Wed, 21 Aug 2019

Operating Expense Reduction Estimated at $800,000 Annually; Company Anticipates Manufacturing Efficiencies and Production Capacity Increase

ORLANDO, FL / ACCESSWIRE / July 19, 2019 / LightPath Technologies, Inc. (NASDAQ: LPTH) ("LightPath," the "Company," or "we"), a leading vertically integrated global manufacturer, distributor and integrator of proprietary optical and infrared components and high-level assemblies, announced today the completion of its relocation and consolidation of its New York operations into its existing facilities in Orlando, Florida and Riga, Latvia, effective June 30, 2019. The relocation is part of the Company's continued focus on profitability and efficiency enhancement strategies as volume production requirements have increased with accelerating adoption of its expanding line of proprietary infrared lenses.

"We are pleased to have completed the relocation and consolidation of our New York facilities as planned, which will result in material benefits to our financial performance, manufacturing capacity and production efficiencies," stated Jim Gaynor, President and Chief Executive Officer of LightPath. "Approximately one third of our workforce in New York was relocated or replaced with staff in Orlando, with the balance eliminated through optimized efficiencies and investments in new machinery as part of our capital expenditures through the end of June 2019. Operating expenses are expected to be reduced by approximately $800,000 annually, with other benefits derived from improved turnaround time, better quality control, and a leaner organization.

"Investments have been made to add and streamline capacity for all of our infrared products in conjunction with the transition out of the New York facility and into our other facilities in Latvia, Orlando and China. The Company's total infrared manufacturing capacity in terms of number of lenses we are capable of producing has more than doubled from one year ago. This additional capacity will be needed as we have a goal of growing faster than the infrared market in fiscal 2020, which began July 1."

As previously disclosed, the Company expects to report a one-time charge in fiscal 2019 fourth quarter ended June 30, 2019 of approximately $840,000 relating to the closing of the ISP New York facility and other costs associated with the relocation of the processes that were operated there. If the building is successfully sublet, rent payments received will offset the charge in part.

About LightPath Technologies

LightPath Technologies, Inc. (NASDAQ: LPTH) is a leading global, vertically integrated provider of optics, photonics and infrared solutions for the industrial, commercial, defense, telecommunications, and medical industries. LightPath designs, manufactures, and distributes proprietary optical and infrared components including molded glass aspheric lenses and assemblies, infrared lenses and thermal imaging assemblies, fused fiber collimators, and proprietary Black DiamondTM ("BD6") chalcogenide-based glass lenses. LightPath also offers custom optical assemblies, including full engineering design support. The Company is headquartered in Orlando, Florida, with manufacturing and sales offices in Latvia and China.

LightPath's wholly-owned subsidiary, ISP Optics Corporation, manufactures a full range of infrared products from high performance MWIR and LWIR lenses and lens assemblies. ISP's infrared lens assembly product line includes athermal lens systems used in cooled and un-cooled thermal imaging cameras. Manufacturing is performed in-house to provide precision optical components including spherical, aspherical and diffractive coated infrared lenses. ISP's optics processes allow it to manufacture its products from all important types of infrared materials and crystals. Manufacturing processes include CNC grinding and CNC polishing, diamond turning, continuous and conventional polishing, optical contacting and advanced coating technologies.

For more information on LightPath and its businesses, please visit www.lightpath.com.

Forward-Looking Statements

This news release includes statements that constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding our ability to expand our presence in certain markets, future sales growth, continued improvements in our financial results,and implementation of new distribution channels. This information may involve risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, factors detailed by LightPath Technologies, Inc. in its public filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K. Except as required under the federal securities laws and the rules and regulations of the Securities and Exchange Commission, we do not have any intention or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts:

Jim Gaynor, President & CEO
LightPath Technologies, Inc.
Tel: 407-382-4003
jgaynor@lightpath.com

Donald O. Retreage, Jr., CFO
LightPath Technologies, Inc.
Tel: 407-382-4003 x329
dretreage@lightpath.com

Jordan Darrow
LightPath Technologies, Inc.
Tel: 512-551-9296
jdarrow@darrowir.com

SOURCE: LightPath Technologies, Inc.



View source version on accesswire.com:
https://www.accesswire.com/552552/LightPath-Technologies-Completes-Relocation-and-Consolidation-of-Facilities

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