Regarding this acquisition, Joseph J.
Lazzara, President and Chief Executive Officer of STI stated, "The
acquisition of PSI-Tronix provides a unique set of technologies and products in
the field of pressure sensing which is a great complement to the level, flow,
position and measuring capabilities of our Automation Products Group. I believe
STI's sales and marketing organization will help to expand the breadth and reach
of PSI-Tronix's products and available markets."
PSI-Tronix was founded in 1976 by Mel Heier, Richard
Chamberlain and Pal LaClaire as a partnership in the Los Angeles, California
area. PSI-Tronix was relocated into a 25,000 square foot facility in the
community of Tulare, CA in 1990. STI plans to retain PSI-Tronix's engineering,
manufacturing and sales operations in Tulare, California following the closing
of the acquisition. STI will operate the business as PSI-Tronix Technologies,
Inc., organized within the Automation Products Group and headed by to James M.
Vella, General Manager of the Automation Products Group. The website is
www.psi-tronix.com.
Scientific Technologies Inc. is a leading global supplier of
machine safeguarding products such as safety light curtains, safety interlocks,
safety relays and safety mats. STI also manufactures and markets a variety of
sensing solutions for customers in the factory automation, defense and automated
tollway markets. STI's headquarters are located at 6550 Dumbarton Circle,
Fremont, CA 94555 and can be reached at
www.sti.com.
This news release contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Exchange Act of 1934, including with respect to STI's ability
to address market opportunities for pressure transducers, gauges and controls.
In addition to the risks generally associated with acquisitions, such as the
successful integration of operations and retention of employees, the PSI-Tronix
acquisition will subject STI to additional risks and uncertainties. For
example, there can be no assurance that PSI-Tronix Technologies will continue to
successfully develop products on a timely basis, or at all, that its technology
will receive widespread market acceptance, that STI will be able to distribute
this product line successfully in its sales channels or that any such sales will
be incremental to STI's business. In addition, the market for industrial
sensors is subject to intense competition, price pressure and rapid change.
These risks and uncertainties could cause STI's actual results to differ
materially from those anticipated. Risks generally associated with STI's
business are discussed in the documents STI files from time to time with the
Securities and Exchange Commission, including its Form 10-K for fiscal 1998 and
1999 and its Form 10-Q for the quarters ended March 31, 1999, June 30, 1999 and
September 30, 1999.
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