     |    |
| Net      sales:                                            |   |                    |    |   |                   |   |   |   |   |   |   |   |
|   Security      Products                         |   | $                       | 20,189  |   |                   | $      | 16,150 |   |   | $ | 59,454 |   |   | $ | 46,863 |   |
|   Furniture      Components                      |   |                    | 20,915  |   |                   |   | 11,583 |   |   |   | 58,399 |   |   |   | 35,172 |   |
|   Marine      Components                         |   |                    | 2,805   |   |                   |   | 1,678 |   |   |   | 10,284 |   |   |   | 5,091 |   |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Total      net sales               |   | $                       | 43,909  |   |                   | $      | 29,411 |   |   | $ | 128,137 |   |   | $ | 87,126 |   |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss):                              |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                         |   | $                       | 3,557   |   |                   | $      | 3,282 |   |   | $ | 10,153 |   |   | $ | 7,386 |   |
|   Furniture      Components                      |   |                    | 2,944   |   |                   |   | (1,574 | ) |   |   | 6,739 |   |   |   | (2,575 | ) |
|   Marine      Components *                       |   |                    | (10,101 | )      |                   |   | (539 | ) |   |   | (9,834 | ) |   |   | (2,129 | ) |
|   Corporate      operating expense **            |   |                    | (1,341  | )      |                   |   | (1,328 | ) |   |   | (4,003 | ) |   |   | (4,728 | ) |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|     Total      operating income (loss) |   |                    | (4,941  | )      |                   |   | (159 | ) |   |   | 3,055 |   |   |   | (2,046 | ) |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Other      non-operating income, net                       |   |                    | 53      |   |                   |   | 8 |   |   |   | 194 |   |   |   | 32 |   |
| Interest      expense                                      |   |                    | (507    | )      |                   |   | (230 | ) |   |   | (1,773 | ) |   |   | (845 | ) |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|   Income      (loss) before income taxes         |   | $                       | (5,395  | )      |                   | $      | (381 | ) |   | $ | 1,476 |   |   | $ | (2,859 | ) |
|                                                       |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |

|                                              |   | December      31, 2008 |   |   | September      30, 2009 |   |
|---------------------------------------------------|--------|-----------------------------|--------|--------|------------------------------|--------|
|                                              |   | (In      thousands)         |   |
|                                              |   |                        |   |   |                         |   |
| Raw      materials                                |   | $                           | 7,552  |   |                         | $      | 5,532 |   |
| Work      in progress                             |   |                        | 8,225  |   |                         |   | 6,610 |   |
| Finished      products                            |   |                        | 6,884  |   |                         |   | 5,134 |   |
|                                              |   |                        |   |   |                         |   |   |   |
|     Total      inventory, net |   | $                           | 22,661 |   |                         | $      | 17,276 |   |

----

|                                                                        |   | December      31,2008 |   |   | September      30, 2009 |   |
|-----------------------------------------------------------------------------|--------|-----------------------|--------|--------|-------------------------|--------|
|                                                                        |   | (In      thousands)   |   |
|                                                                        |   |                  |   |   |                    |   |
| Accounts      payable                                                       |   | $                     | 4,985  |   |                    | $      | 3,729 |   |
| Accrued      liabilities:                                                   |   |                  |   |   |                    |   |   |   |
|   Employee      benefits                                          |   |                  | 6,571  |   |                    |   | 5,580 |   |
|   Customer      tooling                                           |   |                  | 787    |   |                    |   | 764 |   |
|   Taxes      other than on income                                 |   |                  | 447    |   |                    |   | 800 |   |
|   Insurance                                                       |   |                  | 458    |   |                    |   | 497 |   |
|   Professional      fees                                          |   |                  | 222    |   |                    |   | 1,226 |   |
|   Other                                                           |   |                  | 786    |   |                    |   | 828 |   |
|                                                                        |   |                  |   |   |                    |   |   |   |
|     Total      accounts payable and accrued liabilities |   | $                     | 14,256 |   |                    | $      | 13,424 |   |

----

|                                                                                                       |   | Nine      months ended September 30, |   |
|------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------|--------|
|                                                                                                       |   | 2008                                      |   |   | 2009 |   |
|                                                                                                       |   | (In      thousands)                       |   |
|                                                                                                       |   |                                      |   |   |   |   |
| Expected      tax expense (benefit), at the U.S. federal   statutory income      tax rate of 35% |   | $                                         | 517    |   |   | $ | (1,001 | ) |
| No      income tax benefit on goodwill impairment                                                          |   |                                      | 3,458  |   |   |   | - |   |
| Non–U.S.      tax rates                                                                              |   |                                      | (199   | ) |   |   | 38 |   |
| Incremental      U.S. tax on earnings of non-U.S. subsidiaries                                             |   |                                      | 1,385  |   |   |   | (129 | ) |
| Canadian      government research and development credit                                                   |   |                                      | -      |   |   |   | (149 | ) |
| Reserve      for uncertain tax positions                                                                   |   |                                      | (221   | ) |   |   | - |   |
| State      income taxes and other, net                                                                     |   |                                      | 340    |   |   |   | 38 |   |
|                                                                                                       |   |                                      |   |   |   |   |   |   |
|      Total      provision for income taxes (benefit)                              |   | $                                         | 5,280  |   |   | $ | (1,203 | ) |

