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Re: Xenophon post# 12112

Friday, 06/23/2006 8:45:16 PM

Friday, June 23, 2006 8:45:16 PM

Post# of 45771
How soon we forget:

24 April 2002:
During the past few weeks, we have completed the first two of these independent verifications. Dr. William R. Salzman (current Professor in and former Chairman of the Department of Chemistry for the University of Arizona) and Jim Murray (an expert in explosives and current member of the Tucson Police Department and Bomb Squad) conducted the first verification on April 9, 2002. The test protocol that was used independently verified the effectiveness of the technology and our first generation systems to perform as described in our tests.

The second verification was conducted on April 18, 2002, by a team of Brian Jenkins (a noted expert in the field of antiterrorism), John Ligon (Senior Engineer for the Thunder Mountain Evaluation Center at Fort Huachuca, Arizona) and Michael Conto (an explosive expert and also a current member of the Tucson Police Department and Bomb Squad). The results were positive and the final report is being written. When I receive it, I will also post it on the Web site. (Before I leave this topic, to answer a question that I know will be asked, individuals conducting these verification tests are paid a small fee by CDEX for their time, e.g., for the two tests noted above involving five testing consultants and other support such as for supply of explosives, CDEX has budgeted approximately $7,500 total for all fees and expenses.)

Our first generation building security explosive detection device (FSSS-1, which also would be capable of movement to gates in an airport security setting) is currently being tested in cluttered luggage configurations, e.g., in luggage with many other different substances. As we work through these tests, we are finding that the ability to discriminate between substances that may provide some problems for existing systems is not a problem for the FSSS-1.


3 June 2002:
Today, CDEX issued a short Press Release announcing the award of a contract to CDEX for the continued testing of the EM-1, CDEX’s proprietary first generation mobile explosive detection system. The testing is being conducted under the auspices of the United States Army. This contract reflects another step in the process of Army evaluation of the application of CDEX’s proprietary chemical detection technology to the Army’s countermine operational needs. We look forward to the testing and welcome the opportunity to demonstrate the technology in the field. While we are very excited about this new development, we are treating it as just another step toward our ultimate goals. I should add that CDEX has several other proposals outstanding and we are continuing to seek developmental partners in concert with our business vision reported in earlier CEO Statements.

1 August 2002:
Finally, in addition to substantial work involved with the Army testing contract previously reported, we have been working hard on other fronts. Two I will mention briefly. First, about four weeks ago we ordered the UV “pulse laser” necessary for us to move forward with developing chemical detection capability from substantial distances. While this purchase allows a standoff distance of only about 150 meters, the purchase is a large step for us.

The second area involves a device that we have been working on for several months, actually at the suggestion of the members of the bomb squad who were part of the two independent verification tests previously reported on the Web Site. The device (the MSSS-1X) is a mobile explosive detection device for use in airports/buildings, such as in “stranded bag” or “found package” situations. Tim Shriver, Senior Vice President of Operations, states that the device is currently undergoing extensive testing. All who have viewed demonstrations of the initial product have had very favorable comments. It is battery operated and housed on a rolling platform that allows remote operation as it scans the object in question for explosives. We anticipate that this device is one iteration away from a similar, multi-detector device with an associated conveyor belt for surveillance of bags/packages in an airport/building security situation.


24 October 2002:
Our objective is to have these products ready for marketing and certification by the first of the year. I believe that we are tracking well to that goal. The two products are the MSSS (Mobile Security Screening System), an x-ray-based mobile system capable of screening the contents of objects such as luggage or packages, and the PSSS (Personal Security Screening System), a UV-based system capable of screening people and their personal effects. (Information and photographs related to these two products along with information on a related product in final stages of development, the FSSS (Facility Security Screening System) for conveyor belt screening of luggage and packages, are contained in the Product section of the Web Site.) The Ops Team is working with our vendors to improve components for these products, and we have been very please with their willingness to meet requests for modifications and refinements to improve the applications.

Over the past three months we have conducted demonstrations of these developmental products in our Tucson facility for a number of organizations, including individuals representing groups from the United States, Europe, Asia and the Middle East. The response to the technology and the products under development has been glowing.

As an update for our work with the Army reported in the last CEO Statement, this work has taken a near-term backseat to our efforts on the anti-terrorism front, as discussed above. We have one more test to do before we can wrap up our final report and let the Army decide whether the EM-1X warrants additional development funding as a potential fit into the Army’s long term mix of mine detection equipment. While the test is tentatively scheduled for December, we will assure that it does not adversely impact our development efforts on the MSSS and the PSSS.


24 January 2003
We have now officially begun the marketing process for our first chemical detection product, the PS3 (Personnel Security Screening System). The PS3 is a battery/AC powered, hand-held scanner and portable processing unit that uses ultraviolet (UV) energy to detect trace amounts (residue) of explosives in the PS3 database. The PS3 detects these substances on areas impacted by the UV energy, such as clothing, skin, countertops, luggage, computers and personal items (e.g., using the scanner inside of purses and backpacks). (The attached PS3 brochure provides features/specifications. If unable to open, get free Acrobat Reader here. ) The PS3 is mobile, quick, and safe; requires no operator interpretation; and can economically augment existing explosive screening systems. The PS3 can also be constructed in a “man-mobile” (e.g., backpack) platform. The PS3 database is expandable to include other explosives and illegal drugs.

