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AXIS TECHNOLOGIES GROUP INC. (PK: AXTG)
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Dear Reader,
Today's featured company, Axis Technologies Group Inc. (Pink Sheets: AXTG), has a very bright idea. Its patented Axis Dimming/Daylight Harvesting Ballast transforms what was once a standard lighting industry staple, into a dynamic energy saving system that can reduce lighting energy costs by up to 70%.
**News**
And just today, Axis announced that it had signed a national distribution agreement with Brite-Lite, Inc., a wholesale lighting distributor headquartered in the Vancouver, British Columbia area. Under the terms of the agreement, Brite-Lite (www.brite-lite.com) will be the exclusive sales and distribution agent for Axis products in the Canadian market. Please take a few moments to learn more about this exciting and innovative company.
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About AXIS |
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Axis Technologies Group, Inc. ("Axis") ("AXTG") conducts its business through this wholly owned subsidiary Axis Technologies, Inc., a Delaware corporation headquartered in Lincoln, Nebraska. Axis Technologies, Inc. designs, manufactures and markets a proprietary line of energy-saving and daylight harvesting electronic dimming ballasts for the commercial lighting industry.
The company's target market is small to large commercial users of fluorescent lighting including office buildings, wholesale and retail buildings, hospitals, schools, and government buildings. In 2002, Underwriters Laboratory (UL) approved Axis products for sale in both the United States and Canada.
The Axis DDH ballast is priced competitively and is the only daylight harvesting ballast system that can be marketed as a replacement for a standard ballast.
The Axis DDH Ballast
A "ballast" is an electronic component that regulates voltage in fluorescent lighting. The patented Axis Dimming/Daylight Harvesting Ballast is a new technology that transforms the ballast, a once standard lighting industry staple, into a dynamic energy saving system that can reduce lighting energy costs by up to 70%.
The Axis DDH Ballast utilizes an individual photo sensor to automatically adjust the amount of electrical current flowing to the light fixture, and then dims or increases lighting in conjunction with the amount of available sunlight that may be harvested from available windows and sunlight. The Axis DDH Ballast avoids "over-lit" conditions that increase energy costs by keeping lighting "tuned" to the desired level in a designated area.
“The Future of Fluorescent Lighting”
Axis has sold, or has potential orders for, approximately 500,000 units of their dimming/daylight harvesting ballast system.
just look at these recent product applications
Axis Receives Endorsement from Lincoln Electric Co. After Case Study Shows 69% Energy Savings
An entire floor of the building was retrofitted with the Axis 4-lamp ballast system and a comparative case study followed.
National Park Service Achieves LEED Gold Status by Installing Axis Ballasts
The National Park Service Regional Office in Omaha, NE became the fifth building in the US to achieve LEED (Leadership in Energy & Environmental Design) Gold Status.
Axis Products to be Installed in Walgreens Locations
ESG supplies lighting equipment and services nationally for all 5515 Walgreens store locations and has selected the Axis DDH ballast system for testing in key locations
Texas A&M Study Documents Significant Energy Savings at DFW Airport After Axis Product Installation
The ballasts were installed and tested in the Terminal B area of DFW Airport after a year-long evaluation.
University of Maryland Requires Contractors to Utilize Axis Products in $20 Million Project
The University of Maryland has specified that Axis Dimming/Daylight Harvesting (DDH) Ballasts
be utilized campus-wide for daylight harvesting applications in all future installations or retrofitting projects.
Axis Ballast systems have or will soon be installed at Walgreens Drugstore locations, the University of Maryland, Harrah's Casinos, Kennebunk Schools in Kennebunk, ME, as well as several major airports including: Dallas/Ft. Worth (DFW); Harlingen, TX (HRL);Sky Harbor in Phoenix (PHX); McCarren in Las Vegas (LAS) and George Bush in Houston (IAH). Axis has already announced that Speedway Motors, a large performance auto components distributor has installed over 1,200 Axis ballasts in their facility, and that The Principia, a private K-12 campus located in Saint Louis, MO has selected the Axis to greatly reduce their lighting energy usage. The Principia completed installation of approximately 1,000 ballasts before the start of the fall 2006 semester.
