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Alt 01-03-2007, 14:18   #26
SergioHH
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OTCPicks.com eProfile API Nanotronics Corporation

Die machen nen richtigen Alarm zu API, die Amis, nicht schlecht ...

OTCPicks.com eProfile API Nanotronics Corporation

(OTCBB: APIO) "API Nanotronics Corp. (OTCBB: APIO), through its subsidiaries, manufactures electronic components and systems for the defense and communications industries. Its offers various electronic components, including filters, power transistors, small signal transistors, transformers, tuning diodes, hybrid circuits, inductors, and custom power supplies. These products are used in land and amphibious combat systems, mission-critical information systems and technologies, marine systems, and business aviation."
Financial Snapshot:

Business:
Electronic Components, Systems & Technology
Exchange:
OTCBB Symbol:
APIO
Current Price (2/28/2007):
$2.85
52-Week Range:
$1.12 to $3.16
Outstanding Shares:
68.3 M Shares (approx)
Market Cap:
$192.61 Million
Website:
http://www.apinanotronics.com <http://www.otcpicknews.com/otcmail/u...nd&LinkID=2361>


API Nanotronics Corporation (OTCBB: APIO)

Detailed Quote: http://www.otcpicks.com/quotes/APIO.php <http://www.otcpicknews.com/otcmail/u...nd&LinkID=2359>

Company Profile: http://www.otcpicks.com/profiles/apio/index.php <http://www.otcpicknews.com/otcmail/u...nd&LinkID=2360>

Company Web Site: http://www.apinanotronics.com <http://www.otcpicknews.com/otcmail/u...nd&LinkID=2361>

Company Overview


API Nanotronics Corp. (OTCBB: APIO), through its subsidiaries, manufactures electronic components and systems for the defense and communications industries. Its offers various electronic components, including filters, power transistors, small signal transistors, transformers, tuning diodes, hybrid circuits, inductors, and custom power supplies. These products are used in land and amphibious combat systems, mission-critical information systems and technologies, marine systems, and business aviation. APIO is a Delaware corporation with operations in New York, Connecticut and Ontario, Canada. The Company trades on the OTCBB market under the symbol “APIO”.


Company Background


Through a series of acquisitions, APIO has built a Portfolio of technology companies that serve the defense and communication industries. These companies include:

API Electronics, Inc.


API Electronics, Inc. designs and manufactures power transistors, small signal transistors, tuning diodes, hybrid circuits, resistor/capacitor networks, diodes, and other critical elements for advanced military, industrial, commercial, automotive and medical applications. API is a leading supplier of defense electronic components to the US Department of Defense and its subcontractors.

API Electronics manufactures niche specialty products that major semiconductor manufacturers no longer produce or do not plan to produce in the future. The Company intends to maximize the potential of the various products for which it has become the sole source supplier.


Over the last two years, API Electronics, Inc. has enhanced its product offerings through the acquisition of assets from:

* Islip Transformer & Metal Co. Inc., a private company that supplies critical systems and components to the US Department of Defense; and
* Sensonics, Inc. a private company that supplies components to the US Department of Defense.


Filtran Group of Companies


The Filtran Group consists of Filtran Inc. of Ogdensburg, New York and Filtran Limited of Nepean, Ontario, Canada. It is leading supplier of electronic components to major producers of communications equipment, military hardware, computer peripherals, process control equipment and instrumentation.


Filtran Group offers off-the-shelf and custom-designed products to customers in over 34 countries. Filtran’s products are used in military, aerospace, telecom, audio, video, voice/data, and transportation applications. The Company has upgraded its engineering, quality control/test and manufacturing processes to support these markets, and management expects this subsidiary to grow significantly in the future.

TM Systems II, Inc.

TM Systems manufactures highly engineered products and systems for defense and aerospace applications. Its systems are purchased by military contractors. TM System’s advanced electronic, electromechanical systems and engineered materials are mission-critical, standard equipment for a wide variety of military platforms.


TM Systems supplies the defense sector with naval aircraft landing and launching equipment — including Visual Landing Aids and the Stabilized Glide Slope Indicator. It also provides flight control and signaling systems, radar systems, data communication and test equipment and aircraft ground support equipment.


Keytronics, Inc.

Keytronics designs and manufactures a wide variety of power transformers, charging chokes, reactors, magnetic amplifiers and saturable reactors. The Company also manufactures electronic equipment, including power supplies, battery chargers, power converters, hot blade rope cutters and special purpose electronic assemblies, including capacitor modules and medical electronics.


It serves customers in the aerospace electronics, telecommunications, computer, process control, power supplies, testing and medical devices industries.


National Hybrid

APIO has entered the nanotechnology sector by acquiring National Hybrid and its subsidiary, Pace Technology. Both National Hybrid and Pace Technology are important suppliers of critical components to the US Department of Defense and defense contractors such as Raytheon, Lockheed Martin and Northrop Grumman. National Hybrid produces components used in the US military\'s most sophisticated aircraft, including the Apache helicopter and F-18, F-22, and EF2000 fighter aircraft. National Hybrid has achieved military certification MIL-PRF-38534 status and is ISO-9001: 2000 certified.

National Hybrid is constructing one of the most modern micro-electromechanical systems production facilities (MEMS) in North America. This facility will provide state-of-the-art research and development capabilities for nanotechnology products and services. As a result, APIO will be able to form research and development partnerships with leading defense contractors, offering them access to its research facilities and personnel.


