Press Release

SI SYSTEMS PRODUCTION & ASSEMBLY AWARDED A
$1.9 MILLION CONTRACT FOR AN OFF-HIGHWAY VEHICLE ASSEMBLY CONVEYOR SYSTEM

 

EASTON, PA — May 2, 2006 -- Paragon Technologies, Inc. (AMEX:PTG), a leading supplier of “smart” material handling systems and “software-driven” warehouse and distribution center solutions, announced today its SI Systems’ Production & Assembly brand was awarded a $1.9 million contract to provide an automated conveyor system to be used in the manufacture of motor graders. The contract is with a global technology leader who manufactures construction and mining equipment. Worldwide expansion in the mining industry has fueled demand for off-highway vehicles globally. SI Systems’ proprietary LO-TOW ^®, a chain-based towline conveyor system, will move the vehicles through multiple assembly stations and inspection areas to its completion. The fully assembled vehicles may weigh up to 70,000-pounds. The automated conveyor system will be installed at an Illinois-based assembly plant. Detailed terms of the contract were not disclosed.

Joel Hoffner, President and CEO of Paragon Technologies, commented, “We are pleased that this well known and respected manufacturer has selected our LO-TOW ^® conveyor system solution to facilitate their increased production requirements, resulting from a growing demand for their line of motor graders. Our proven leadership in the solution, design, and implementation of assembly conveyor systems, particularly those involving heavy, high-value products is well recognized in the marketplace.”

Similar LO-TOW ^® towline system solutions have been installed in a variety of manufacturing assembly plants that assemble wheeled and non-wheeled vehicles — from lightweight lawn mowers to heavy armor-plated military vehicles.

Paragon’s SI Systems’ Order Fulfillment and Production & Assembly technologies improve productivity, efficiency, and operational accuracy at Fortune 1000 companies and United States Government installations.

 

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, BMG, Oshkosh Truck, Honda, CVS Pharmacy, Maybelline, and Walgreens.