Advanced Optics Electronics Inc. Announces Its BioModa Inc. Holding Receives Offer

Business Wire, Oct 22, 1999

ALBUQUERQUE, N.M.--(BUSINESS WIRE)--Oct. 22, 1999--

Advanced Optics Electronics Inc. (OTC BB:ADOT) holding of BioModa Inc. has received from BioLabs Inc. a letter of intent to purchase 100 percent of BioModa Inc. from its stockholders, on a share for share exchange.

The total value of the transaction would be in excess of $22 million. ADOT's approximate 20 percent holding in BioModa Inc. would be exchanged for approximately an 8.5 percent interest in BioLabs Inc.

BioLabs Inc. is a Vancouver based biotechnology company specializing in biodiagnostics and biotherapies. The company is actively engaged in breast cancer detection and will be developing a "kit" which will allow antibody based detection of mammastatin protein. Full clinical trials for mammastatin are currently taking place at the MD Anderson Center in Houston.

Advanced Optics Electronics Inc. also announced that a firm display delivery date of January has been agreed upon with its customer. This is entirely consistent with the client's planned installation of the display during the first quarter of next year.

The Taiwan earthquake had interrupted all production and communications at Teka Ltd. of Taipei, the supplier of ADOT's large multi-color VGS controller interface. Mr. Kao of Teka has committed to delivery in late November. Clemson University is providing electro ceramic elements which enhance optical clarity and the operational characteristics of the light valve shutter in large-scale displays.

The University of Central Florida is fabricating high voltage field effect transmitters that enhance the brightness of large-scale displays. Final assembly of these components and exhaustive testing will occur at ADOT's Albuquerque facility prior to shipment.

In commenting on these developments, Mr. Robins stated, "While the new display delivery schedule moves anticipated 1999 revenues into next year, our BioModa Inc. transaction represents a significant positive effect on our assets.

"Next year's display revenue should be excellent and we look forward to our investment in WIZARD Technologies Inc. to begin to have a salutary effect on business results."

Advanced Optics Electronics Inc. is a developer of patented electronic display technology, utilizing ADOT's proprietary SLM (Spatial Light Modulator) light valve.

This industry-leading technology can be utilized in many diverse fields including the production of "television quality" advertising billboards, medical testing equipment, military displays, computer monitors and high definition video transmission.

In addition to the core business of ADOT, the company has identified and placed a strategic and high potential return investment in BioModa Inc. BioModa Inc. is a company that holds patents and patents pending domestically and internationally in the technology for early detection of lung cancer. ADOT currently holds approximately 20 percent of BioModa Inc.

This news release contains forward-looking statements with respect to the results of operations and business of the company that involves risk and uncertainties. The company's actual future results could materially differ from those discussed.

Risks and uncertainties of the company will be detailed from time to time in the company's periodic reports to be filed with the Securities and Exchange Commission.

Contact Advanced Optics Electronics Inc. at 505/797-7878 or visit their Web site at www.adot.org.