| For      the quarter ended March 31,      2008 | 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, 2007 -  March      31, 2008 (unaudited)                                                | 3                |
|                                                                                                                                                       |             |
| Condensed      Consolidated Statements of Income - Three      months ended March 31, 2007 and 2008 (unaudited)                                        | 5                |
|                                                                                                                                                       |             |
| Condensed      Consolidated Statements of Cash Flows - Three      months ended March 31, 2007 and 2008 (unaudited)                                    | 6                |
|                                                                                                                                                       |             |
| Condensed      Consolidated Statement of Stockholders' Equity and Comprehensive      Income - Three      months ended March 31, 2008 (unaudited) | 7                |
|                                                                                                                                                       |             |
| Notes      to Condensed Consolidated Financial Statements (unaudited)                                                                                      | 8                |
|                                                                                                                                                       |             |
| Item      2.  Management's Discussion and Analysis of Financial Condition      and Results of Operations.                                             | 12               |
|                                                                                                                                                       |             |
| Item      3.  Quantitative and Qualitative Disclosure About Market      Risk.                                                                         | 18               |
|                                                                                                                                                       |             |
| Item      4.  Controls and Procedures.                                                                                                                | 18               |
|                                                                                                                                                       |             |
|                                                                                                                                                       |             |
| Part      II.OTHER INFORMATION                                                                                                                             |             |
|                                                                                                                                                       |             |
| Item      1A.  Risk Factors.                                                                                                                          | 20               |
|                                                                                                                                                       |             |
| Item      2.  Unregistered Sale of Equity Securities and Use of Proceeds; Share      Repurchases.                                                     | 20               |
|                                                                                                                                                       |             |
| Item      6.  Exhibits.                                                                                                                               | 20               |
|                                                                                                                                                       |             |
|                                                                                                                                                       |             |
| Items      1, 3, 4 and 5 of Part II are omitted because there is no information to      report.                                                            |             |
|                                                                                                                                                       |             |

----

| ASSETS                                                                                                |   | December      31, 2007 |        |   | March      31, 2008 |   |
|-------------------------------------------------------------------------------------------------------|--------|-----------------------------|-------------|--------|--------------------------|--------|
|                                                                                                  |   |                        |        |   | (unaudited)              |   |
| Current      assets:                                                                                  |   |                        |        |   |                     |   |
|   Cash      and cash equivalents                                                            |   | $                           | 18,399      |   |                     | $      | 18,147 |   |
|   Accounts      receivable, less allowance for doubtful      accounts of $682 and $648 |   |                        | 20,447      |   |                     |   | 19,170 |   |
|   Receivables      from affiliates                                                          |   |                        | 223         |   |                     |   | - |   |
|   Refundable      income taxes                                                              |   |                        | 68          |   |                     |   | 34 |   |
|   Inventories                                                                               |   |                        | 24,277      |   |                     |   | 25,052 |   |
|   Prepaid      expenses and other current assets                                            |   |                        | 1,324       |   |                     |   | 1,249 |   |
|   Deferred      income taxes                                                                |   |                        | 2,123       |   |                     |   | 2,124 |   |
|   Current      portion of note receivable                                                   |   |                        | 1,306       |   |                     |   | 1,306 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
|     Total      current assets                                                     |   |                        | 68,167      |   |                     |   | 67,082 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
| Other      assets:                                                                                    |   |                        |        |   |                     |   |   |   |
|   Goodwill                                                                                  |   |                        | 40,784      |   |                     |   | 41,214 |   |
|   Other      intangible assets                                                              |   |                        | 2,569       |   |                     |   | 2,434 |   |
|   Note      receivable                                                                      |   |                        | 261         |   |                     |   | 261 |   |
|   Assets      held for sale                                                                 |   |                        | 3,117       |   |                     |   | 2,817 |   |
|   Other                                                                                     |   |                        | 666         |   |                     |   | 748 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
|     Total      other assets                                                       |   |                        | 47,397      |   |                     |   | 47,474 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
| Property      and equipment:                                                                          |   |                        |        |   |                     |   |   |   |
|   Land                                                                                      |   |                        | 11,612      |   |                     |   | 12,102 |   |
|   Buildings                                                                                 |   |                        | 38,990      |   |                     |   | 39,317 |   |
|   Equipment                                                                                 |   |                        | 124,238     |   |                     |   | 122,360 |   |
|   Construction      in progress                                                             |   |                        |  2,659 |   |                     |   | 3,159 |   |
|                                                                                                  |   |                        | 177,499     |   |                     |   | 176,938 |   |
|   Less      accumulated depreciation                                                        |   |                        | 105,348     |   |                     |   | 105,211 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
|     Net      property and equipment                                               |   |                        | 72,151      |   |                     |   | 71,727 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |
| Total      assets                                                                                     |   | $                           | 187,715     |   |                     | $      | 186,283 |   |
|                                                                                                  |   |                        |        |   |                     |   |   |   |

