Oceana Sensor Completes Defense Production Act Title III Program

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Oceana Sensor Technologies, Inc. completed its Wireless Vibration Sensor Project under the Defense Production Act (DPA) Title III Program (http://www.dtic.mil/dpatitle3) with the closeout meeting on 17 February 2005. Beginning in August 2002, Title III funding allowed Oceana Sensor to address critical production methods and capacity issues for its Wireless e-Diagnostics® suite of equipment health monitor sensors. The project transitioned wireless sensor technology from a nascent laboratory-stage to full-scale production volumes at greatly reduced cost.

Oceana Sensor Technologies, Inc. completed its Wireless Vibration Sensor Project under the Defense Production Act (DPA) Title III Program (http://www.dtic.mil/dpatitle3) with the closeout meeting on 17 February 2005. Beginning in August 2002, Title III funding allowed Oceana Sensor to address critical production methods and capacity issues for its Wireless e-Diagnostics® suite of equipment health monitor sensors. The project transitioned wireless sensor technology from a nascent laboratory-stage to full-scale production volumes at greatly reduced cost.

The DPA Title III project consisted of five major objectives: 1) Production Planning, Product Design and Product Evaluation, including assessing Oceana’s current situation and determining steps to increase capability while decreasing cost; 2) Capacity Expansion, Evaluation and Verification, including taking action to increase capability and capacity while reducing cost; 3) ISO 9001:2000 Implementation and Certification, including achieving certification by an independent registrar; 4) Strategic Planning and Preparation, including preparing and implementing strategic business plans advancing the commercialization of wireless sensors; and 5) Market Planning and Implementation, including promoting wireless sensing products in the market place to gain customer awareness and strengthen commercial viability.

Over the course of two years, Oceana Sensor successfully performed these tasks, exceeding all key performance parameters that were jointly developed in conjunction with the Title III Program Office, located in Dayton, Ohio. Louis C. Dommer, Oceana’s Senior VP/COO/CFO, stated “Title III afforded Oceana Sensor the opportunity to take a new innovative product from a low volume production state to a mass producible product. At the same time, Oceana Sensor developed a world-class, high volume manufacturing system that is ISO 9001:2000 certified. We were able to get valuable market feedback through beta test sites and introduce our products at trade shows over the course of the contract. The DPA Title III program is unique with respect to other government-sponsored programs in that the higher level of flexibility associated with use of funding permits an industry partner to undertake direct investments relating to product development, manufacturing process refinement, capacity scale up, strategic business planning, and market plan implementation. We are proud of the close working relationship developed with the Title III Program Office, which was critical to our overall success. Finally, we would not have met or exceeded all of the key performance factors under this demanding Title III project, if not for the outstanding contributions of all of our Ocean Sensor employees.”

Oceana Sensor manufactures OEM sensors and a full line of machinery health monitoring products for condition base maintenance under the Wireless e-Diagnostics® brand. Wireless e-Diagnostics® refers to smart, network capable, wireless sensing systems, featuring the Intelligent Component Health Monitor (ICHM®) and System Health Monitor (SHM®). http://www.oceanasensor.com.

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Jeff Rybak