"Manufacturers are beginning to recognize the opportunity for using our technology for short-run production and mass customization of products without the need for special tooling," says Stratasys CEO Scott Crump. "Our FDM technology is well-positioned for rapid manufacturing, given it generates production-grade plastic parts.
"A growing number of our customers now use FDM for rapid manufacturing applications. We expect that this agreement will accelerate our expansion into this emerging market and broaden opportunities for rapid manufacturing applications."
"After evaluating alternative processes, the customer chose FDM for its ability to produce durable plastic parts for end-use," says VP of engineering Paul Blake. "Competing processes could not produce the product characteristics the customer required. We believe the Stratasys FDM process with its production-grade thermoplastics offers the ideal platform for rapid manufacturing."
The agreement includes payments to Stratasys over the next four years as R&D milestones are achieved, as well as payments that are dependent upon future deliverables. The Company expects R&D payments received will offset accelerated R&D efforts aimed at rapid manufacturing advances and does not anticipate recognizing these payments as revenue.
Stratasys Inc, Minneapolis, manufactures rapid prototyping systems and 3D printers for use by OEMs such as aerospace, automotive, defense, medical, and consumer product makers. In 2004 the company installed 36 percent of all such systems sold worldwide, making it the unit market leader again, according to Wohlers Report 2005. Stratasys patented the rapid prototyping process known as fused deposition modeling (FDM(R)). The process creates functional models directly from any 3D CAD program using ABS plastic, polycarbonate, PPSF or other materials. The company holds 175 granted or pending prototyping patents. Stratasys systems are also used for rapid production and rapid tooling. On the Web: www.DimensionPrinting.com and www.Stratasys.com
All statements herein that are not historical facts or that include such words as "expects", "anticipates", "projects", "estimates" or "believes" or similar words are forward-looking statements that we deem to be covered by and to qualify for the safe harbor protection covered by the Private Securities Litigation Reform Act of 1995. Except for the historical information herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties; these include the continued market acceptance and growth of our Dimension BST(TM), Dimension SST(TM), Prodigy Plus, FDM Maxum(TM), FDM Vantage(TM), and Titan(TM) product lines; the size of the 3D printing market; our ability to penetrate the 3D printing market; our ability to maintain the growth rates experienced in this and preceding quarters; our ability to introduce and market new materials such as polyphenylsulfone and the market acceptance of this and other materials; the impact of competitive products and pricing; the timely development and acceptance of new products and materials; our ability to effectively and profitably market and distribute the Eden line; and the other risks detailed from time to time in our SEC Reports, including the annual report on Form 10-K for the year ended December 31, 2004 and the quarterly reports on Form 10-Q filed throughout 2005.
FDM is a registered trademark of Stratasys, Inc.
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Stratasys, Inc., Minneapolis Editorial & Investor Contacts: Editorial: Joe Hiemenz, 952-906- 2726 Email Contact or Investor: Shane Glenn, 952-294-3416 Email Contact