----

----

----

|                                                  |   | Operating      income (loss)                                |   |
|-------------------------------------------------------|--------|-------------------------------------------------------------|--------|
|                                                  |   | Including      the effect of the goodwill impairment charge |   |   |   Goodwill      impairment |   |   | Excluding      the effect of the goodwill impairment charge |   |
|                                                  |   | (GAAP)                                                      |   |   | charge |   |   | (Non-GAAP) |   |
|                                                  |   | (Dollars      in thousands)                                 |   |
| Three      months ended September      30, 2008: |   |                                                        |   |   |   |   |   |   |   |
| Operating      income (loss)                          |   | $                                                           | (4,941 | ) |   | $ | 9,881 |   |   | $ | 4,940 |   |
|                                                  |   |                                                        |   |   |   |   |   |   |   |   |   |   |
| Nine      months ended September      30, 2008:  |   |                                                        |   |   |   |   |   |   |   |   |   |   |
| Operating      income                                 |   | $                                                           | 3,055  |   |   | $ | 9,881 |   |   | $ | 12,936 |   |

----

|                              |   | Three      months ended September 30, |   |
|-----------------------------------|--------|--------------------------------------------|--------|
|                              |   | 2008                                       |   |   | % |   |   | 2009 |   |   | % |   |
|                              |   | (Dollars      in thousands)                |   |
|                              |   |                                       |   |   |   |   |   |   |   |   |   |   |
| Net      sales                    |   | $                                          | 43,909 |   |   |   | 100.0 | % |   | $ | 29,411 |   |   |   | 100.0 | % |
| Cost      of goods sold           |   |                                       | 32,688 |   |   |   | 74.4 |   |   |   | 22,447 |   |   |   | 76.3 |   |
|                              |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Gross      margin     |   |                                       | 11,221 |   |   |   | 25.6 |   |   |   | 6,964 |   |   |   | 23.7 |   |
|                              |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      costs and expenses |   |                                       | 6,281  |   |   |   | 14.3 |   |   |   | 7,123 |   |   |   | 24.2 |   |
| Goodwill      impairment          |   |                                       | 9,881  |   |   |   | 22.5 |   |   |   | - |   |   |   | - |   |
|                              |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Operating      loss   |   | $                                          | (4,941 | ) |   |   | (11.2 | )% |   | $ | (159 | ) |   |   | (0.5 | )% |

|                                     |   | Nine      months ended September 30, |    |
|------------------------------------------|--------|-------------------------------------------|---------|
|                                     |   | 2008                                      |    |   | % |   |   | 2009 |   |   | % |   |
|                                     |   | (Dollars      in thousands)               |    |
|                                     |   |                                      |    |   |   |   |   |   |   |   |   |   |
| Net      sales                           |   | $                                         | 128,137 |   |   |   | 100.0 | % |   | $ | 87,126 |   |   |   | 100.0 | % |
| Cost      of goods sold                  |   |                                      | 95,993  |   |   |   | 74.9 |   |   |   | 69,141 |   |   |   | 79.4 |   |
|                                     |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Gross      margin            |   |                                      | 32,144  |   |   |   | 25.1 |   |   |   | 17,985 |   |   |   | 20.6 |   |
|                                     |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      costs and expenses   |   |                                      | 19,208  |   |   |   | 15.0 |   |   |   | 19,314 |   |   |   | 22.2 |   |
| Goodwill      impairment                 |   |                                      | 9,881   |   |   |   | 7.7 |   |   |   | - |   |   |   | - |   |
| Assets      held for sale write-down     |   |                                      | -       |   |   |   | - |   |   |   | 717 |   |   |   | 0.8 |   |
|                                     |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Operating      income (loss) |   | $                                         | 3,055   |   |   |   | 2.4 | % |   | $ | (2,046 | ) |   |   | (2.4 | )% |

----

|                            |   | Increase (decrease)                                          |   |
|---------------------------------|--------|--------------------------------------------------------------|--------|
|                            |   | Three      months endedSeptember      30, 2009 vs. 2008 |   |   | Nine      months endedSeptember      30, 2009 vs. 2008 |   |
|                            |   | (In      thousands)                                          |   |
|                            |   |                                                         |   |   |   |   |
| Impact      on net sales        |   | $                                                            | (142   | ) |   | $ | (1,089 | ) |
|                            |   |                                                         |   |   |   |   |   |   |
| Impact      on operating income |   | $                                                            | 12     |   |   | $ | 1,318 |   |

