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DENVER—August 14, 2005--QualMark Corporation (OTCBB:QMRK), a world leader in designing, manufacturing and marketing HALT (Highly Accelerated Life Testing), HASS (Highly Accelerated Stress Screening) and electro-dynamic systems, today announced the acquisition of Massachusetts-based Ling Electronics from SatCon Power Systems, Inc., a division of SatCon Technology Corporation (Nasdaq:SATC).
"Ling Electronics (Ling), the most recognized name in vibration testing, now gives QualMark the leading position in both its traditional HALT/HASS marketplace and its newly diversified Electro-Dynamic Shaker marketplace. Ling Electronics has delivered more then 6,000 electro-dynamic shakers to more then 20 countries worldwide and has been a leader in the vibration test market since its founding in 1957 by Jimmy Ling. Ling manufactures the most complete line of electro-dynamic shakers and amplifiers in the world ranging from 100 force pounds to 40,000 force pounds to meet the most rigorous test specifications. Ling also offers a full range of the Kimball slip table line. This acquisition continues QualMark's strategy to be the world leader in vibration testing. With QualMark's acquisition one year ago of ACG Dynamics, the leader in service, repair and rebuilding of electro-dynamic shakers, we now offer a full complement of service and electro-dynamic shaker equipment. Ling also has a dominant presence in the defense industry, which we will leverage to grow our traditional HALT/HASS line of business," commented Mr. Charles Johnston, QualMark's President and CEO.
Mr. Johnston continued, "This acquisition continues to strategically expand QualMark's total available vibration market to over $125 million and will add approximately $3 million in revenue to QualMark's existing revenue base."
QualMark intends to immediately relocate the Ling Electronics assets to its West Haven, Connecticut, manufacturing facility and commence operations. The acquisition consisted of the primary Ling Electronics' business assets and was consummated with cash, which will not result in any additional dilution to shareholders.
QualMark Corporation, headquartered in Denver, Colorado, is the leader in designing, marketing, and manufacturing accelerated life-testing systems providing the world's largest corporations with solutions that improve product reliability and allow them to get to market faster. The Company has installed more than 600 of its proprietary testing systems in 25 countries. The Company operates and partners with 10 testing facilities worldwide.
The Company also offers electrodynamic vibration solutions through its subsidiary, QualMark ACG Corporation.
QualMark ACG Corporation, headquartered in West Haven, Connecticut, is the leader in supplying electrodynamic systems, components, and service to the worldwide vibration test equipment market. For over 30 years, QualMark ACG ( formerly ACG Dynamics, Inc.) has been supplying quality replacement parts and field service for most brands of vibration equipment.
SatCon Technology Corporation is a developer and manufacturer of electronics and motors for the Alternative Energy, Hybrid-Electric Vehicle, Grid Support, High Reliability Electronics and Advanced Power Technology markets. For further information, please visit the new SatCon website at www.satcon.com.
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward- looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. These statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission filings; downturns in the Company's primary markets; variability of order flow, future economic conditions; competitive products and pricing; new product development; disruptions in the Company's operations from acts of God or extended maintenance; transportation difficulties; or the delivery of product under existing contracts and other factors.
