eMagin Corporation Finalizes $33.6 Million U.S. Department of Defense Contract
September 16 2021 - 8:30AM
eMagin Corporation (NYSE American: EMAN), a leader in the
development, design and manufacture of Active Matrix OLED
microdisplays used in military and commercial AR/VR devices, and
other near-eye imaging products, today announced it has finalized
the details of its previously announced $33.6 million contract with
the U.S. Department of Defense to sustain and enhance domestic
capability for high-resolution, high-brightness OLED microdisplays,
including the Company’s direct patterning technology (dPd™). All
capital equipment decisions have been made, with all qualification
milestones in place, as the Company enters the second year of a
three-year contract. A major portion of this Defense Production Act
Title III investment will be used to install production-capable dPd
equipment at eMagin's Hopewell Junction, New York headquarters to
improve throughput and yield of this innovative technology. The
funding will enable the Company to replace and update equipment to
reduce production downtime and increase yield for existing
microdisplays. The Company expects to expand its U.S.-based
workforce by 10% over the duration of the contract.
“eMagin is the sole U.S. manufacturer of OLED
microdisplays, which we have proudly supplied to U.S. defense
programs of record since 2006 to provide critical information to
our soldiers on the battlefield,” said eMagin Chief Executive
Officer Andrew Sculley. “We greatly appreciate the support of the
U.S. military in helping to protect our vital domestic production
capability and high-technology manufacturing jobs. Moreover, we
have increased our manufacturing footprint by more than 25% to
accommodate the new equipment that we will procure with this
funding, and we are hiring additional engineers to support our
R&D and production efforts.”
“This contract is a win-win for eMagin and New
York,” said U.S. Senate Majority Leader Charles Schumer. “The
Hudson Valley is a growing hub of technological innovation, and
this funding supports new, high-quality engineering jobs and
critical national security priorities.”
Since January of this year, eMagin has taken
delivery of four new production tools and continues to make down
payments with vendors that are building equipment requested under
the government funding awards. These tools will continue to improve
yields and throughput to support customer deliverables for defense
programs of record, as well as eMagin’s medical, industrial, and
consumer programs.
About eMagin Corporation
eMagin is the leader in OLED microdisplay technology, enabling
the visualization of digital information and imagery for
world-class customers in the military, consumer, medical and
industrial markets. The Company invents, engineers and manufactures
display technologies of the future and is the only manufacturer of
OLED displays in the United States. eMagin's Direct Patterning
Technology (dPd™) will transform the way the world consumes
information. Since 2001, eMagin's microdisplays have been used in
AR/VR, aircraft helmets, heads-up display systems, thermal scopes,
night vision goggles, future weapon systems and a variety of other
applications. For more information, please visit www.emagin.com.
Important Cautionary Information Regarding Forward-Looking
Statements
This press 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 those regarding eMagin Corporation's expectations,
intentions, strategies and beliefs pertaining to future events or
future financial performance. Actual events or results may differ
materially from those in the forward-looking statements as a result
of various important factors, including those described in the
Company's most recent filings with the SEC. For a more complete
description of the risk factors that could cause our actual results
to differ from our current expectations, including impacts of the
COVID-19 pandemic, please see the section entitled "Risk Factors"
in eMagin's Annual Report on Form 10-K for the fiscal year ended
December 31, 2020, and in any Form 10-Q filed or to be filed by
eMagin, and in other documents we file with the SEC from time to
time.
CONTACT
eMagin CorporationMark A. KochChief Financial
Officer845-838-7951mkoch@emagin.com
Sharon Merrill Associates, Inc.Nicholas
Manganaroeman@investorrelations.com617-542-5300
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