----

|                                                                                     |   | Three      months ended September 30, |    |   |   |   |   | Nine      months ended September 30, |   |   |   |   |
|------------------------------------------------------------------------------------------|--------|--------------------------------------------|---------|--------|--------|--------|--------|-------------------------------------------|--------|--------|--------|--------|
|                                                                                     |   | 2008                                       |    |   | 2009   |   |   | % Change                                  |   |   | 2008   |   |   | 2009 |   |   | % Change |   |
|                                                                                     |   | (Dollars      in thousands)                |    |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |
| Net      sales:                                                                          |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                                                       |   | $                                          | 20,189  |   |   | $      | 16,150 |                                      |   |   | (20    | )%     |   | $ | 59,454 |   |   | $ | 46,863 |   |   |   | (21 | )% |
|   Furniture      Components                                                    |   |                                       | 20,915  |   |   |   | 11,583 |                                      |   |   | (45    | )%     |   |   | 58,399 |   |   |   | 35,172 |   |   |   | (40 | )% |
|   Marine      Components                                                       |   |                                       | 2,805   |   |   |   | 1,678  |                                      |   |   | (40    | )%     |   |   | 10,284 |   |   |   | 5,091 |   |   |   | (50 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     Total      net sales                                             |   | $                                          | 43,909  |   |   | $      | 29,411 |                                      |   |   | (33    | )%     |   | $ | 128,137 |   |   | $ | 87,126 |   |   |   | (32 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Gross      margin:                                                                       |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                                                       |   | $                                          | 5,790   |   |   | $      | 5,240  |                                      |   |   | (9     | )%     |   | $ | 16,991 |   |   | $ | 13,515 |   |   |   | (20 | )% |
|   Furniture      Components                                                    |   |                                       | 4,901   |   |   |   | 1,676  |                                      |   |   | (66    | )%     |   |   | 12,719 |   |   |   | 4,734 |   |   |   | (63 | )% |
|   Marine      Components                                                       |   |                                       | 530     |   |   |   | 48     |                                      |   |   | (91    | )%     |   |   | 2,435 |   |   |   | (264 | ) |   |   | (111 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     Total      gross margin                                          |   | $                                          | 11,221  |   |   | $      | 6,964  |                                      |   |   | (38    | )%     |   | $ | 32,145 |   |   | $ | 17,985 |   |   |   | (44 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss):                                                            |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                                                       |   | $                                          | 3,557   |   |   | $      | 3,282  |                                      |   |   | (8     | )%     |   | $ | 10,153 |   |   | $ | 7,386 |   |   |   | (27 | )% |
|   Furniture      Components                                                    |   |                                       | 2,944   |   |   |   | (1,574 | )                                         |   |   | (153   | )%     |   |   | 6,739 |   |   |   | (2,575 | ) |   |   | (138 | )% |
|   Marine      Components                                                       |   |                                       | (10,101 | )      |   |   | (539   | )                                         |   |   | 95     | %      |   |   | (9,834 | ) |   |   | (2,129 | ) |   |   | 78 | % |
|   Corporate      operating expense                                             |   |                                       | (1,341  | )      |   |   | (1,328 | )                                         |   |   | 1      | %      |   |   | (4,003 | ) |   |   | (4,728 | ) |   |   | (18 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     Total      operating income      (loss) |   | $                                          | (4,941  | )      |   | $      | (159   | )                                         |   |   | 97     | %      |   | $ | 3,055 |   |   | $ | (2,046 | ) |   |   | (167 | )% |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Gross      margin as a percentage of net sales:                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     Security      Products                                           |   |                                       | 28.7    | %      |   |   | 32.4   | %                                         |   |   |   |   |   |   | 28.6 | % |   |   | 28.8 | % |   |   |   |   |
|     Furniture      Components                                        |   |                                       | 23.4    | %      |   |   | 14.5   | %                                         |   |   |   |   |   |   | 21.8 | % |   |   | 13.5 | % |   |   |   |   |
|     Marine      Components                                           |   |                                       | 18.9    | %      |   |   | 2.9    | %                                         |   |   |   |   |   |   | 23.7 | % |   |   | (5.2 | )% |   |   |   |   |
|                                                                                     |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss) as a  percentage of net sales:                    |   |                                       |    |   |   |   |   |                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     Security      Products                                           |   |                                       | 17.6    | %      |   |   | 20.3   | %                                         |   |   |   |   |   |   | 17.1 | % |   |   | 15.8 | % |   |   |   |   |
|     Furniture      Components                                        |   |                                       | 14.1    | %      |   |   | (13.6  | )%                                        |   |   |   |   |   |   | 11.5 | % |   |   | (7.3 | )% |   |   |   |   |
|     Marine      Components                                           |   | n.m.                                       |    |   |   | (32.1  | )%     |                                      |   |   |   |   | n.m. |   |   |   | (41.8 | )% |   |   |   |   |

