Flexpoint Continues Sales to Intertek Industrial Corporation
by PR Newswire
DRAPER, Utah, Aug. 28, 2013 /PRNewswire/ -- Flexpoint Sensor Systems, Inc. (OTCBB: FLXT), (http://www.flexpoint.com/) today updated the current status of their agreement to supply sensors for Intertek Industrial Corp., a leading supplier of quality seatbelt systems and safety devices to the emergency vehicle market. Their award winning Protek Passenger Awareness System uses our Bend Sensor® technology to enhance the safety of passengers and personnel in emergency vehicles. The system is installed in the seats of the rear compartments of the emergency vehicle and provides the driver with constant feedback as to the "seated and secured" status of passengers and personnel in the rear of the vehicle.
Intertek continues to issue additional purchase orders for quantities for their existing customers. Earlier this year, Flexpoint received an order for 100 units consisting of 105 control boards and 400 sensors to be delivered in three installments. Deliveries have proceeded as scheduled and the combined deliveries from this purchase order will produce over $40,000 in sales during 2013.
The NFPA specification that requires a system like this one has been adopted and is expected to go into effect during 2014. Sales through Intertek are expected to continue at present rates until the legislation requiring safety systems such as the Protek system goes into effect. Because the system designed and produced by Flexpoint and Intertek meets or exceeds all of the standards of the legislation, we believe that sales will increase dramatically in 2014. Since the Protek system is currently in production and has been tested and proven, it is expected Intertek will be the first to market with an acceptable system and therefore we estimate their revenues to increase over the next three years. The Protek system includes a fully integrated system developed by Flexpoint and includes all the electronics and sensors. It is expected that between 100 - 200 units will be sold between now and the end of the year with approximately half of them requiring the additional monitor. Each vehicle system features a control unit with at least four sensors and one or two display units, all designed and manufactured by Flexpoint. The total expected revenue in 2013 from these products could be between $60,000-$80,000.
The system is currently in use in emergency vehicles in the US and is being tested in applications for other types of emergency vehicles. There are approximately 6,000 new ambulances constructed annually in the US. Intertek estimates that sales of their system could exceed 1,000 systems annually.
Clark Mower, President of Flexpoint, stated, "We continue to enjoy a strong relationship with Intertek. The company has realized and will continue to realize revenues under these contracts and we believe that there is significant potential for additional annual volumes in other types of emergency vehicles as well. Upon adoption of the legislation, annual sales of the product should result in $350,000-$500,000 of revenue for Flexpoint. Both companies remain optimistic about the future sales of the Protek systems."
Flexpoint Sensor Systems, Inc. (OTCBB: FLXT), (http://www.flexpoint.com/) is an innovative technology firm specializing in developing products that feature the Company's patented Bend Sensor® and related technology. The Bend Sensor® is a groundbreaking sensing solution that is revolutionizing applications in the automotive, safety, medical and industrial industries. The Bend Sensor's single-layer, thin film construction cuts costs and mechanical bulk while introducing a range of functions and stylistic design possibilities that have never before been available in sensing technology. Flexpoint's technology and expertise have been recognized by the world's elite business and academic innovators for over 17 years. The company is setting a new standard for sensing solutions in the "smart" age of technology.
This press release contains certain forward-looking statements. Investors are cautioned that certain statements in this release are "forward-looking statements" and involve both known and unknown risks, uncertainties and other factors. Such uncertainties include, among others, certain risks associated with the operation of the company described above. The Company's actual results could differ materially from expected results.
Flexpoint Sensor Systems
Clark Mower, President
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