Advanced Photonix Sells Two Terahertz Systems, Gets Partnership

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ANN ARBOR — Ann Arbor-based Advanced Photonix Inc. (NYSE Amex: API), the leading supplier of terahertz systems to industry, announced it has sold two terahertz inspection systems under a development agreement with Appleton Papers Inc.

Appleton Papers is a specialty coating developer and manufacturer of thermal, carbonless, security and specialty papers.

The two systems will be initially deployed on a pilot manufacturing line to provide inspection and quality control of current and newly developed coated products. The goal is to transfer these units to full-scale production equipment once the quality objectives have been demonstrated.

The ability of terahertz energy to perform various critical measurements, replacing nuclear gauges, for the paper industry was verified by the U.S. Environmental Protection Agency (see www.epa.gov/nrmrl/std/etv/pubs/AMS+VStatement_nuc+gauge.pdf) and production testing was performed at Appleton Papers’ plant in Appleton, Wis. The wide frequency content and high precision of the Advanced Photonix terahertz industrial system allows measurement of caliper thickness, density, basis weight and coat weight, and can be used to monitor the quality of the product being produced.

“This opens the paper coating market and is a further step in the deployment of our T-Gauge system into the industrial market”, said API CEO Richard Kurtz. “We are pleased to be working with Appleton, an established and respected member of the paper industry. This is the first deployment, in the world, of a terahertz system in the paper industry for on-line quality control. With this sale we continue to expand the number of future industrial applications, customers and worldwide markets for our T-Gauge systems.”

Said Jason Morgan, research services manager for Appleton Papers: “We plan to utilize the technology to give us new insights into coating design, application method, and product quality.”

Terahertz radiation occupies a spot on the electromagnetic spectrum between microwaves and infrared light. Little understood and hard to generate before the 1990s, “T-rays” are now being eyed for a variety of testing and security applications. Among their most interesting properties — they “see through” many materials without packing the damaging, ionizing punch of X-rays.

Appleton develops coating formulations, coating applications and Encapsys microencapsulation technology. The company produces thermal, carbonless and security papers and Encapsys products. Appleton has manufacturing operations in Wisconsin, Ohio and Pennsylvania, employs approximately 1,600 people and has been 100 percent employee-owned since 2001. For more information, visit www.appletonideas.com.

Advanced Photonix offers optoelectronic products, high-speed optical receivers and terahertz instrumentation for telecom, homeland security, military, medical and industrial markets. For more information visit us on the Web at www.advancedphotonix.com.

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