EASTON, PA — February 8, 2006 -- Paragon Technologies, Inc. (AMEX:PTG), a leading supplier of “smart” material handling systems and “software-driven” warehouse and distribution center solutions, announced today that its SI Systems’ Production & Assembly brand was awarded a $300,000 contract involving a major government agency’s regional processing center to modify and modernize an existing SI Systems proprietary LO-TOW ® transportation conveyor system that the Company had retrofitted and expanded for the agency approximately five years ago. Detailed terms of the contract were not disclosed.
Bill Casey, Executive Vice President of Paragon Technologies, commented, “We are pleased that this customer continues to utilize our technologies to fulfill their expanding material handling requirements. We continue to build on the strength of our customer relationships and believe that our automation solutions will continue to attract orders from existing and new customers as their requirements evolve. We look forward to continued success and market growth from SI Systems’ Production & Assembly brand.”
Similar towline-based system solutions have been installed at vehicle and appliance assembly plants, distribution centers for large retail chains, and military facilities.
Paragon’s SI Systems Order Fulfillment and Production & Assembly technologies drive productivity at Fortune 1000 companies and the United States Government.
About Paragon Technologies
Paragon
Technologies is a leader in integrating material handling systems and creating
automated solutions for material flow applications. SI Systems’ Production
& Assembly and Order Fulfillment branded technologies and material handling
solutions address unit assembly handling and order fulfillment applications.
One of the top material handling systems suppliers worldwide, SI Systems’
leading clients have included the United States Postal Service, General Motors,
Ford, Peterbilt, Harley-Davidson, and Walgreens.
Cautionary Statement . Certain statements contained herein are not based on historical fact and are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities and Exchange Commission rules, regulations and releases. Paragon intends that such forward-looking statements be subject to the safe harbors created hereby. Among other things, the forward-looking statements regard Paragon's earnings, liquidity, financial condition, review of strategic alternatives, and other matters. Words or phrases denoting the anticipated results of future events, such as “anticipate,” “does not anticipate,” “should help to,” “believe,” “estimate,” “is positioned,” “expects,” “may,” “will,” “is expected,” “should,” “continue,” and similar expressions that denote uncertainty, are intended to identify such forward-looking statements. Paragon's actual results, performance, or achievements could differ materially from the results expressed in, or implied by, such “forward-looking statements:” (1) as a result of factors over which Paragon has no control, including the strength of domestic and foreign economies, sales growth, competition, and certain cost increases; and (2) if the factors on which Paragon's conclusions are based do not conform to its expectations. Furthermore, achievement of the objectives of the Company following the sale of Ermanco is subject to risks associated with business disruption resulting from the announcement of the sale and other risks outlined in Paragon's filings with the Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2004 and the most recent quarterly report on Form 10-Q for the quarter ended September 30, 2005.