----

| LIABILITIES      AND STOCKHOLDERS' EQUITY                        |   | December      31, 2007 |    |   | March      31, 2008 |   |
|------------------------------------------------------------------|--------|-----------------------------|---------|--------|--------------------------|--------|
|                                                             |   |                        |    |   | (unaudited)              |   |
| Current      liabilities:                                        |   |                        |    |   |                     |   |
|   Current      maturities of note payable to affiliate |   | $                           | 250     |   |                     | $      | 500 |   |
|   Accounts      payable and accrued liabilities        |   |                        | 17,652  |   |                     |   | 15,200 |   |
|   Interest      payable to affiliate                   |   |                        | 559     |   |                     |   | 701 |   |
|   Income      taxes payable to affiliates              |   |                        | 282     |   |                     |   | 696 |   |
|   Income      taxes                                    |   |                        | 170     |   |                     |   | 313 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
|      Total      current liabilities     |   |                        | 18,913  |   |                     |   | 17,410 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
| Noncurrent      liabilities:                                     |   |                        |    |   |                     |   |   |   |
|   Note      payable to affiliate                       |   |                        | 49,730  |   |                     |   | 49,480 |   |
|   Deferred      income taxes                           |   |                        | 14,969  |   |                     |   | 14,787 |   |
|   Other                                                |   |                        | -       |   |                     |   | 16 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
|      Total      noncurrent liabilities  |   |                        | 64,699  |   |                     |   | 64,283 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
| Stockholders'      equity:                                       |   |                        |    |   |                     |   |   |   |
|   Preferred      stock                                 |   |                        | -       |   |                     |   | - |   |
|   Class      A common stock                            |   |                        | 25      |   |                     |   | 24 |   |
|   Class      B common stock                            |   |                        | 100     |   |                     |   | 100 |   |
|   Additional      paid-in capital                      |   |                        | 55,824  |   |                     |   | 55,329 |   |
|   Retained      earnings                               |   |                        | 37,080  |   |                     |   | 37,081 |   |
|   Accumulated      other comprehensive income          |   |                        | 11,074  |   |                     |   | 12,056 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
|      Total      stockholders' equity    |   |                        | 104,103 |   |                     |   | 104,590 |   |
|                                                             |   |                        |    |   |                     |   |   |   |
| Total      liabilities and stockholders’ equity            |   | $                           | 187,715 |   |                     | $      | 186,283 |   |
|                                                             |   |                        |    |   |                     |   |   |   |

