Los Angeles, CA-- August 9, 2006—Material Technologies, Inc. (OTC BB; MTNA.OB - News) ("MATECH"), today provides a corporate update to review the progress the company has made pursuing market opportunity for its patented metal fatigue detection solutions in the bridge, railroad and aircraft industries.
To date MATECH has identified significant need for its nondestructive metal fatigue detection technology in the transportation infrastructure industry, accelerated marketing efforts based on positive responses from potential customers in the bridge and railroad sectors, received inquiries from several state Departments of Transportation, featured its solutions and made contact with key decision makers at major industry events, and recognized wide applicability for its products in the aircraft industry. The company formed a strategic alliance to pursue new technology acquisition opportunities, and began trading its securities on the Frankfurt Stock Exchange (UAW).
MATECH has developed proven, patented metal fatigue detection technology that can locate, measure and monitor growing cracks in metal structures and equipment with industry-leading accuracy. Federal and state transportation agencies are searching for solutions to accurately detect metal fatigue in order to ensure safety, reduce maintenance costs and prioritize repairs of critical metal structures including bridges and railroads.
The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU, enacted August 10, 2005) provides for increased transportation infrastructure investment and strengthened transportation safety programs. The US DOT’s Fiscal Year 2007 Budget Request seeks to allocate $65.6 billion in budgetary resources to support major investments in transportation nationwide, including $4.2 billion for bridge replacement, rehabilitation and preventive maintenance. The Transportation Equity Act has set aside funds for the Federal Highway Administration to test devices capable of finding growing cracks in bridges as small as 0.01 inches in length and under the surface. MATECH’s EFS solution is the only nondestructive testing device able to find growing cracks that small.
MATECH is generating significant momentum marketing its patented Electrochemical Fatigue Sensor™ (EFS) to bridge owners and engineers and state and federal transportation agencies who the company believes are most in need of accurate fatigue detection equipment. MATECH has recently completed reviews of three bridges at the request of Pennsylvania's DOT, and Massachusetts has submitted information on seventeen bridges throughout the state where fatigue damage is a primary concern. In June MATECH was contacted by several additional state transportation agencies to inquire about the EFS's unique ability to detect minute growing cracks in steel bridge infrastructure and other metal structures subjected to cyclic loading.
Based on the favorable responses MATECH has received from these potential customers, MATECH is stepping up its marketing efforts by executing targeted marketing campaigns aimed at bridge engineers with state DOTs. The programs include targeted direct mail, direct sales efforts and following up with decision makers from multiple state DOTs who have requested information.
As part of its marketing activities MATECH has featured its fatigue detection solutions at several recent industry events. The company has been invited to lead technical presentations on the advantages of using its EFS technology to locate and measure growing cracks in metal structures at major conferences including the International Bridge Conference, International Conference on Fatigue and Fracture in the Infrastructure and International Exhibition of Railtrack Technology.
MATECH is also receiving significant interest from the railroad industry where, according to the Association of American Railroads, major US freight railroads will spend more than $8.2 billion this year laying new track, buying new equipment and improving infrastructure to improve safety and efficiency.
The company’s proprietary EFS inspection system can satisfy new welded rail safety improvements and requirements mandated by the $286 billion SAFETEA-LU bill. The legislation requires each railway track operator using continuous welded rail track to include procedures to improve the identification of cracks and improve the methods of inspection of joint bars in continuous welded rail. MATECH has received inquiries from US as well as international railways, presented its technology at a major international railway conference, and demonstrated the ability of its patented EFS to accurately measure microscopic growing cracks and metal fatigue in railway bridges, track, and other equipment at the American Association of Railroads' Transportation Technology Center.
MATECH has also identified excellent potential for its innovative Fatigue Fuse™ in the aviation industry where more than 90% of all structural cracks in aircraft involve fatigue. Its Fatigue Fuse can be used by aircraft manufacturers, commercial airlines, general aviation companies and maintenance, repair and overhaul (MRO) providers to track the accumulation of metal fatigue in aircraft structures over time. The device has been tested by a leading British commercial and military aircraft manufacturer with excellent results. MATECH is initiating a campaign to target this highly promising market.
In addition, the company has begun began trading on the Frankfurt Stock Exchange, the world's third largest securities exchange. Listing on the exchange enables MATECH to establish an international presence, access the global capital markets and attract European investors.
MATECH recently executed a strategic alliance agreement with UTEK Corporation, a specialty finance company focused on technology transfer, to work together to identify potential technology acquisition opportunities. UTEK assists companies in enhancing their new product pipeline with the acquisition of proprietary intellectual capital from universities and laboratory research centers.
“This is a very exciting time for our company,” said MATECH CEO Robert M. Bernstein. “We see major potential for our metal fatigue detection solutions from prospective customers in the bridge, railroad and aircraft industries where fatigue damage poses a significant risk and funds for maintenance and repair must be stretched. Our marketing efforts are generating a great deal of interest and we are following up on serious inquiries from several agencies. We are intensifying our marketing and investor relations campaigns and investigating complementary new technologies to add to our arsenal. At MATECH we have made excellent progress to date and are thrilled to be pursuing avenues for major growth on multiple fronts.”
About Material Technologies, Inc. (MTNA.OB)
MATECH is an engineering, research and development company specializing in technologies to measure microscopic fractures and flaws in metal structures and monitor metal fatigue in real time. The company’s leading edge metal fatigue detection, measurement and monitoring solutions can accurately test the integrity of metal structures and equipment including bridges, railroads, airplanes, ships, cranes, power plants, mining equipment, piping systems and heavy iron.
MATECH owns the only non-destructive testing technology able to find growing cracks as minute as 0.01 inches—critical information that allows structural engineers to isolate and repair the more than 100,000 steel bridges in the U.S. which have been classified as structurally deficient or functionally obsolete by the Federal Highway Administration. MATECH has exclusive rights to seven patents along with $8.3 million in already completed contracts from the US Government for research, testing and validation of its innovative solutions.
To hear more about MTNA from CEO/President Robert M. Bernstein go to:
http://www.publiccoreport.net/featured/MTNA/company.asp
Forward-Looking Statements
Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements. Such statements are indicated by words or phrases such as "believe," "will," "breakthrough," "significant," "indicated," "feel," "revolutionary," "should," "ideal," "extremely" and "excited." These statements are made under "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those described in forward-looking statements and are subject to risks and uncertainties. See the Company's filings with the Securities and Exchange Commission including, without limitation, the Company's recent Form 10-K and Form 10-Qs, which identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.
Contact:
Robert M. Bernstein
Material Technologies, Inc.
1.310.208.5589
matech@matechcorp.com |
