Cyalume Technologies Holdings Inc. (fka CYLU)

[ProActive Capital]

Cyalume Technologies: Addressing the Environmental Protection Agency’s Concerns With Innovative Light Technology

Everyone knows what traditional roadside flares are. If you don’t have them in your car, you might want to look into acquiring a few as they provide critical safety light to alert oncoming traffic at accident scenes and vehicle breakdowns. The only problem is that traditional roadside flares present many safety and environmental issues. In fact, government agencies and commercial companies have in recent years begun to move away from using conventional incendiary flares due to the pollution, fire hazards and liability that they can cause. Now the Environmental Protection Agency (EPA) has voiced concern over one of the principal chemicals found in these flares, perchlorate. Fortunately, Cyalume Technologies (OTCBB:CYLU), the world leader in chemical-light technology, developed the SnapLight® 8” Flare Alternative product to address these concerns.

In speaking before a Senate committee in the end of January, the EPA’s Administrator Lisa Jackson announced that the EPA would move to curb the levels of perchlorate found in drinking water throughout the United States. Perchlorate, both a naturally occurring and man-made chemical that is used in the manufacture of rocket fuel, fireworks, explosives and the aforementioned roadside flares, has been linked to thyroid problems in pregnant women and young children. According to the EPA, data show that in the U.S. more than 4 percent of public water systems have detected perchlorate and between 5 million and 17 million people may be served drinking water containing perchlorate. Fortunately for the millions of safety professionals and consumers who depend on traditional roadside flares there is an alternative product on the market that directly addresses the EPA’s concerns. Cyalume’s patented environmentally-friendly Next Generation Flare™ uses non-toxic ultra high-intensity chemical-light that is 100% perchlorate-free. The SnapLight® 8” Flare Alternative with reflective strip enhances visibility up to one mile. Since it is not pyrotechnic, it cannot cause the hard to extinguish fires associated with conventional flares. More information about the product can be found by visiting: www.flarealternative.com.

While representing only a small part of its overall business, the SnapLight® 8” Flare Alternative product is a great example of Cyalume’s successful track record of bringing to market innovate new products that leverage the breakthrough advancements the Company has made in its underlying chemical-light technology. For example, the company just recently announced the launch of a new chemical-light shotgun shell tracer that targets the large global sports shooting market. In addition, the Company is partnering with General Dynamics to develop a whole host of small, medium and large caliber ammunition projects that target the multi-billion dollar military ammunition market. As the exclusive supplier to militaries in the U.S. and NATO countries for all of their chemical-light products and with a strategy of bringing to market unique environmentally-friendly products, Cyalume is poised for continued success.