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The Market For Axis Products |
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The global ballast market as of 2005 is expected to grow at an annual rate of 12.1% through 2010, as reported by the Darnell Group (a leading research organization on the industry of lighting). This market includes electronic ballast, magnetic ballast systems, self-ballasted lighting systems, halogen, and high-intensity-discharge systems. The Axis market focuses primarily on the electronic fluorescent ballast systems. Recent regulatory rules governing the ballast industry have banned the sale of inefficient magnetic ballasts as of 2005 in both North America and Europe.
With the political debate raging over energy conservation, companies will increasingly look towards inexpensive ways of both reducing energy usage and overall energy costs associated with lighting. Dimming/daylight harvesting ballast systems pose a good solution for companies looking for ways to meet energy efficiency regulations and/or qualify with new tax incentives being introduced at both the federal and state level.
In 2005, $29 billion was spent by commercial enterprises for lighting alone.
State governments have also begun to enter the market for energy efficiency. In late August 2006, the state of California announced plans to work with investor-owned utilities to increase energy efficiency in state-owned buildings. Under the program the state would implement, along with the utility companies, $17 million worth of energy saving programs throughout state-owned buildings. Approximately one thousand state owned buildings are being looked at as possible sites for energy efficiency programs.
Governor Schwarzenegger went even further in his executive order called the Green Building Initiative. The initiative calls for public buildings to cut energy consumption 20% by 2015. It also stresses the importance for private companies to follow suit. Axis already has multiple installations in public buildings such as the Elk Grove Schools and the Unified Center Schools in Sacramento, California. These two areas have already showed the benefit of the Axis ballast system and will reflect a good track record for Axis.
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The Zoronsky Federal Building
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Creighton University
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Long Term Markets
Another possible long-term strategic opportunity facing Axis is entrance into the global market. Currently, Axis manufactures its ballast system in low-cost facilities in China, so it would not appear to be a difficult transition to switch to a global-based distribution. China has experienced record levels of growth and its cities are expanding at soaring rates. Along with their rapid growth, China, like every other industrialized country, has experienced a dramatic rise in the level of pollution. In addition, the State of California has allocated $1 billion dollars each year from 2006 – 2008 for various energy efficiency programs, including utility customer rebates for energy efficient product purchases. It is highly probable that funding will continue in 2009 and beyond.
The Federal Energy Policy Act 1331 of the Energy Policy Act of 2005 that went in to effect January 1, 2006 provides for a tax deduction of $0.60/square foot when energy-efficient lighting, that meets the criteria specified, is installed in new or existing buildings.
"Green initiatives are quickly becoming the norm as our society becomes more informed with regard to energy conservation and environmental issues. As many new laws and initiatives are introduced we feel that we are definitely in the right place at the right time with our unique product. We are confident that this new Act will have a tremendous impact on future sales for Axis," says Kip Hirschbach, CEO of Axis Technologies Group, Inc.
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The Axis Product |
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The Axis dimming/daylight harvesting ballast was developed to expand daylight harvesting into mainstream general lighting applications. The energy efficient ballast control system is fully integrated into each individual fixture and is priced competitively, installs easily, does not require commissioning, and is user friendly through automatic and accurate operation.
The dip switch set adjustable ballast factor allows the power to be tuned more precisely to the design room light level, avoiding excess power use from room /layout restrictions. The individual photo sensor allows a smaller zone of control; thus allowing luminaires near the daylight source to dim more than luminaires deeper in the room. A single ambient light control photo sensor common to other dimming systems must compromise to balance the room dimming levels, and may not get the maximum daylight savings available.
