For Immediate Release – January 22, 2004
Toronto, Ontario – Spectra Inc. (SSA: TSX VENTURE) would like to update shareholders on developments at its wholly owned subsidiary Spectra Products Inc. The Company’s strategic focus targeting vertical markets such as waste management, municipal fleets, and transit is generating revenue. After targeted transit, municipal and waste management user groups completed trials of the Brake Inspector® system, they found that the system significantly reduces the amount of time it takes to detect and diagnose air brake faults in the foundation brake system thereby reducing fleet maintenance costs and increasing fleet safety. Several user groups are specifying the system for installation on all new vehicle orders and are beginning the retrofit of their existing vehicles.
“The Transit Industry is just one of the vertical markets generating tremendous interest and placing Brake Inspector® orders,” stated Andrew Malion Chairman Spectra Inc. “Currently six transit properties have completed testing the Brake Inspector® system and represent potential for over US$2.1 million in system sales in the up-coming year. An additional six-transit company’s are scheduled to begin trials in February and March with other transit properties slated for trials later in the year. We are expanding our distribution network through out Canada and the USA and have received dealer requests internationally, including Brazil, Australia, and the United Kingdom”.
In preparation for the increasing transportation industry demand for Brake Inspector®, the Company has contracted Tyco Electronics Canada to manufacture key components of the Brake Inspector® system to ISO 9001 and QS9000 standards. Tyco Electronics is the largest passive component supplier in the world. Tyco’s expertise in material science, products design and process engineering will bring Spectra Products the advantages of shorter manufacturing cycles, reduced time to market and greater production economies.
The issue of bus, truck and trailer safety and the ongoing problems of air brake inspections are receiving major attention in the North America. Recently the International Brotherhood of Teamsters, International Longshoreman’s Association, the International Longshore and Warehouse Union and the American Trucking Association have thrown their support behind the Intermodal Equipment Safety and Responsibility Act of 2003. This legislation would require that all trailer chassis sent out onto the highways have a record of inspection and repairs. Air brakes out-of-adjustment and other faults in the foundation brake systems continue to be the number one fault found during DOT inspections of Intermodal and other heavy-duty transportation vehicles. Depending on the jurisdiction fines in excess of US$300.00 and lost CVOR points are levied for these air brake infractions. The Intermodal Equipment Safety and Responsibility Act of 2003 proposed legislation is pending in the House of Representatives and a similar measure is before the Senate. There are an estimated 850,000 chassis in North America. Spectra’s visual brake stroke indicator, Brake Safe®/SureStrokeä, and electronic air brake diagnostic system, Brake Inspector® have proven track records in resolving the brake adjustment/inspection problem.
Spectra Inc. is a vertically integrated supplier of innovative safety and maintenance productivity enhancing products to the Commercial Transportation Industry and the Professional Trucker. Spectra’s product line includes Brake Safe® and SureStoke®, visual brake stroke indicators, Brake Inspector® a new, advanced electronic air brake diagnostic system and Termin-8R lubricants.
Except for the historical information contained herein, this news release contains forward looking statements that involve risks and uncertainties, including the impact of competitive products and pricing and general economic conditions as they affect the Corporation’s customers. Actual results and developments may therefore differ materially from those described in this release.
On behalf of the Board of Directors,
Andrew J. Malion, Chairman, Spectra Inc. www.spectra-ssa.com
Investor Relations: 1-800-308-5255 E-Mail: ssa@spectra-ssa.com
The TSX VENTURE Exchange has neither approved nor disapproved the information contained herein |
