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Advanced Photonix Signs Multi-Year Supply Agreement with Leading Telecommunication Transponder Manufacturer

Picometrix, LLC, an Advanced Photonix, Inc. company (NYSE Alternext US: API), announced that it signed a multi-year agreement with an industry leading optical subsystem manufacturer to supply 40 Gbps optical receiver components to be incorporated into subsystems which are installed in next generation telecommunication networks. The first year of the agreement is expected to result in annual revenues in excess of $1 million for the company.

Under the agreement, Picometrix will supply client side NRZ and line side DPSK and DQPSK optical receivers. These products utilize the company's industry leading, patented photodiode, amplifier and component packaging technologies to supply the highest performance and most compact products on the market today. The company's optical receivers will be incorporated into the customer's 40 Gbps transponders, which in turn will be deployed throughout the networks of telecommunication service providers.

"The network evolution to 40 Gbps is necessary to alleviate bandwidth bottlenecks and represents a significant growth opportunity during the next several years," said Rob Risser, General Manager of Picometrix and CFO of API. "As bandwidth demand grows, 40 Gbps telecommunication networks will become widely deployed. These high speed networks will be necessary to support the growing demand for high definition audio and video to be delivered any time, anywhere. We are pleased to be a key supplier to an industry leading optical communication equipment manufacturer and look forward to supporting them with industry leading 40 Gbps and future 100 Gbps advanced optical receivers."

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