December 28, 2006 -- API Nanotronics, Corp. ("API") (OTCBB: APIO) (the "Company") wishes to offer a year-end report on the successful completion of key milestones Management set out to achieve during calendar year 2006. The Company has accomplished certain critical objectives that position the Company for growth during the upcoming year.
Notable in 2006 was the merger between API Electronics Group Corp., ("API Electronics") and Rubincon Ventures, Inc. ("Rubincon"). First announced in March, the merger closed in November and saw the creation of a new entity named to best exemplify the business of the combined companies as API Nanotronics, Corp.
Effective April 28, API purchased 100% of Keytronics Inc.'s shares. Keytronics is a design and manufacturing company of electrical components and equipment, specifically transformers, chokes, inductors, reactors, power supplies, and power converters.
In June, the Company announced that it has received an order from the U.S. Department of Defense (DoD) for $9,033,884, representing the largest contract in API's history. API began shipments immediately and orders will continue for several years.
On July 18, 2006, the Company announced that it had entered into a non-binding Letter of Intent to acquire National Hybrid Inc. and its subsidiary, Pace Technology Inc. Both National Hybrid and Pace Technology are leading suppliers of critical components to the U.S. defense sector, including Raytheon, Lockheed Martin, Northrop Grumman, and the U.S. Department of Defense. Additionally, National Hybrid is in the process of completing a leading Micro-Electro-Mechanical Systems ("MEMS") production facility that will house state-of-the-art research and development capabilities to develop various nanotechnology products and services. Upon completion, it is anticipated that the facility will be one of the most modern MEMS micro-fabrication plants in North America.
Other achievements for the year included API Electronics' September announcement of record financial results. Revenues increased 25% to $15,634,093 from $12,547,551 for the comparable 2005 fiscal year. Additionally, a strong order flow also contributed to a backlog of $10,950,000.
A significant aspect of the companies business has focused on the manufacture of niche specialty products that major semiconductor manufacturers no longer produce or do not plan to produce in the future. Applications for the Company's products include; Telecommunications, Aerospace, Military Defense Systems, Automated Test Equipment, Computing Equipment, Medical Equipment, Robotics, Instrumentation and Automotive Systems. Customers include government agencies, Departments of Defense, and large military contractors such as Honeywell, BAE Systems Controls, Deutch Relays, Litton Systems, and Lockheed-Martin. Other customers include Raytheon, Northrop Grumman Litton, Alcatel, Thales, Leitch, Ball Aerospace, and the Defense Electronic Supply Center.
Spurred by the Company's growth and reputation as a preferred supplier of custom parts for critical, fixed-design systems, Management plans to offer customers the opportunity to develop next-generation nanotechnology based products via the development of a new state-of-the-art facility under the oversight of top nanotechnology scientists and engineers. This venture significantly broadens the scope of product design and manufacturing processes alongside offering significant new opportunities and synergistic industry relationships and is the key to API Nanotronics growth for 2007 and beyond.
About API Nanotronics, Corp.
API Nanotronics, Corp. through its wholly owned subsidiaries API Electronics Inc., Filtran Group, TM Systems and Keytronics, is engaged in the manufacture of electronic components and systems for the defense and communications industries. With a growing list of blue chip customers, including Honeywell/Allied Signal, General Dynamics, Lockheed Martin and numerous other top technology-based firms around the world, API regularly ships off-the-shelf and custom designed products to clients in more than 34 countries. API owns state-of-the-art manufacturing and technology centers in New York, Connecticut and Ontario, Canada and has manufacturing capabilities in China and a distribution center in Britain. API Nanotronics trades on the OTC Bulletin Board under the symbol APIO. For further information, please visit the company website at www.apinanotronics.com.
Safe Harbor for Forward-Looking Statements:
Except for statements of historical fact, the information presented herein constitutes forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which API Nanotronics, Corp. and its subsidiaries and affiliates have little or no control.
ON BEHALF OF THE BOARD
API Nanotronics, Corp.
Philip DeZwirek, CEO