Patents have been secured to protect the Axis ballast and its unique control system, which utilizes a 7-position dipswitch to provide pre-set fixed output from 100% to 40% in approximately 10% increments; and an integral photo sensor which further dims the fixture to as much as an 80% reduction depending on available daylight. The daylight harvesting is automatic and operates unnoticed by the room occupants.
Utilities are placing an increasing priority on peak demand reduction, and are expected to incorporate “time of day” billing that will strongly encourage peak demand reduction (through higher energy costs) and further increase the value of the Axis ballast. One of the many unique features of the Axis system is the use of design light level (DLL) in calibrating the system. A calculation using the DLL generated a dip switch setting that is then used to control the level of light throughout the whole room.
The Axis ballast system is innovative and relatively new to the market. To offset reliability concerns Axis has contracted with a reputable manufacturing firm that specializes in the manufacture of precision electronic components. This manufacturer meets the standards of ISO 9002, which outlines a stringent set of manufacturing guidelines that include process controls, product inspection and testing, record keeping, corrective actions, handling, storage, and delivery.
Axis has set out to meet or exceed all the industry recognized standards
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• Eliminates the need for light meters and night-time commissioning.
• This creates a huge reduction in installation costs.
• Installation time is nearly the same as standard electronic ballasts.
• Simplest installation on the market for dimming systems.
• Each fixture is easily tuned to the design light level.
• Reduces energy consumption as well as energy costs.
• Can be integrated into current time and occupancy-sensitive devices.
• Total Harmonic Distortion is less than 10%.
• Crest Factor of less than 1.7.
• EMI and RMI standards.
• Tolerance to voltage and frequency variations.
• Tolerance to open and short circuits. |
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Recent News From AXTG |
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Press Release Source: Axis Technologies, Inc.
Wednesday November 29, 4:19 pm ET
Axis Signs Exclusive Distribution Agreement with Brite-Lite Inc. for Canada
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies, Inc. (Pink Sheets:AXTG - News) announced today that it has signed a national distribution agreement with Brite-Lite, Inc., a wholesale lighting distributor headquartered in the Vancouver, British Columbia area. Under the terms of the agreement, Brite-Lite (www.brite-lite.com) will be the exclusive sales and distribution agent for Axis products in the Canadian market.
"Axis Technologies is very pleased to be working with Brite-Lite to introduce our ballasts to the Canadian market. Bright-Lite is also very enthusiastic about adding our unique ballasts to their product line", said Kip Hirschbach, CEO of Axis Technologies. "Axis anticipates that this distribution agreement will lead to over $5,000,000 in sales over the next year", he added.
"Canada has become very energy conscious, and has embraced daylight harvesting as the latest method to drive reduced energy usage. Brite-Lite is very excited to offer the energy efficiency and simplicity of the Axis Dimming/Daylight Harvesting ballasts to our customers", offered Dave Sinclair, Sales Manager for Brite-Lite. (dave@brite-lite.com)
To read the complete release and disclaimer, Click Here
Press Release Source: Axis Technologies Group, Inc.
Tuesday November 28, 10:00 am ET
Axis Technologies Releases Three Year Revenue Projections
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies Group, Inc. (Pink Sheets:AXTG - News) announced that it has released revenue projections for the next three years. The projections below correspond with the information in the company's business plan.
Excerpt from the Axis Technologies Group, Inc. Business Plan: Projected Revenues
Year Ended December 31, 2007 $12,900,000
Year Ended December 31, 2008 $25,800,000
Year Ended December 31, 2009 $42,570,000
"Recent developments with large retailers as well as government contractors make us quite confident we will reach our sales goals as projected in our business plan" said Kip Hirschbach, CEO of Axis Technologies Group, Inc. To read the complete release and disclaimer, Click Here
Press Release Source: Axis Technologies, Inc.
