American Technology Corporation Announces John Zavoli to Become President and COO; Company Also Adds Senior Sales and Marketing Talent, Adjusts Responsibilities of Government and Force Protection Group

Business Wire, Oct 18, 2005

SAN DIEGO -- American Technology Corporation (ATC) (NASDAQ:ATCO), a leading innovator of directed sound reproduction technologies and products, today announced that John Zavoli has accepted the position of president and chief operating officer commencing November 1, 2005. He will succeed Kalani Jones who resigned as president, chief operating officer and director. Mr. Zavoli has been an independent member of ATC's board since June, and has served on the audit and compensation committees.

Mr. Zavoli previously was the president, chief executive officer and chief financial officer of Path 1 Network Technologies Inc. (AMEX:PNO), a San Diego-based provider of IP broadcast video transport and routing systems. Zavoli brings more than 20 years of multinational financial, operating, corporate finance and Big 4 consulting experience to ATC. He has directed corporate financial, treasury, tax, and legal operations for major public and VC-funded corporations, and has held senior financial roles at Digital Equipment Corporation, Madge Networks and Waste Management International. He also is a former partner at PricewaterhouseCoopers LLP, where he advised high tech clients in global operations, taxation, fiscal management, M&A, and other related issues. Zavoli has a Bachelor of Science in Accounting from the University of Illinois, a J.D. from the John Marshall Law School, and a Master of Laws from Boston University School of Law.

Elwood G. Norris, founder and chairman of ATC, said, "I'm very pleased to have John Zavoli lead ATC in the transition from engineering and development to worldwide sales, marketing and licensing of our innovative directed sound technologies and product line. Through his services as a director he has become knowledgeable about our staff, products and operations and can immediately apply his experience in financial and business management to maximize our opportunity as the leader in directed sound solutions. I have been very impressed by John's leadership, experience and vision, and his ability to identify our challenges and provide sound marketing, financial, and administrative advice."

"I am very impressed with ATC's directed sound technologies and excited to join an excellent team that I believe is positioned to achieve market success," said Zavoli. "I am confident my strengths will help manage and administer the company's growth in this new and demanding operating environment while allowing Woody to focus on extending our technologies into even further audio applications with ATC's unparalleled line of directed sound products."

The company also announced the following hires and changes to enhance its sales and marketing leadership and focus its government and force protection group:

--Mike Donath has been hired as senior director of domestic and international government and force protection sales. Donath has more than 30 years of domestic and international experience, mainly with Motorola and General Dynamics, establishing government and military sales channels. Donath will establish and manage ATC's worldwide government and military sales channels with emphasis on developing outside representatives for paramilitary and local government directed sound business.

--A.J. Ballard has been given the new title of senior director of U.S. military sales. Ballard will be focused on generating large LRAD(TM), MRAD(TM) and NeoPlanar(R) sales contracts and business opportunities directly with U.S. military agencies.

--Chris Bursey has been hired as director of licensing and OEM sales. Bursey has formerly held OEM sales positions with Novatel Wireless and Wavecom. Bursey will be primarily focused on OEM sales of ATC's proprietary products and the licensing of the company's extensive patent portfolio. As part of his OEM sales responsibilities, Bursey is tasked with expanding ATC's NeoPlanar component business.

--ATC is also expanding commercial sales channels in Europe and Asia directly and through distributors and manufacturers representatives.

"We welcome John, Mike and Chris to ATC and look forward to working with them in building our domestic and international business through expanding market awareness and increased sales and licensing of our revolutionary directed sound products and technologies throughout the world," Norris concluded.

About American Technology Corporation

American Technology Corporation is Shaping the Future of Sound(R) by developing, manufacturing and globally distributing its proprietary sound technologies and products which include: the award-winning HSS(R) (HyperSonic(R) Sound technology); LRAD(TM) (Long Range Acoustic Device) products family; NeoPlanar(R) products family, Sound Vector(TM) technology, and others. The Company is establishing a strong portfolio of patents, trademarks, and intellectual property including over 320 U.S. and foreign patents and pending patent applications to date. For more information on the company and its technologies and products please visit our web site at www.atcsd.com.