The PS3 is the first of a comprehensive suite of CDEX security screening products specifically designed for law enforcement and use at critical facilities, such as passenger terminals, building checkpoints, transportation hubs, and major event entrance points. The products are based on CDEX’s proprietary chemical detection technology that uses fluorescence and adsorption techniques for direct detection of substances of concern, such as explosives and illegal drugs (Patents Pending). CDEX anticipates the compact and lightweight design, and ability to configure the systems in a portable deployment platform, will enable a wide range of applications. Other products in the suite are complementary and in the latter stages of development.

PS3 (Personnel Security Screening System): See Description Above.
MS3 (Mobile Security Screening System): Fixed or mobile unit that employs X-ray florescence to detect explosives concealed in luggage and packages such as unattended containers.
AS3 (Access Security Screening System): Portal screening system that examines individuals as they pass through the portal for explosive and drug residue on areas impacted by the UV.
The design permits a ”bolt on” to existing doorways without requiring structural modification or as a stand alone walkthrough portal.
FS3 (Fixed Security Screening System): Fuses X-ray and UV florescence systems to provide an in-depth approach to security screening of packages in a conveyor belt format. The addition of multiple detectors and sources into one FS3 will permit the examination of luggage/packages for concealed explosives and trace surface residue in a single integration with throughput comparable to existing multi train systems.

CDEX has been in discussions with a number of organizations concerning the PS3. We are excited about the opportunities available and look forward to competing with existing systems in the trace detection marketplace.

The EM-1X has been reconfigured to support the construction of the manufacturing prototype of the MS3. Accordingly, we will need to reconfigure the units and conduct extensive pre-deployment checks of the EM-1X system before we can begin the final phase for the Army – efforts that will of course delay other activities focused on bringing other products to the market.


30 May 2003:
In this Statement, I also announce CDEX’s second contract with the US Government and talk about a very promising area of application that we have not previously discussed – detection of prescription drugs for the medical community.

Focusing first on explosive detection, in my last CEO Statement I noted that we had “officially” begun marketing for the first of our four-product suite of explosive detection products, the PS3 (Personnel Security Screening System) -- a battery/AC powered, hand-held scanner and portable processing unit that uses ultraviolet (UV) energy to detect trace amounts (residue) of explosive types contained in the system’s database. Since January, we have upgraded the PS3 to provide the capability to detect additional explosives, direct mailed our PS3 brochure to hundreds of targeted organizations, and demonstrated the PS3 at our first “show” (the TechNet at the DC Convention Center on May 6-8).

Focusing next on detection of chemical and biological agents, I am pleased to announce that today the US Government made public a contract with CDEX signed on May 8, 2003 for CDEX to perform a study of the feasibility of the CDEX technology to support identification of chemical/biological agents (Phase 1). If the study is successful, the contract contains a government option for the construction of demonstration/testing prototypes (Phase 2). The contract price for Phase 1 is about $200K and for Phase 2 about $800K. We are pleased with the contract, are honored by the government’s consideration of our technology and look forward to the opportunity to be a part of this country’s response to this escalating terrorist threat.

Building upon advancements in our UV-based detection technology, we started a program to develop products to lessen the impact of this problem – the SafePill System (Patents Pending). From a technological perspective, using chemical signatures the SafePill System products will provide virtually real-time and positive identification of solid and liquid medications, along with other information about the medications that may be helpful to a health care provider.

As an update on the contract with the US Army for technology testing of the EM-1 Mine Detection System, we are in the queue for testing when the military test lanes become available.


10 October 2003:
We continue to work with representatives of the Government in the area of Trace Explosive Detection using PS3, as well as opening the door for the other products in our explosives detection suite currently under development.

CDEX continues to perform on our DoD contract focused on detection of chemical and biological agents. We have submitted several reports based on our work, and are looking forward to working with the DoD as we approach another milestone related to the next phase of this engagement.

Our market research efforts have resulted in demonstrations to potential partners and potential customers, both in private sector as well as various State and Federal Government Agencies. True to our business vision, CDEX remains committed to exploring a myriad of distribution channels such as direct sales, channel relationships as well as licensing our technology to third parties.


17 November 2003:
CDEX continues to work with the TSA to move forward our explosive detection product.

LOTS OF PRODUCTS. LOTS OF DEMOS. LOTS OF EXCITEMENT. PS3 MARKETING. ARMY AND NAVY GRANTS. LOTS OF PRs AND CEO STATEMENTS. FIVE YEARS LATER, WHERE ARE THE SALES FOR ALL THESE GREAT "METH GUN"-LIKE PRODUCT IDEAS THAT CROP UP EVERY 3-6 MONTHS???






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