PARAGON TECHNOLOGIES INTRODUCES A SOFTWARE TOOL TO IMPROVE DISTRIBUTION CENTER ORDER FULFILLMENT EFFICIENCY

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EASTON, PA — March 29, 2006 -- Paragon Technologies, Inc. (AMEX:PTG), a leading supplier of “smart” material handling systems and “software-driven” warehouse and distribution center solutions, announced that its SI Systems’ Order Fulfillment brand has introduced a sophisticated software tool that increases efficiencies in order picking systems housed within a distribution center. The product,

DC Xcellerator™ analyzes the full range of picking systems — manual, semi-automatic, and automatic — in real time. Analysis that previously took weeks or months is now possible in a matter of minutes.

 

DC Xcellerator™ portrays system effectiveness, and recommends adjustments in product placement, automatic item selection, machinery, and personnel to optimize picking configurations. This innovative analysis and operational software tool allows distribution facilities to operate at peak efficiencies, which translates into significant cost savings throughout the year.

 

In addition, DC Xcellerator™ software can be used as a planning tool for procurement of additional picking systems and integration in the future. The software suite, consisting of a series of modules, can be customized to meet the customer’s current needs and is designed to grow as the customer’s operations expand.

 

Joel Hoffner, President and CEO of Paragon Technologies, commented, “The DC Xcellerator™ is a significant element in our strategy to provide an extensive suite of products and capabilities to a variety of customers. This particular tool allows us to provide consultative analytical services to distribution center clients, thereby establishing a partnership that will endure. The success of

DC Xcellerator™ in our first installation demonstrates the effectiveness of this product to highlight modifications to the order fulfillment process, which increases worker and automated picking machinery productivity.”