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Leading Toy Manufacturer to Use Flexpoint’s Bend Sensor

Flexpoint Sensor Systems, Inc. (FLXT) is pleased to announce that 2016 is progressing as planned relative to order placement and is moving to mass production of toys featuring its unique Bend Sensor®. Working with an American-based, Fortune 500, global toy manufacturing company and its global assembly partner, Flexpoint has successfully supported all of the various product development lifecycle phases from conceptual design to production rollout.

Full scale production is on schedule and will begin in June 2016 for a number of different toy models which are being assembled by a global outsourced partner – Flex (formerly known as Flextronics); a multi-national supply chain solutions company that offers design, manufacturing, distribution and aftermarket services to original equipment manufacturers.

According to Paul Sexauer, Flexpoint Vice President of Sales and Marketing, "This move to production is timed to meet manufacturers 2016 goals globally, including holiday inventory demand. Annualized sensor order volumes are expected to be between 750,000 and 1 Million units in year 1 and are anticipated to occur quarterly and to continue to increase significantly annually thereafter. This will drive Flexpoint to meet its revenue and cash flow targets for 2016 and beyond."

Pre-production pilots have shown the efficacy and resiliency of the sensors. Testing by the Toy manufacturer has shown the sensors and overall systems to exceed lifecycle goals by 500% and more. Sexauer further commented, "According to the original Project Team lead engineer, the Flexpoint sensors offered the very best price performance as compared to various competitive options across the industry. We couldn't be happier with the way things have turned out. The collective teams have been pleased to see the success we have achieved together on these first product applications. Given the proven success, I am pleased to say we are now exploring additional product applications with this Toy manufacturer that would include the Bend Sensor®. Terms of agreement with the toy manufacturer include customary confidentiality clauses to help the company maintain a competitive advantage."

Clark Mower, Flexpoint President and CEO, commented, "In the Toy application markets, Flexpoint has shown demonstrable success going back to the beginning of the company's history. In addition to our other target markets, we have been trying to focus and expand our successful presence in this application space. There are other Toy companies we are working with in varying stages to bring their products to market. We anticipate revenue contribution from the Toy market segment to approach and possibly exceed 20% of overall revenues in 2016/2017 combined."

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