Monday November 27, 4:01 pm ET
Axis Technologies Estimates in Excess of $3 Million in Sales from Overwhelming Market Response
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies, Inc. (Pink Sheets:AXTG - News) is pleased to announce the company has received overwhelming response through hundreds of calls since their stock went on the market two weeks ago. Calls from wholesale lighting distributors, lighting representatives, Energy Service Companies (ESCO's), and OEM's (Fluorescent Fixture Manufacturers) interested in utilizing the Axis Dimming/Daylight Harvesting (DDH) ballasts; have been coming from every part of the country. Calls have been received from California, Oregon, Texas, Indiana, Florida, Nebraska, Tennessee, Arizona, Wisconsin, Alabama, Georgia, Massachusetts, North Carolina, Iowa, New York, and many other states. Axis has heard from schools, universities, and building managers. Axis estimates in excess of $3 million in sales from these new calls over the next 12 months.
"Axis Technologies is extremely pleased at the response and interest in our energy efficient ballasts. The Axis staff has been very busy keeping up with the influx of calls, emails, and faxes; and that's a very good problem to have," said Jim Erickson, President of Axis Technologies.
To read the complete release and disclaimer, Click Here
Press Release Source: Axis Technologies Group, Inc.
Monday November 27, 9:00 am ET
Department of Homeland Security Facility Achieves LEED Gold Status After Installing Axis Ballasts
LINCOLN, NE--(MARKET WIRE)--Nov 27, 2006 -- Axis Technology, Inc. (Other OTC:AXTG.PK - News) is pleased to announce The Department of Homeland Security Facility in Omaha, NE recently earned Gold Certification in the LEED New Construction Category (LEED-NC). The facility was equipped with 300 Axis Dimming/Daylight Harvesting (DDH) ballasts with the goal of achieving the energy efficiency requirements necessary to obtain LEED-NC certification. This installation of Axis products combined with other Green applications aided this facility in becoming LEED-NC Gold Certified.
The Energy Policy Act of 1992 and Executive Order 13124 require Federal buildings to reduce their energy use by 35 percent by 2010 (compared to 1985). The Department of Homeland Security facility is one of eight Federal buildings to have already received LEED Certification. In addition, it is estimated that more than 60 Federal buildings are also vying to obtain this certification.
"We believe this government act that encourages Green buildings and initiatives to be an extremely positive development for our company," said Kip Hirschbach, CEO of Axis Technologies. "The Axis DDH Ballast is an obvious component for those facilities that want to lower energy consumption and become more environmentally friendly," Hirschbach added. To read the complete release and disclaimer, Click Here
Press Release Source: Axis Technologies Group, Inc.
Wednesday November 22, 9:39 am ET
Axis Technologies DDH Ballasts Now Being Installed in Zorinsky Federal Building in Omaha, NE
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies Group, Inc. (Pink Sheets:AXTG - News) announced that over 1000 Axis Dimming/Daylight Harvesting (DDH) ballasts are currently being installed in the newly renovated Zorinsky Federal Building in Omaha, NE. This building will house the Army Corp of Engineers, the Secret Service, and other federal agencies upon completion.
A previous evaluation was conducted to determine the economic and environmental costs and benefits that would result if this 12-story, 415,000 square foot facility converted its current lighting system to a more energy-efficient system (i.e. joined the EPA's Green Lights Program). Lighting accounts for 20-25 percent of all electricity sold in the United States. Costs considered in the study included the cost of retrofitting the building's existing lighting system and the cost of disposal of the current lamps and ballast fixtures. Benefits included a reduction of electric utility costs and a reduction of emissions of SO2, NOX, CO2, and CO from electric utility power plants. Environmental and health issues for air pollutant emissions were also addressed.
Environmental and health issues for air pollutant emissions were also addressed.
The results showed that significant reductions in utility bills as well as reductions in air emissions would result from a major building converting to a more energy efficient lighting system. The results showed that conversion of this large building would reduce SO2 emissions by 14.6 tons/yr and NOX emissions by 6.3 tons/yr. In addition, the conversion would reduce annual energy costs by approximately $114,000.