In addition to enhancing the Company’s research capabilities, the National Hybrid acquisition is likely to add substantial revenues to the combined business and create margin enhancement opportunities through synergies and economies of scale. As a result of the acquisition, management expects FY007 revenues to double to more than $30 million. (proforma calendar 07 of $45-50)

Market Opportunity

The global semiconductor market is valued at $250 billion and is poised for strong long-term growth (9-10% per year) through 2009, according to the Semiconductors Industry Association. Industry growth is resulting from:


Increased consumption of products incorporating sophisticated semiconductor technology;

* Rising semiconductor content in many products;
*More new products containing semiconductors;
* Breakthroughs in nanotechnology expected to push semiconductor sales higher by providing solutions for the next generation of microchips;
*Increasing security and defense spending by the US government.
Growth in the defense budget also positions APIO for additional growth. The US military is investing in the development of new technologies to defeat insurgent tactics. Peter Schoomaker, the US Army Chief of Staff recently told lawmakers that, even if US involvement in Iraq ended completely in 2008, a budget increase of $36 billion over the next six years would be required to fully reequip and upgrade the US Army. These figures do not include reequipping the US Marines, Navy, and Air Force, and are in addition to already requisitioned funds for military spending.

Long-term Outlook Strong

Since its inception, APIO has grown through a combination of organic growth and acquisitions. The Company has completed more than 10 acquisitions. These acquisitions have helped to enhance profitability, fuel growth, improve products and services and increase the Company’s visibility in the market.

APIO’s long-term revenue outlook continues to be strong:

1) Revenue backlog at November 30, 2006 was 19% higher than one year ago;
2) Semiconductor market is expected to grow 9-10% annually;
3) National Hybrid acquisition is expected to double FY2007 revenues;
4) Pending acquisitions should push calendar year 2007 revenues near $60 million.
5) President Bush has requested 15% increase in 2007 defense spending.

APIO has recently announced additional contracts valued at $1.4 million with U.S. Department of Defence agencies to supply a number of products including light detectors, radar signal indicators and post-amplifier control drivers. These contracts evidence a strong and growing relationship between APIO and the US military.

Solid Management and Research Team

APIO’s management team has more than 100 years of cumulative electronics industry experience. CEO Philip DeZwirek founded API Electronics in 1981 and guided the Company through a dozen acquisitions. In addition, Mr. DeZwirek is Chairman and CEO of CECO Environmental Corp. growing that business from revenues of $200,000 in 1991 to over $100 million in 2006.

During 2006, APIO contracted with Dr. Martin Moskovits, Dean of Science and Professor of Physical Chemistry at the University of California, to join the Company’s advisory team. Dr. Moskovits is directing the Company’s efforts in advanced technology areas such as nanotechnology. He has significant research experience in the nanoscience and nanotechnology sectors, with special emphasis on nanosensors. Dr. Moskovits is also known for developing porous anodic aluminum oxide as a template platform for nanotechnology.

Partnerships with Leading Defense Contractors

APIO has developed a solid customer base with the US Department of Defense at the top. In addition to the Defense Department, its customers include leading defense contractors such as Honeywell, Harris Corporation, BAE Systems Controls, Deutch Relays, NASSCO, Litton Systems and Lockheed-Martin. In fact, six out of the nation’s top ten defense contractors are APIO customers.

The ability to sell to the US Department of Defense is an important advantage for APIO since military products have strict manufacturing criteria and generally command higher prices. The 2006 defense budget was approximately $442 billion. Of this amount, approximately $79 billion was allocated for equipment acquisitions, while another $70 billion was set aside for research and development. Analysts estimate the US Defense budget will increase 4.7% annually through 2009.

Business Model Based on Differentiation

APIO manufactures electronic components and systems for the defense and communications industries. The Company has proprietary products and is the sole supplier of many mission-critical components for military applications. In many cases, the Company manufactures niche specialty products that major semiconductor manufacturers no longer produce or will not produce in the future.

By implementing engineering process controls and total quality management principles, the Company has achieved manufacturing efficiencies. Through specialization and concentration on niche products, APIO maximizes the value of its products.

Expansion into Nanotechnology

The National Hybrid acquisition establishes APIO’s presence in the nanotechnology sector. National Hybrid is constructing one of North America’s most advanced MEMS production facilities. The new facility enables APIO to offer unique research capabilities to its defense contractor customers, and forge research and development partnerships for developing new applications for nanotechnology in the military and aerospace markets.

The US Department of Labor cited nanotechnology, along with geotechnology and biotechnology, as the three technologies offering the greatest growth and job-creation potential in this decade. The US National Science Foundation predicts that the market for nanotechnology, or products containing nanotechnology, could reach $1 trillion by 2015, with nanomaterials, electronics, pharmaceuticals and aerospace representing the largest end markets.

Quality Differentiation

APIO is continually investing in improving product quality and meeting the highest standards of the military and aerospace industries. APIO’s subsidiary, API Electronics, is listed on the US Department of Defense Qualified Products List – a list of suppliers that meet the Defense Department’s highest performance, quality, and reliability standards. API Electronics has been awarded Laboratory Suitability Certification for military semiconductors. Government Certifications allow API Electronics to produce and test approved US military devices.

In addition to meeting the most rigorous military specifications, APIO’s subsidiaries have quality management programs that satisfy ISO 9001:2000 requirements. Two subsidiaries, API Electronics and Filtran, are ISO 9001 certified.
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