Perth-based security technology group QRSciences Ltd has reached a preferred pricing and licensing rights agreement with US company, Rapiscan Systems, for QRSciences developed technology.
Perth-based security technology group QRSciences Ltd has reached a preferred pricing and licensing rights agreement with US company, Rapiscan Systems, for QRSciences developed technology.
The agreement covers the co-developed Rapiscan QXR1000 baggage and package screening system.
Under the terms of the agreement Rapiscan will maintain preferred pricing and licensing rights provided it places minimum orders in each of the next 4 years which in aggregate totals approximately $33 million.
QRSciences chief executive Kevin Russeth said he was pleased to be working closely with one of the world's largest suppliers of security screening systems.
"This agreement brings Rapiscan's worldwide marketing, manufacturing and distribution power to bear for our first product and is another major step forward in the growth of our company. This success results directly from the extensive product testing and evaluation completed by the U.S. Department of Homeland Security, through the Transportation Security Laboratory, and also from Rapiscan's initial marketing outreach," he said.
The QXR1000 product was jointly developed by QRSciences and Rapiscan funded in part by a grant from the U.S. Department of Homeland Security's Technical Support Working Group.
The device combines QRSciences' technology with Rapiscan's most widely deployed 520B X-ray unit. It provides a comprehensive explosives and weapons detection solution for applications including baggage screening at airport checkpoints, public transportation facilities, high security buildings and other critical infrastructure.
The QXR1000 recently completed evaluation testing with the U.S. Department of Homeland Security and will be showcased and demonstrated to a range of Federal Agencies at Technical Support Working Group Explosives Detection Conference in the United States in June.
THE JOINT ASX & MEDIA STATEMENT APPEARS BELOW.
QRSciences & Rapiscan Finalise $33 million Preferred Pricing and Purchase Agreement
June 6, 2006 Perth, Western Australia: QRSciences (ASX:QRS) announced today that it has reached agreement with Rapiscan Systems, a wholly-owned subsidiary of OSI Systems (NASDAQ:OSIS), giving Rapiscan preferred pricing and licensing rights over technology developed by QRS that makes up part of the co-developed Rapiscan QXR1000 baggage and package screening system.
Under the terms of the agreement Rapiscan will maintain preferred pricing and licensing rights provided it places minimum orders in each of the next 4 years which in aggregate totals approximately AU$33 million.
Ajay Mehra, President of Rapiscan Systems, commented, "We are pleased about this agreement in that the synergies between the two companies' technologies has resulted in a new product that has the potential of improving detection of difficult to detect items. We have been laying the groundwork with the United States government and in many other global markets and we look forward to the introduction of this product."
Kevin Russeth, Chief Executive Officer of QRSciences said "We are pleased to be working closely with one of the world's largest suppliers of security screening systems. This agreement brings Rapiscan's worldwide marketing; manufacturing and distribution power to bear for our first product and is another major step forward in the growth of our company. This success results directly from the extensive product testing and evaluation completed by the U.S. Department of Homeland Security, through the Transportation Security Laboratory, and also from Rapiscan's initial marketing outreach."
The QXR1000 product was jointly developed by QRSciences and Rapiscan funded in part by a grant from the U.S. Department of Homeland Security's Technical Support Working Group (TSWG). The device combines QRSciences' technology with Rapiscan's most widely deployed 520B X-ray unit. It provides a comprehensive explosives and weapons detection solution for applications including baggage screening at airport checkpoints, public transportation facilities, high security buildings and other critical infrastructure.
The QXR1000 recently completed evaluation testing with the U.S. Department of Homeland Security and will be showcased and demonstrated to a range of Federal Agencies at Technical Support Working Group Explosives Detection Conference in the United States in June.
About QRSciences:
QRSciences Holdings Limited is based in Perth, Western Australia with a wholly owned subsidiary, QRSciences Corporation, based in San Diego, California. The company designs and develops systems, sub-systems, components and software for security related applications. QRSciences is a developer of advanced technology and a leader in the field of Quadrupole Resonance (QR), a next generation technology that uses radio frequency spectroscopy techniques to detect specific molecular structures, with additional capability in configuration sensitive metal detection and imaging. Applications for the technologies include explosive, narcotic and weapons detection, pharmaceutical quality control and assurance, mineral and material assay, lab instrumentation and environmental science.
For further information about QRSciences visit: http://www.qrsciences.com
About Rapiscan Systems:
Rapiscan Systems, a division of OSI Systems, Inc., is a leading supplier of high quality security inspection solutions utilizing X-ray and gamma-ray imaging and advanced threat identification techniques such as neutron and diffraction analysis. The company's products are sold into four market segments: Baggage and Parcel Inspection, Cargo and Vehicle Inspection, Hold Baggage Screening and People Screening. The company has an installed base globally of more than 50,000 security and inspection systems. The Rapiscan Systems product line is manufactured at four locations and supported by a global support service network.
For further information on Rapiscan Systems, visit: http://www.rapiscansystems.com
About Technical Support Working Group (TSWG):
TSWG is the U.S. national forum that identifies, prioritizes, and coordinates interagency and international research and development (R&D) requirements for combating terrorism. The TSWG rapidly develops technologies and equipment to meet the high priority needs of the combating terrorism community, and addresses joint international operational requirements through cooperative R&D with major allies.
For more information on TSWG visit: http://www.tswg.gov
