Picometrix Negotiates High-Speed Optical Receivers Supply Contract with Major OEM Telecom Customer

Picometrix®, LLC, an Advanced Photonix® company, announced today that it has successfully completed its annual negotiations to supply high-speed optical receivers to a leading OEM telecom systems customer. The company estimates 2014 annual revenue from these negotiations will be between $4.6 and $6 million.

The 2014 commitment includes the full suite of Picometrix's industry leading 100G products, including the new CR-100D with integrated variable optical attenuator (VOA), designed for 100G long haul communications in dense wavelength division multiplexing (DWDM) systems which utilize DP-QPSK and DP-BPSK modulation. The innovative CR-100D receiver is designed to increase dynamic range, as well as improve optical signal-to-noise ratio (OSNR) performance. The receiver (CR-100D) spans the entire extended C and L band wavelengths and can be used in "colorless" coherent networks that enable service providers to better manage network capacity. Colorless capabilities allow communication equipment to utilize any wavelength for any port at the add/drop site. This allows for faster data throughput and lower costs per bit transport, both of which are big concerns for the industry.

"Once again we are pleased to have successfully concluded our 2014 negotiations with an important tier 1 customer to supply our 100G products, including our new CR-100D with VOA," said Robin (Rob) Risser, COO of API and General Manager of Picometrix. "We highly value our strong relationship and close collaboration with this strategic customer and their commitment to work with us this past year as our advanced procurement and engineering teams solved difficult supply chain disruptions in our 100G product offerings in the first half of 2103. The demand for 100G coherent equipment is in its early growth stage as bandwidth intensive applications like full motion video and social media place demands on the networks infrastructure. Virtually every carrier is deploying, or plans to deploy, 100G systems into the Long Haul and Metro markets over the next several years and we plan to participate in this growth with our current and future 100G product offerings."

About Advanced Photonix, Inc.
Advanced Photonix, Inc.® (NYSE MKT: API) is a leading supplier of optoelectronic sensors, devices and instruments used by Test and Measurement, Process Control, Medical, Telecommunication and Homeland Security markets. The company has three product lines: Optosolutions, focuses on enabling manufacturers to measure physical properties, including temperature, particular counting, color, and fluorescence for Medical, Homeland Security and Process Control applications. The Terahertz sensor product line is targeted to the Process Control, to enable quality control, and Security markets through nondestructive testing. The T-Gauge® sensor can measure subsurface physical properties, like multi-layers thicknesses, density, moisture content, anomaly detection and some chemical features, online and in real time. High-Speed Optical Receivers (HSOR) products are used by the telecommunication market in both telecommunication equipment and in test and measurement equipment utilized in the manufacturing of telecommunication equipment. For more information visit us on the web at www.advancedphotonix.com.

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