API Technologies Corp. announced that it has been selected by a global Fortune 500 defense contractor to provide high-reliability magnetic components for use in radio communications systems deployed throughout the military and defense markets. The multi-year contract is valued at over $8 million and will be produced at the company's Canadian facility under its Filtran brand. The customer will integrate the company's complex magnetic components into a number of radio communications systems in support of the U.S. military's Joint Tactical Radio System requirements as well as network-centric operations worldwide.

API Technologies Corp. announced that it is closing its nanotechnology research and development subsidiary. Founded in 2000 and acquired by API in 2007, the NanoOpto subsidiary is located in Somerset, New Jersey. The company expects the shut down process to be completed within the next 90 days and will contribute in excess of $4 million to operating earnings. The company will report this segment as discontinued on its financial statements and all prior periods will be revised to reflect a consistent accounting treatment.

API Technologies Corp. reported unaudited consolidated earnings results for the second quarter and six months ended November 30, 2009. For the quarter, the company reported operating loss of $2,235,790 and loss before income taxes of $1,926,550 against operating loss of $2,466,165 and loss before income taxes of $1,907,713 for the same period last year. For the six months, the company reported operating loss of $4,448,479 and loss before income taxes of $2,690,431 against operating loss of $3,393,490 and loss before income taxes of $2,720,430 for the same period last year. Net cash used provided by operating activities was $3,333,262 against cash flows from operating activities of $513,144 last year. Purchase of fixed assets was $128,405 against $218,283 last year.