"We are very proud that Axis products have been included in a landmark renovation such as this one" said Axis CEO Kip Hirschbach. "Our products are being used extensively in projects such as these where Federal and state agencies strive to achieve new green energy standards."
To read the complete release and disclaimer, Click Here
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Press Release Source: Axis Technologies Group, Inc.
Tuesday November 21, 10:00 am ET
The Principia Selects Axis Technologies, Inc. Ballasts
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies Group, Inc. (Pink Sheets:AXTG - News) announced today that The Principia, a private K-12 campus located in Saint Louis, MO has selected the Axis Technologies Dimming/Daylight Harvesting (DDH) ballasts for installation campus-wide to greatly reduce their lighting energy usage.
The Axis DDH ballast incorporates a patented dipswitch that allows fixed-level dimming in 10% increments from 100% of output to 40% output, with a corresponding reduction in electrical energy. This means the fixture can be "tuned" to the light level desired, or to reduce "overlit" conditions. Further, a patented photocell attached to each ballast measures sunlight coming through windows or skylights and dims the fixture to as much as an 80% lighting reduction. This is all totally automatic and is unnoticed by building occupants.
The Principia completed installation of approximately 1,000 ballasts before the start of the fall 2006 semester. The engineering firm involved in this project will be generating a report on the energy savings received by The Principia from the Axis DDH ballast installation.
To read the complete release and disclaimer, Click Here
Press Release Source: Axis Technologies Group, Inc.
Monday November 20, 4:13 pm ET
Speedway Motors Utilizing Axis Dimming/Daylight Harvesting Ballasts
LINCOLN, Neb.--(BUSINESS WIRE)--Axis Technologies Group, Inc. (Pink Sheets:AXTG - News) is pleased to announce that Speedway Motors, a large performance auto components distributor has installed the Axis Dimming/Daylight Harvesting (DDH) Ballast system in their 42 -acre 520,000 square-foot corporate campus located in Lincoln, Nebraska. The installations were done with the support of Lincoln Electric System (a local utility company) who installed and evaluated Axis products in their own company headquarters. Speedway Motors installed over 1,200 Axis ballasts in their facility.
"The management of Speedway Motors is on the forefront in the state of Nebraska in the Green Energy arena. They are dedicated to furthering Green Building initiatives that greatly reduce energy consumption and we are delighted that they have chosen our products for their headquarters," stated Jim Erickson, President of Axis.
After an initial installation of the Axis DDH ballasts, Speedway management monitored electricity savings in comparison to those of the previous T12 fluorescent system. The Axis DDH ballast was shown to reduce lighting energy costs by over 60%. The patented Axis dipswitch was utilized to reduce over-lit lighting to desired levels even in areas where there was no natural daylight present. Further electrical energy savings were made in those areas with natural daylight by utilizing the patented Axis photocell. In addition, because of the reduced heat output of the Axis DDH electronic ballasts over the previous magnetic T12 ballasts; Speedway Motors is enjoying over 30% reduction in their chiller load.
Speedway Motors, through their subsidiary company, B&J Partnership, owns over 175 commercial properties in the Lincoln, NE area. Axis Technologies is working with B&J Partnership to retrofit those buildings with the Axis DDH ballast system as well. To read the complete release and disclaimer, Click Here
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Financial Highlights For AXTG |
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AXTG
Recent Trade: $2.06 (11-29-06)
52-Week High $3.47
52-Week Low $0.66
Shares Out: 65 Million
Auth Shares: 500m as of 11-08-06
State of Incorporation: Delaware
Fiscal Year End: December 31 |
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AXTG vs. the SPX
Industrial Comparative Sector Return
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TO CONTACT AXIS |
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2055 S. Folsom Street, Lincoln, NE 68522 - Phone: 866-458-9880
Investment Relations Group, LLC.
Charles Garcia, Tel: 305-373-7555 - Fax: 630-578-0470
Email investor relations: Here
Visit Axis on the Web, Here
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