----

|                                                                                  |   | Three      months ended March 31, |         |
|---------------------------------------------------------------------------------------|--------|----------------------------------------|--------------|
|                                                                                  |   | 2007                                   |         |   | 2008 |   |
|                                                                                  |   | (unaudited)                            |         |
|                                                                                  |   |                                   |         |   |   |   |
| Net      sales                                                                        |   | $                                      | 43,551       |   |   | $ | 40,520 |   |
| Cost      of goods sold                                                               |   |                                   | 31,429       |   |   |   | 30,578 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|     Gross      margin                                             |   |                                   | 12,122       |   |   |   | 9,942 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Selling,      general and administrative expense                                      |   |                                   | 6,667        |   |   |   | 6,404 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Other      operating expense, net                                                     |   |                                   | 19           |   |   |   | 7 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|     Operating      income                                         |   |                                   | 5,436        |   |   |   | 3,531 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Other      non-operating income, net                                                  |   |                                   | 302          |   |   |   | 116 |   |
| Interest      expense                                                                 |   |                                   | (54          | ) |   |   | (762 | ) |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|     Income      before income taxes                               |   |                                   | 5,684        |   |   |   | 2,885 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Provision      for income taxes                                                       |   |                                   | 2,666        |   |   |   | 1,324 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|     Net      income                                               |   | $                                      | 3,018        |   |   |   | 1,561 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Basic      and diluted earnings per common share                                      |   | $                                      | .20          |   |   | $ | .13 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Cash      dividends per share                                                         |   | $                                      | .125         |   |   | $ | .125 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |
| Shares      used in the calculation of basic and diluted earnings      per share |   |                                   |  15,280 |   |   |   |  12,446 |   |
|                                                                                  |   |                                   |         |   |   |   |   |   |

----

|                                                                               |   | Three      months ended March 31, |    |
|------------------------------------------------------------------------------------|--------|----------------------------------------|---------|
|                                                                               |   | 2007                                   |    |   | 2008 |   |
|                                                                               |   | (unaudited)                            |    |
| Cash      flows from operating activities:                                         |   |                                   |    |   |   |   |
|   Net      income                                                        |   | $                                      | 3,018   |   |   | $ | 1,561 |   |
|   Depreciation      and amortization                                     |   |                                   | 2,730   |   |   |   | 2,344 |   |
|   Deferred      income taxes                                             |   |                                   | 906     |   |   |   | 27 |   |
|   Other,      net                                                        |   |                                   | 165     |   |   |   | 101 |   |
|   Change      in assets and liabilities:                                 |   |                                   |    |   |   |   |   |   |
|     Accounts      receivable, net                              |   |                                   | (794    | ) |   |   | 1,173 |   |
|     Inventories,      net                                      |   |                                   | (2,083  | ) |   |   | (1,000 | ) |
|     Accounts      payable and accrued liabilities              |   |                                   | (590    | ) |   |   | (2,553 | ) |
|     Accounts      with affiliates                              |   |                                   | 961     |   |   |   | 637 |   |
|     Income      taxes                                          |   |                                   | 21      |   |   |   | 160 |   |
|     Other,      net                                            |   |                                   | (298    | ) |   |   | (11 | ) |
|                                                                               |   |                                   |    |   |   |   |   |   |
|       Net      cash provided by operating activities |   |                                   | 4,036   |   |   |   | 2,439 |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Cash      flows from investing activities:                                         |   |                                   |    |   |   |   |   |   |
|   Capital      expenditures                                              |   |                                   | (855    | ) |   |   | (1,434 | ) |
|   Proceeds      on disposal of asset held for sale                       |   |                                   | -       |   |   |   | 250 |   |
|   Other,      net                                                        |   |                                   | 12      |   |   |   | 34 |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
|       Net      cash used in investing activities     |   |                                   | (843    | ) |   |   | (1,150 | ) |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Cash      flows from financing activities:                                         |   |                                   |    |   |   |   |   |   |
|   Dividends                                                              |   |                                   | (1,909  | ) |   |   | (1,560 | ) |
|   Treasury      stock acquired                                           |   |                                   | -       |   |   |   | (496 | ) |
|   Issuance      of common stock and other, net                           |   |                                   | 79      |   |   |   | - |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
|       Net      cash used in financing activities     |   |                                   | (1,830  | ) |   |   | (2,056 | ) |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Cash      and cash equivalents – net change from:                            |   |                                   |    |   |   |   |   |   |
|   Operating,      investing and financing activities                     |   |                                   | 1,363   |   |   |   | (767 | ) |
|   Currency      translation                                              |   |                                   | (108    | ) |   |   | 515 |   |
| Cash      and cash equivalents at beginning of period                              |   |                                   | 29,688  |   |   |   | 18,399 |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Cash      and cash equivalents at end of period                                    |   | $                                      | 30,943  |   |   | $ | 18,147 |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Supplemental      disclosures – cash paid for:                               |   |                                   |    |   |   |   |   |   |
|     Interest                                                   |   | $                                      | 6       |   |   | $ | 571 |   |
|     Income      taxes                                          |   |                                   | 770     |   |   |   | 679 |   |
|                                                                               |   |                                   |    |   |   |   |   |   |
| Non-cash      investing and financing activity -                                   |   |                                   |    |   |   |   |   |   |
|   Accrual      for capital expenditures                                  |   | $                                      |  - |   |   | $ | 211 |   |

