Metrologic Receives Order for Additional Baggage Handling/Security Scanning Tunnel System from the Shenzhen Airport in China.

Business Editors

BLACKWOOD, N.J.--(BUSINESS WIRE)--Sept. 27, 2001

Metrologic Instruments, Inc. (NASDAQ-NMS: MTLG), a leading manufacturer of sophisticated imaging systems using laser, holographic, camera and vision-based technologies; high-speed automated data capture solutions and bar code scanners, today announced an additional order for its airport baggage scanning system from the China Shenzhen Airport Group.

The Shenzhen region is known as the Silicon Valley of China and located only a few miles from Hong Kong. It is one of the fastest and most densely populated areas in China.

Metrologic currently has three baggage scanning systems installed and operating at the Shenzhen Airport and due to increasing traffic, the facility needed to install a fourth system. The first three systems were installed in 1999 by an independent systems integration company using Metrologic equipment. Metrologic now has facilities, operations and applications engineering capabilities in China and will do the installation directly. Sophisticated baggage handling systems are used extensively throughout the world for security, tracking and control of airplane baggage.

"Metrologic's advancement into high-speed automated baggage, conveyor and sortation systems requires products that can perform a multitude of functions. Metrologic's scanning systems (tunnel) provides the ability to read and interpret the bar coded data in real time and with near perfect results. Bar codes are attached to the bags at check-in, scanned at numerous stations throughout the discharge line and directed to the appropriate aircraft loading ramp," commented Metrologic's Dale Fischer, Vice President of International Sales. Continuing, Mr. Fischer stated, "We are pleased to receive this additional order and are currently in the process of bidding on baggage handling systems for other airports in China and elsewhere in the world. In 1999, we executed an exclusive design and development agreement with the second Research Institute of CAAC ("Civil Air Administration of China") and are working with them closely on upgrading other Chinese airports. Rapid growth and security concerns combined with China hosting the 2008 Olympics should accelerate modernization in the Chinese market. We believe that all types of security systems and devices utilized in airports, packaging, shipping companies and other venues involving mass public and item access will be upgraded to reduce threats to public safety."

How the system works

The system will prevent the acceptance of non-bar coded baggage into the baggage handling system from check-in by assigning a passenger baggage claim number to each individual passenger that is boarding the aircraft for travel. Baggage that has not been properly entered into the baggage handling data system or identified as being searched will be rejected and sent to a separate claim line to be investigated. Metrologic's scanning tunnel scans the moving baggage from five sides, decodes the bar code and then transmits the bar coded data to the Programmable Logic Controller ("PLC"). If misread, the tunnel will transmit a predefined data to the PLC. The input/output PLC of the system will analyze the data from the scanners and send a control command to send the baggage to a separate line where the baggage can be investigated and identified. The bar code itself includes the information on the destination and routing of the baggage. It is also used to correlate a passenger's boarding confirmation with his or her baggage, that would be removed from the plane should the passenger fail to board the plane.

About Metrologic

Metrologic designs, manufactures and markets bar code scanning and high-speed automated data capture systems solutions using laser, holographic, camera and vision-based technologies. Metrologic offers expertise in 1D and 2D bar code reading, portable data collection, optical character recognition, image lift, and parcel dimensioning and singulation detection for customers in retail, commercial, manufacturing, transportation and logistics, and postal and parcel delivery industries. In addition to its extensive line of bar code scanning and vision system equipment, the company also provides laser beam delivery and control systems to semi-conductor and fiber optic manufacturers, as well as a variety of highly sophisticated optical systems. Metrologic products are sold in more than 100 countries worldwide through Metrologic's sales, service and distribution offices located in North and South America, Europe and Asia. For more information please visit www.metrologic.com.

Forward-Looking Statement 

Forward-looking statements contained in this release are highly dependent upon a variety of important factors which would cause actual results to differ materially from those reflected in such forward looking statements. Specifically, the factors that could cause actual results to differ from expectations include: foreign currency fluctuations with the US dollar; the timing, introduction and market acceptance of Metrologic's new products; pricing pressures; competitive factors; sales cycles of Metrologic's products; Metrologic's ability to control manufacturing and operating costs which affect future profitability; technological changes in the scanner industry, specifically vision-based technologies; availability of patent protection for Metrologic's camera, vision-based technologies, and other products; general economic conditions, and the disposition of legal issues. When used in this release and documents referenced, the words "believes," "expects," "may," "should," "seeks," or "anticipates," and similar expressions as they relate to Metrologic or its management are intended to identify such forward-looking statements. For additional factors, please see Metrologic's reports filed with the Securities and Exchange Commission.