Another contract -
JMAR Receives $4.3 Million Integrated Circuit Technology and Fabrication Contract; Semiconductor Unit Broadens Support To DOD Microcircuit Replacement Program
September 25, 1998 09:29 AM
SAN DIEGO--(BUSINESS WIRE)--Sept. 25, 1998--JMAR Technologies Inc. JMAR , a growing provider of precision micro-technology products, announced that its wholly-owned JMAR Semiconductor Inc. (JSI) division has been awarded a $4.3 million contract to design, develop and install an integrated circuit fabrication facility and related wafer processing technology for the low-volume and prototype manufacture of electronic circuits used in operational military systems.
This broad-based contract, the second earned by JMAR in as many weeks, was issued by General Dynamics Information Systems (GDIS) acting as a prime contractor for the Defense Microelectronics Activity (DMEA) at McClellan AFB in Sacramento, Calif. Both awards are part of the Defense Department's Advanced Technology Support Program (ATSP).
Under this program, JMAR will design, build, equip and staff an expanded in-house custom integrated circuit prototyping facility at DMEA. With its complete low-volume wafer-to-packaging fabrication capability, the new facility will produce innovative custom microcircuits to satisfy the critical needs of obsolete military system electronics.
One of the overall goals of this program is to provide long-term support to DMEA for digital, analog and severe environment military equipment. The contract covers the initial 15-month phase of a multi-year program encompassing the development and installation of a range of critical wafer fabrication technologies.
In addition to the facility development required in this initial phase of the program, JSI will license and install proven CMOS technology and transfer new gate array design technology for the fabrication of replacement microcircuits.
Obsolescence in electronics systems has emerged as a growing problem for the military and other government agencies as the commercial semiconductor industry continues its push for higher performance microcircuits. Military systems generally take a number of years to design, build and deploy.
Once deployed, they must remain viable and repairable for many years, often under adverse conditions. Because fast moving, commercial technologies dominate the production strategies of most major semiconductor producers, lower-volume products for military use are often ignored as economically undesirable. This can leave the military short of critical replacement parts for systems in the field. It is the role of DMEA to provide these parts.
Marvin Sepe, president of JMAR Semiconductor said, "We are very pleased to be working with General Dynamics on this important program to further strengthen DMEA's already substantial capabilities. This program is the first step in a planned course of technology expansion at DMEA that is tailor-made for JMAR's overall semiconductor processing and development capabilities."
"This is the second in a series of what we expect will continue to be substantial orders under the ATSP aimed at strengthening DMEA's overall microcircuit manufacturing capabilities," commented John S. Martinez, Ph.D., JMAR's chairman and chief executive officer. "With it, JSI has now established powerful forward momentum on a dynamic growth path that we are confident will positively impact our bottom line within the near future. We expect the flow of revenues from this contract to begin within the current quarter and to continue through its completion. We also anticipate additional sales opportunities to accrue to JMAR through a separate agreement to be negotiated between JSI and DMEA whereby JSI will be granted certain rights to use the new DMEA facility for low-volume wafer fabrication for its non-government customers. These new technological capabilities, added to JSI's well-established microcircuit design and engineering expertise, will further broaden the range of products and services that JSI can offer to the commercial marketplace in the near future," he noted.
Martinez continued, "JSI's recent restructuring transitioned it into a fabless semiconductor operation having a network of proprietary alliances with a number of semiconductor producers. Through these interactions some of our alliance partners have been gaining awareness of the capabilities of JMAR's other emerging products and are beginning to explore their potential applications. Such relationships could be invaluable as we begin to introduce these promising new technologies to the commercial marketplace."
Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed by such statements. Such risks include delays in development of new products and technologies, uncertainties in the timing and funding of future orders and other risks detailed from time to time in the company's SEC reports, including the report on Form 10-K for the year ended Dec. 31, 1997 and the most recent Form 10-Q.
JMAR Semiconductor Inc., a wholly-owned subsidiary of JMAR Technologies Inc., with headquarters in Irvine, Calif., with operations also recently initiated in Sacramento.
JMAR Technologies Inc., with headquarters in San Diego, manufactures and markets precision measurement, process control and laser manufacturing systems, provides custom semiconductor products for the microelectronics industry and is a leading developer of advanced lithography point sources for production of future higher performance semiconductors. |