----

|                                    |   |     Common Stock |   |   |    Additionalpaid-in |   |   |     Retained |   |   |  Accumulated      other comprehensive income-currency |   |   |     Treasury |   |   |    Totalstockholders' |   |   |     Comprehensive |   |
|-----------------------------------------|--------|--------------------------------------|--------|--------|-------------------------------------|--------|--------|----------------------------------|--------|--------|------------------------------------------------------------|--------|--------|----------------------------------|--------|--------|--------------------------------------|--------|--------|---------------------------------------|--------|
|                                    |   | Class A                              |   |   | Class B                             |   |   | capital                          |   |   | earnings                                                   |   |   | translation                      |   |   | stock                                |   |   | equity                                |   |   | income |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |
|  Balance      at December 31, 2007 |   | $                                    | 25     |   |                                | $      | 100    |                             |   | $      | 55,824                                                     |   |   | $                                | 37,080 |   |                                 | $      | 11,074 |                                  |   | $ | - |   |   | $ | 104,103 |   |   |   |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                         |   |                                 | -      |   |                                |   | -      |                             |   |   | -                                                          |   |   |                             | 1,561  |   |                                 |   | -      |                                  |   |   | - |   |   |   | 1,561 |   |   | $ | 1,561 |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Other      comprehensive income, net    |   |                                 | -      |   |                                |   | -      |                             |   |   | -                                                          |   |   |                             | -      |   |                                 |   | 982    |                                  |   |   | - |   |   |   | 982 |   |   |   | 982 |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Treasury      Stock:                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
|   Acquired                    |   |                                 | -      |   |                                |   | -      |                             |   |   | -                                                          |   |   |                             | -      |   |                                 |   | -      |                                  |   |   | (496 | ) |   |   | (496 | ) |   |   | - |   |
|   Retired                     |   |                                 | (1     | )      |                                |   | -      |                             |   |   | (495                                                       | )      |   |                             |   |   |                                 |   |   |                                  |   |   | 496 |   |   |   | - |   |   |   | - |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      dividends                     |   |                                 | -      |   |                                |   | -      |                             |   |   | -                                                          |   |   |                             | (1,560 | )      |                                 |   | -      |                                  |   |   | - |   |   |   | (1,560 | ) |   |   | - |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2008          |   | $                                    | 24     |   |                                | $      | 100    |                             |   | $      | 55,329                                                     |   |   | $                                | 37,081 |   |                                 | $      | 12,056 |                                  |   | $ | - |   |   | $ | 104,590 |   |   |   |   |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive      income               |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   | $ | 2,543 |   |
|                                    |   |                                 |   |   |                                |   |   |                             |   |   |                                                       |   |   |                             |   |   |                                 |   |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |

----

----

|                                                |   | Three      months ended March 31, |   |
|-----------------------------------------------------|--------|----------------------------------------|--------|
|                                                |   | 2007                                   |   |   | 2008 |   |
|                                                |   | (In      thousands)                    |   |
|                                                |   |                                   |   |   |   |   |
| Net      sales:                                     |   |                                   |   |   |   |   |
|   Security      Products                  |   | $                                      | 19,778 |   |   | $ | 19,076 |   |
|   Furniture      Components               |   |                                   | 19,435 |   |   |   | 17,753 |   |
|   Marine      Components                  |   |                                   | 4,338  |   |   |   | 3,691 |   |
|                                                |   |                                   |   |   |   |   |   |   |
|     Total      net sales        |   | $                                      | 43,551 |   |   | $ | 40,520 |   |
|                                                |   |                                   |   |   |   |   |   |   |
| Operating      income (loss):                       |   |                                   |   |   |   |   |   |   |
|   Security      Products                  |   | $                                      | 4,110  |   |   | $ | 3,239 |   |
|   Furniture      Components               |   |                                   | 2,261  |   |   |   | 1,426 |   |
|   Marine      Components                  |   |                                   | 396    |   |   |   | 103 |   |
|   Corporate      operating expenses       |   |                                   | (1,331 | ) |   |   | (1,237 | ) |
|                                                |   |                                   |   |   |   |   |   |   |
|     Total      operating income |   |                                   | 5,436  |   |   |   | 3,531 |   |
|                                                |   |                                   |   |   |   |   |   |   |
| Other      non-operating income, net                |   |                                   | 302    |   |   |   | 116 |   |
| Interest      expense                               |   |                                   | (54    | ) |   |   | (762 | ) |
|                                                |   |                                   |   |   |   |   |   |   |
|   Income      before income taxes         |   | $                                      | 5,684  |   |   | $ | 2,885 |   |

|                          |   | December      31, 2007 |   |   | March      31, 2008 |   |
|-------------------------------|--------|-----------------------------|--------|--------|--------------------------|--------|
|                          |   | (In      thousands)         |   |
|                          |   |                        |   |   |                     |   |
| Raw      materials            |   | $                           | 6,341  |   |                     | $      | 7,633 |   |
| Work      in process          |   |                        | 9,783  |   |                     |   | 8,848 |   |
| Finished      products        |   |                        | 8,153  |   |                     |   | 8,571 |   |
|                          |   |                        |   |   |                     |   |   |   |
|     Total |   | $                           | 24,277 |   |                     | $      | 25,052 |   |

|                                                 |   |                        |   |
|------------------------------------------------------|--------|-----------------------------|--------|
|                                                 |   | December      31, 2007 |   |   | March      31, 2008 |   |
|                                                 |   | (In      thousands)         |   |
|                                                 |   |                        |   |   |   |   |
| Accounts      payable                                |   | $                           | 7,139  |   |   | $ | 6,848 |   |
| Accrued      liabilities:                            |   |                        |   |   |   |   |   |   |
|   Employee      benefits                   |   |                        | 7,196  |   |   |   | 5,242 |   |
|   Customer      tooling                    |   |                        | 736    |   |   |   | 601 |   |
|   Taxes      other than on income          |   |                        | 572    |   |   |   | 487 |   |
|   Insurance                                |   |                        | 502    |   |   |   | 538 |   |
|   Professional                             |   |                        | 252    |   |   |   | 192 |   |
|   Reserve      for uncertain tax positions |   |                        | 237    |   |   |   | 237 |   |
|   Other                                    |   |                        | 1,018  |   |   |   | 1,055 |   |
|                                                 |   |                        |   |   |   |   |   |   |
| Total                                                |   | $                           | 17,652 |   |   | $ | 15,200 |   |

