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adobe pdf icon Analogic Corporation Signs Agreement to Acquire Copley Controls Corporation, a Leading Supplier of Gradient Amplifiers for MRI Systems

Analogic Corporation Signs Agreement to Acquire Copley Controls Corporation, a Leading Supplier of Gradient Amplifiers for MRI Systems

Analogic Corporation Signs Agreement to Acquire Copley Controls Corporation, a Leading Supplier of Gradient Amplifiers for MRI Systems

PEABODY, Mass.–(BUSINESS WIRE)–March 6, 2008–Analogic
Corporation (NASDAQ: ALOG) announced today that it has entered into an
agreement to acquire privately held Copley Controls Corporation of
Canton, Massachusetts, a leading supplier of gradient amplifiers for
Magnetic Resonance Imaging (MRI), and precision motion control
systems. The purchase price is approximately $68.75 million cash and
up to an additional $1.8 million to reimburse Copley shareholders for
the tax consequences of the transaction. Copley will become a wholly
owned subsidiary of Analogic. The transaction is expected to close in
early April 2008, and will be subject to customary closing conditions,
including the expiration or termination of the waiting period under
the Hart-Scott Rodino Antitrust Improvements Act. The purchase price
and additional reimbursement to be paid to Copley shareholders will be
funded out of Analogic’s available cash and the transaction is not
subject to financing conditions.

Analogic is a leading Original Equipment Manufacturer (OEM)
supplier of Radio Frequency (RF) amplifiers for MRI systems. Copley,
founded in 1984, is a leading supplier to OEMs of gradient amplifiers
for MRI systems. In addition to its Canton headquarters, Copley has
offices and local technical support in the United States, Europe, and
Asia, comprising approximately 250 employees worldwide. Copley’s
revenues for the calendar year 2006 were $73.6 million; preliminary
calendar year 2007 revenues are estimated to be $83 million. Analogic
estimates that revenues related to the acquisition in calendar year
2008 will be in excess of $85 million and, excluding one-time purchase
accounting adjustments, accretive to earnings in Analogic’s fiscal
year 2008 and fiscal years thereafter.

Analogic President and CEO Jim Green said, “This is a very
important step forward for Analogic as we augment organic growth with
‘good fit’ acquisitions that complement our core businesses. Our
acquisition of Copley Controls combines two companies with strong
engineering resources focused on high-value precision systems. The
addition of Copley, with its leading-edge technology in high-field
gradient amplifiers and its solid customer base, will enable Analogic
to expand our product offerings to our OEM customers, open up new
opportunities in Asia, and enhance our position as a leading provider
of medical subsystems for MRI scanners.”

“Joining Analogic is a natural fit for us,” noted Matthew Lorber,
President of Copley Controls. “The blending of our companies and
technologies will benefit both our customers and Analogic’s. Copley’s
products complement Analogic’s existing products and customer base.
Our top-of-the-line systems and talented engineering team, combined
with Analogic’s excellent reputation in the industry, its advanced
technology, and well established market presence, will create new
business opportunities.”

Conference Call

Analogic will conduct an investor conference call on Thursday,
March 6, 2008 at 11:00 a.m. ET to discuss the results for the second
quarter, the agreement to acquire Copley Controls, and other recent
developments. To participate in the conference call, dial
1-866-823-6992, or 1-334-323-7225 for international callers,
approximately ten minutes before the conference is scheduled to begin.
Inform the operator that you wish to join the Analogic conference,
Passcode 03391. You will then be asked for your name, organization,
and telephone number and be connected to the conference. Presentation
materials related to quarterly financial information will be posted on
the Company’s website at www.analogic.com. To listen to the live audio
webcast in listen-only mode, visit www.analogic.com approximately ten
minutes before the conference is scheduled to begin.

A telephone digital replay will be available approximately two
hours after the call is completed through midnight (ET) Thursday,
March 27, 2008. To access the digital replay, dial 1-877-919-4059, or
1-334-323-7226 for international callers. The conference ID number is
13103403.

A replay of the conference call webcast will be archived on the
Company’s website at www.analogic.com approximately three hours after
the call is completed and will be available through midnight (ET)
Thursday, March 27, 2008.

For more information on the conference call, visit
www.analogic.com, call 978-326-4213, or email proberts@analogic.com.

About Analogic

Analogic Corporation is a leading designer and manufacturer of
advanced health and security systems and subsystems sold primarily to
OEMs. The Company is recognized worldwide for advancing the state of
the art in Automatic Explosives Detection, Computed Tomography (CT),
Digital Radiography (DR), Ultrasound, Magnetic Resonance Imaging,
Patient Monitoring, and Advanced Signal Processing. For more
information, visit www.analogic.com.

Forward-Looking Statements

Any statements in this press release about future expectations,
plans, and prospects for Analogic Corporation (the “Company”),
including statements about orders for the Company’s products,
statements about shipments and installation of the Company’s products,
and other statements containing the words “believes,” “anticipates,”
“plans,” “expects,” and similar expressions, constitute
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Actual results may differ
materially from those indicated by such forward-looking statements as
a result of various important factors, including risks relating to
technology development and commercialization, risks in product
development, limited demand for the Company’s products, risks
associated with competition, uncertainties associated with regulatory
agency approvals, competitive pricing pressures, downturns in the
economy, the risk of potential intellectual property litigation, and
other factors discussed in our most recent quarterly report filed with
the Securities and Exchange Commission. In addition, the
forward-looking statements included in this press release represent
the Company’s views as of March 6, 2008. The Company anticipates that
subsequent events and developments will cause the Company’s views to
change. However, while the Company may elect to update these
forward-looking statements at some point in the future, the Company
specifically disclaims any obligation to do so. These forward-looking
statements should not be relied upon as representing the Company’s
views as of any date subsequent to March 6, 2008.

CONTACT: Analogic Corporation
Jim Green, 978-326-4000
President & CEO
or
Paul M. Roberts, 978-326-4213
Director of Communications
proberts@analogic.com

SOURCE: Analogic Corporation