Paragon Technologies Announces $2 Million of New Contracts
Across Its Business Units
EASTON, PA, June 4, 2001 - Paragon
Technologies, Inc. [AMEX: PTG], a leading deliverer of "smart"
materials handling systems, including systems, technologies,
products and services, today announced that its business
units had signed new contracts totaling approximately $2
million in the transportation, electronics, and pharmaceutical
industries.
In previous announcements, Paragon had reported
customers delaying orders, but no significant cancellations.
The contracts reported today represent the implementation
of several projects the Company was aggressively pursuing.
SI Systems signed a contract for approximately
$700,000 for an automotive assembly application at a major
automobile manufacturer. This is the first application of
SI Systems' Lo-Tow® technology for high volume automotive
assembly. It will be used in the production of a popular
brand sports car. Paragon strongly believes that this is
a more reliable, flexible, and price effective technology
than other available systems, and this installation may
lead to additional future sales.
Ermanco reported an order for approximately
$600,000 for a major upgrade for a nationwide electronics
distributor, an ongoing customer. The order involved conveyors
and sorters, most notably, the new NBS 30T sortation technology
introduced this year, which represents a major cost and
performance improvement when compared to competitive solutions.
SI/BAKER reported a contract for approximately
$700,000 for expansion of an existing mail order pharmacy
system. This order represents the continuing opportunity
for growing its traditional business, while introducing
new technology such as its central fill systems.
Bill Johnson, President and Chief Executive
Officer of Paragon, commented on the group of orders, "These
are exciting orders for Paragon Technologies. We're pleased
that our customers trust us to provide this advanced materials
handling automation. As we reported earlier, our sales force
is seeing positive customer interest in new projects. We
are continuing our strong marketing efforts and product
development for both new applications and innovations. We
continue to build our Company to be fully capable of exploiting
business opportunities as economic conditions improve."
About Paragon Technologies
Paragon Technologies is a leader in integrating materials handling systems and
creating automated solutions for material flow applications. Ermanco's branded
conveyor technologies and material handling solutions address the needs of the
distribution, assembly, and manufacturing marketplace. SI Systems' branded technologies
and material handling solutions address unit assembly handling and order fulfillment
applications. Paragon Technologies' Quality Management System at its Easton,
Pennsylvania location is certified to the ISO 9001 standard. The scope of the
Quality Management System governs the design, manufacture, assembly, installation,
and servicing of automated materials handling and distribution systems. One
of the top materials handling systems suppliers worldwide, Paragon's leading
clients include the United States Postal Service, General Motors, IBM, BMG,
Daimler Chrysler, Johnson & Johnson, Ford, Peterbilt, Harley-Davidson, Walgreens,
and Clark Equipment.
Certain statements contained
herein are not based on historical fact and are to be viewed as "forward-looking
statements" within the meaning of the Private Securities Litigation Reform
Act of 1995. Words or phrases used in this News Release denoting the anticipated
results of future events, such as " believe," "affords us,"
"grow," "will be," "will spur additional opportunities,"
and similar expressions that denote optimism and uncertainty, are intended to
identify such forward-looking statements. SI Handling's actual results, performance,
or achievements could differ materially from the results expressed in, or implied
by, such "forward-looking statements" if the factors on which their
conclusions are based do not conform to their expectations.
