Law Enforcement Associates Acquires Select Assets of Advanced Vehicle Systems LLC
Assets of Surveillance Vehicle Manufacturer Represent Strategic Addition to LEA's Intellectual Property Portfolio
YOUNGSVILLE, NC--(Marketwire - October 22, 2007) - Law Enforcement Associates Corporation
(LEA) (AMEX: AID), the largest U.S. developer and manufacturer of
undercover surveillance equipment, today announced it has acquired select
assets of Advanced Vehicle Systems LLC (AVS), which designs and assembles
specialized surveillance vehicles for local, state and federal
organizations, as well as international law enforcement agencies.
The assets, which include the designs, drawings and intellectual property
rights of AVS, were acquired for 375,000 shares of LEA's restricted common
stock. These assets at one time were part of the surveillance vehicle
business of Audio Intelligence Devices (AID). LEA acquired certain assets
of AID in 2004, however, the surveillance vehicle assets were not included,
and were subsequently operated under the AVS name.
"AID's former surveillance van business was widely regarded as the leading
provider in the surveillance vehicle sector," said Mark White, LEA's senior
vice president of technical operations. White, who served as a vice
president at AID prior to its acquisition by LEA, said that AID's former
surveillance van operation was a key supplier to many local and state-based
organizations, as well as multiple federal agencies. "The re-establishment
of our surveillance vehicle business represents an important enhancement to
the LEA product offering, and should be particularly beneficial to our
customers in the Homeland Security arena."
Paul Feldman, president of LEA, said the acquisition could result in
meaningful new revenue streams from both new vehicle sales as well as
retrofits and equipment upgrades on previously sold vans. New vehicles
typically range in price from $75,000 to more than $200,000. LEA estimates
there are more than 500 of the original AID vans currently operating in
domestic and international markets.
"This is an ideal fit with our core business," Feldman said. "We have made
dramatic improvements and extensions to our AID product line in recent
years, and believe these enhancements will be valuable to existing owners
of vehicles that incorporate early generation AID surveillance devices. In
addition, we intend to leverage our marketing organization and vast
customer network to significantly enhance the sales efforts behind these
Feldman said LEA is ready to commence work on orders that were in process
when the acquisition was completed. "We will hit the ground running with
existing customers, and look forward to building on this early momentum."
About Law Enforcement Associates Corporation
LEA is a leading security and surveillance technology company that
manufactures and markets a diverse product line to the worldwide law
enforcement, military, security and corrections markets. The company's
Audio Intelligence Devices (AID) division has been serving the law
enforcement sector for more than 30 years and is one of the most respected
names in the surveillance equipment industry. LEA's products are used by a
wide variety of government and non-governmental agencies, as well as public
and private companies. These include military bases, nuclear facilities,
embassies, government installations, oil refineries, United Nations and
NATO locations. The company enjoys close working relationships with other
prominent players in the security and surveillance industry, such as Smith
& Wesson (NASDAQ: SWHC), one of the world's largest manufacturers of
quality firearms and firearm safety/security products; and FLIR Systems,
Inc. (NASDAQ: FLIR), a world leader in the design, manufacture and
marketing of thermal imaging and stabilized camera systems. LEA's products
have been used at high-profile events such as the Summer & Winter Olympics,
Super Bowl, U.S. Golf Championship, and the Democratic and Republican
National Conventions. Its products include the Under Vehicle Inspection
System (UVIS), EDK123 (Explosive Detection Kit), Bloodhound GPS Tracking
System, Letter-bomb Visualizer Spray, and a wide variety of Audio & Video
Surveillance Equipment. Headquartered in Youngsville, N.C., the company has
been featured in many industry publications and websites. For more
information, please visit www.leacorp.com.
The statements in this news release contain forward-looking information
within the meaning of the Private Securities Litigation Reform Act of 1995.
Such forward-looking statements involve certain risks, assumptions and
uncertainties, including the inability to generate and secure the necessary
product sales, or the lack of acceptance of the company's products by its
customers. In each case actual results may differ materially from such
forward-looking statements. The company does not undertake to publicly
update or revise its forward-looking statements even if experience or
future changes make it clear that any projected results (expressed or
modified) will not be realized.
Contact Information: CONTACT:
Pfeiffer High Investor Relations, Inc.