----

|                                                                                      |   | Three      months ended March 31, |   |
|-------------------------------------------------------------------------------------------|--------|----------------------------------------|--------|
|                                                                                      |   | 2007                                   |   |   | 2008 |   |
|                                                                                      |   | (In      thousands)                    |   |
|                                                                                      |   |                                   |   |   |   |   |
| Expected      tax expense, at the U.S. federal statutory income      tax rate of 35% |   | $                                      | 1,989  |   |   | $ | 1,010 |   |
| Non–U.S.      tax rates                                                             |   |                                   | (63    | ) |   |   | (54 | ) |
| Incremental      U.S. tax on earnings of foreign subsidiaries                        |   |                                   | 612    |   |   |   | 278 |   |
| State      income taxes and other, net                                                    |   |                                   | 128    |   |   |   | 90 |   |
|                                                                                      |   |                                   |   |   |   |   |   |   |
|     Total                                                             |   | $                                      | 2,666  |   |   | $ | 1,324 |   |

----

----

|                                   |   | Three      months ended March 31, |   |
|----------------------------------------|--------|----------------------------------------|--------|
|                                   |   | 2007                                   |   |   | % |   |   | 2008 |   |   | % |   |
|                                   |   | (Dollars      in thousands)            |   |
|                                   |   |                                   |   |   |   |   |   |   |   |   |   |   |
| Net      sales                         |   | $                                      | 43,551 |   |   |   | 100.0 | % |   | $ | 40,520 |   |   |   | 100.0 | % |
| Cost      of goods sold                |   |                                   | 31,429 |   |   |   | 72.2 |   |   |   | 30,578 |   |   |   | 75.5 |   |
|                                   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Gross      margin          |   |                                   | 12,122 |   |   |   | 27.8 |   |   |   | 9,942 |   |   |   | 24.5 |   |
|                                   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      costs and expenses |   |                                   | 6,686  |   |   |   | 15.4 |   |   |   | 6,411 |   |   |   | 15.8 |   |
|                                   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Operating      income      |   | $                                      | 5,436  |   |   |   | 12.5 | % |   | $ | 3,531 |   |   |   | 8.7 | % |

----

|                            | Increase (decrease)                                                                                               |
|---------------------------------|-------------------------------------------------------------------------------------------------------------------|
|                            | Three      months endedMarch      31, 2007     vs.      2008         |
|                            | (In      thousands)                                                                                               |
|                            |                                                                                                              |
| Impact      on net sales        |            $  670                                |
|                            |                                                                                                              |
| Impact      on operating income |                        (575) |

----

|                                                |   | Three      months ended March 31, |   |   | %      |   |
|-----------------------------------------------------|--------|----------------------------------------|--------|--------|--------|--------|
|                                                |   | 2007                                   |   |   | 2008   |   |   | Change |   |
|                                                |   | (In      thousands)                    |   |   |   |   |
|                                                |   |                                   |   |   |   |   |   |   |   |
| Net      sales:                                     |   |                                   |   |   |   |   |   |   |   |
|   Security      Products                  |   | $                                      | 19,778 |   |   | $      | 19,076 |   |   |   | (4%) |   |
|   Furniture      Components               |   |                                   | 19,435 |   |   |   | 17,753 |   |   |   | (9%) |   |
|   Marine      Components                  |   |                                   | 4,338  |   |   |   | 3,691 |   |   |   | (15%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |
|     Total      net sales        |   | $                                      | 43,551 |   |   | $      | 40,520 |   |   |   | (7%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |
| Gross      margin:                                  |   |                                   |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                  |   | $                                      | 6,535  |   |   | $      | 5,542 |   |   |   | (15%) |  |
|   Furniture      Components               |   |                                   | 4,292  |   |   |   | 3,434 |   |   |   | (20%) |  |
|   Marine      Components                  |   |                                   | 1,295  |   |   |   | 966 |   |   |   | (25%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |
|     Total      gross margin     |   | $                                      | 12,122 |   |   | $      | 9,942 |   |   |   | (18%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss):                       |   |                                   |   |   |   |   |   |   |   |   |   |   |
|   Security      Products                  |   | $                                      | 4,110  |   |   | $      | 3,239 |   |   |   | (21%) |   |
|   Furniture      Components               |   |                                   | 2,261  |   |   |   | 1,426 |   |   |   | (37%) |   |
|   Marine      Components                  |   |                                   | 396    |   |   |   | 103 |   |   |   | (74%) |   |
|   Corporate      operating expenses       |   |                                   | (1,331 | )      |   |   | (1,237 | ) |   |   | (7%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |
|     Total      operating income |   | $                                      | 5,436  |   |   | $      | 3,531 |   |   |   | (35%) |   |
|                                                |   |                                   |   |   |   |   |   |   |   |   |   |   |

