Investor Relations| P&F Industries, Inc. to be included in the New Russell Microcap Index

Press Releases

Jody Burfening/Seema Brin
Investor Relations
212-838-3777
jburfening@lhai.com /sbrin@lhai.com

P&F Industries, Inc. to be included in the New Russell Microcap Index

FARMINGDALE, N.Y., June 22, 2005 - P&F Industries, Inc. (Nasdaq NM: PFIN) today announced that it is to be included in the new Russell Microcap(TM) Index when Russell Investment Group reconstitutes its family of U.S. indexes on June 24. Russell recently posted a preliminary membership list at www.russell.com/US/Indexes.

The Russell Microcap Index, which will be comprised of the smallest 1,000 securities in the small-cap Russell 2000O Index plus the next 1,000 companies, based on a ranking of all U.S. equities by market capitalization. This new index offers managers and other investors a barometer to compare their performance against the genuine microcap marketplace of stocks

Richard Horowitz, President and CEO of P&F, commented, "We are honored to be recognized in the new Russell Microcap index. We look forward to the broadened investor awareness that may result from our inclusion in the index."

Russell indexes are widely used by investment managers and institutional investors for index funds and as benchmarks for both passive and active investment strategies. More than $2.5 trillion in assets currently are benchmarked to them. Investment managers who oversee these funds purchase shares of member stocks according to that company's weighting in the particular index.

Companies slated for the Russell Microcap were ranked as of May 31 by total market capitalization and weighted based on free-float adjustment, an integral aspect of Russell index methodology. Free-float adjustment means stocks are weighted by their available market capitalization which is calculated by multiplying the primary closing price by the available shares.

About P&F Industries
P&F Industries, Inc., through its four wholly-owned subsidiaries, Florida Pneumatic Manufacturing Corporation, Countrywide Hardware, Inc., Embassy Industries, Inc. and Green Manufacturing, Inc., manufactures and/or imports air-powered tools, various residential hardware such as staircase components, kitchen and bath hardware, fencing hardware and door and window hardware, baseboard and radiant heating products and a line of post-hole digging equipment. P&F's products are sold under their own trademarks, as well as under the private labels of major manufacturers and retailers.

About Russell
Russell Investment Group, a global leader in multi-manager investment services, provides investment products and services in more than 35 countries. Russell manages more than $135 billion in assets and advises clients worldwide representing $2.3 trillion. Founded in 1936, Russell is a subsidiary of Northwestern Mutual and is headquartered in Tacoma, Wash., with additional offices in New York, Toronto, London, Paris, Singapore, Sydney, Auckland and Tokyo.

Safe Harbor Statement
This is a "Safe-Harbor" statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including those related to the Company's future performance, are based upon the Company's historical performance and on current plans, estimates and expectations, which are subject to various risks and uncertainties, including, but not limited to, the impact of competition, product demand and pricing. These risks could cause the Company's actual results for the 2005 fiscal year and beyond to differ materially from those expressed in any forward-looking statement made by or on behalf of the Company. Forward-looking statements speak only as of the date on which they are made, and the Company undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

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