Business News

Paragon Technologies Reports 2008 Second Quarter and Six Months Results

Wednesday 13. August 2008 - Paragon Technologies, Inc. (AMEX:PTG), a leading supplier of "smart" material handling systems and "software-driven" warehouse and distribution center solutions, today announced results for the second quarter and six months ended June 30, 2008.

During the second quarter ended June 30, 2008, the Company had a net loss of $109,000 or $.04 loss per share on sales of $4.1 million, compared to net income of $11,000 or $.00 earnings per share on sales of $6.0 million during the second quarter ended June 30, 2007.

During the first half of 2008, the Company had a net loss of $3,000 or $.00 loss per share on sales of $9.2 million, compared to a net loss of $257,000 or $0.09 loss per share on sales of $9.6 million during the first half of 2007.

During the first half of 2008, the Company repurchased 98,948 shares of common stock at a weighted average cost, including brokerage fees, of $5.47 per share. As of June 30, 2008, $2,343,070 remained available for repurchases from the $17,000,000 stock repurchase program.

Len Yurkovic, Acting CEO of Paragon Technologies, commented, “We are disappointed in our second quarter and six months results following a year of strong revenue growth. While the sluggish economy has caused a number of our customers to push back or delay projects, our sales force is seeing positive customer interest in new projects. We expect to be on track once economic conditions improve.”