----

----

----

| ·   | Lower      operating income in 2009 of $14.3 million (exclusive of the non-cash      $717,000 write-down on assets held-for-sale in 2009 and the $9.9 million      goodwill impairment charge in2008); |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Higher      net cash provided by relative changes in our inventories, receivables,      payables, and non-tax related accruals of $9.8 million in      2009; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Lower      cash paid for income taxes in 2009 of $4.4 million due to lower earnings;      and |
|--------------------|-----------------------------------------------------------------------------------------------|

| ·   | Lower      cash paid for interest in 2009 of approximately $640,000 due to lower      interest rates and a lower outstanding principle  balance |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|                        | December      31, | September      30, | December      31, | September      30, |
|-----------------------------|-------------------|--------------------|-------------------|--------------------|
|                        | 2007              | 2008               | 2008              | 2009               |
|                        |              |               |              |               |
| Days      Sales Outstanding | 44      Days      | 44      Days       | 41      Days      | 43      Days       |
| Days      in Inventory      | 63      Days      | 71      Days       | 70      Days      | 70      Days       |

----

----

| ·   | Future      supply and demand for our products, |
|--------------------|-------------------------------------------------|

| ·   | Changes      in our raw material and other operating costs (such as steel and energy      costs), |
|--------------------|---------------------------------------------------------------------------------------------------|

| ·   | General      global economic and political conditions (such as changes in the level of      gross domestic product in various regions of the  world), |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Demand      for office furniture, |
|--------------------|-----------------------------------|

| ·   | Service      industry employment levels, |
|--------------------|------------------------------------------|

| ·   | Demand      for high performance marinecomponents, |
|--------------------|----------------------------------------------------|

| ·   | Competitive      products and prices, including competition from lower-cost manufacturing      sources (such as China), |
|--------------------|-------------------------------------------------------------------------------------------------------------------------|

| ·   | Substitute      products, |
|--------------------|---------------------------|

| ·   | Customer      and competitor strategies, |
|--------------------|------------------------------------------|

| ·   | The      introduction of trade barriers, |
|--------------------|------------------------------------------|

| ·   | The      impact of pricing and productiondecisions, |
|--------------------|-----------------------------------------------------|

| ·   | Fluctuations      in the value of the U.S. dollar relative to other currencies (such as the      Canadian dollar and New Taiwandollar), |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Potential      difficulties in integrating futureacquisitions, |
|--------------------|----------------------------------------------------------------|

| ·   | Decisions      to sell operating assets other than in the ordinary course of      business, |
|--------------------|---------------------------------------------------------------------------------------------|

| ·   | Uncertainties      associated with the development of new product  features, |
|--------------------|------------------------------------------------------------------------------|

| ·   | Environmental      matters (such as those requiring emission and discharge standards for      existing and new facilities), |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------|

| ·   | Our      ability to comply with covenants contained in our revolving bank credit      facility, |
|--------------------|-------------------------------------------------------------------------------------------------|

| ·   | The      ultimate outcome of income tax audits, tax settlement initiatives or other      tax matters, |
|--------------------|-------------------------------------------------------------------------------------------------------|

| ·   | The      impact of current or future government  regulations, |
|--------------------|---------------------------------------------------------------|

| ·   | Current      and future litigation, |
|--------------------|-------------------------------------|

| ·   | Possible      disruption of our business or increases in the cost of doing business      resulting from terrorist activities or global conflicts,    and |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Operating      interruptions (including, but not limited to labor disputes, hazardous      chemical leaks, natural disasters, fires, explosions, unscheduled or      unplanned downtime and transportation  interruptions). |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| ·   | pertain      to the maintenance of records that in reasonable detail accurately and      fairly reflect the transactions and dispositions of our      assets, |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | provide      reasonable assurance that transactions are recorded as necessary to permit      preparation of financial statements in accordance with GAAP, and that our      receipts and expenditures are being made only in accordance with      authorizations of our management and directors,  and |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | provide      reasonable assurance regarding prevention or timely detection of      unauthorized acquisition, use or disposition of our assets that could have      a material effect on our Condensed Consolidated Financial      Statements. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 31.1 | Certification |
|--------|------|---------------|

|   | 31.2 | Certification |
|--------|------|---------------|

|   | 32.1 | Certification |
|--------|------|---------------|

----

----