----

----

----

| ·   | 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, |
|--------------------|----------------------------------------------------|

| ·   | The      possibility of labor disruptions, |
|--------------------|--------------------------------------------|

| ·   | Competitive      products and prices, including increased competition from low-cost      manufacturing sources (such asChina), |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------|

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

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

| ·   | Costs      and expenses associated with compliance with certain requirements of the      Sarbanes-Oxley Act of 2002 relating to the evaluation of our internal      control over financial reporting, |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | 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 completed or future    acquisitions, |
|--------------------|---------------------------------------------------------------------------------|

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

| ·   | Uncertainties      associated with new productdevelopment, |
|--------------------|------------------------------------------------------------|

| ·   | 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, |
|--------------------|---------------------------------------------------------------|

| ·   | Possible      future litigation, |
|--------------------|----------------------------------|

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

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

| ·   | Government      laws and regulations and possible changes  therein. |
|--------------------|---------------------------------------------------------------------|

----

----

| ·   | 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. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   Part      II.   OTHER INFORMATION |
|----------------------------------------------------|

| ITEM      1A. | Risk      Factors. |
|---------------|--------------------|

| ITEM      2. | Unregistered      Sales of Equity Securities and Use of Proceeds; Share      Repurchases. |
|--------------|-------------------------------------------------------------------------------------------|

|       Period                          |   |   Total      number of shares purchased |        |   |  Averageprice      paidper      share, includingcommissions |   |   |  Total      number of shares purchased as part of a publicly-announced plan |   |   | Maximum      number of shares that may yet be purchased under the publicly-announced      plan atend of period |   |
|---------------------------------------------------------------------|--------|---------------------------------------------------|-------------|--------|------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------|--------|
|                                                                |   |                                              |        |   |                                                             |   |   |                                                                                  |   |   |                                                                                                           |   |
| January 1, 2008 to January 31,      2008   |   |                                              | 29,700      |   |                                                             | $      | 9.62   |                                                                                  |   |   | 29,700                                                                                                         |   |   |   | 774,700 |   |
|                                                                |   |                                              |        |   |                                                             |   |   |                                                                                  |   |   |                                                                                                           |   |   |   |   |   |
| February 1, 2008 to February 29,      2008 |   |                                              | 18,000      |   |                                                             | $      | 9.42   |                                                                                  |   |   | 18,000                                                                                                         |   |   |   | 756,700 |   |
|                                                                |   |                                              |        |   |                                                             |   |   |                                                                                  |   |   |                                                                                                           |   |   |   |   |   |
| March 1, 2008 to March 31, 2008       |   |                                              |  5,000 |   |                                                             | $      | 8.04   |                                                                                  |   |   |  5,000                                                                                                    |   |   |   |  751,700 |   |
|                                                                |   |                                              |        |   |                                                             |   |   |                                                                                  |   |   |                                                                                                           |   |   |   |   |   |
|                                                                |   |                                              | 52,700      |   |                                                             |   |   |                                                                                  |   |   | 52,700                                                                                                         |   |   |   |   |   |

| ITEM      6. | Exhibits. |
|--------------|-----------|

----

----