LSI wins major LED installation at national convenience store chain

LSI Industries Inc., Cincinnati, has been selected by a major petroleum/convenience store retailer to upgrade and re-image its canopy lighting, site lights, and security lighting on a nationwide basis utilizing its recently introduced solid-state LED Crossover lighting fixtures.

The initial phase of this program will involve the conversion of more than 1,100 individual retail stores. LSI believes this program represents the largest single national conversion of conventional-to-LED based lighting ever undertaken. Revenues for this phase of the project are expected to be between $22 million and $23 million. Additional follow-on conversions for this customer’s stores not included in the initial phase are also possible later in fiscal years 2010 and 2011.

“The interest and momentum in LED-based lighting solutions is growing rapidly,” said Robert Ready, president and CEO. “Evidence of this interest in LEDs is everywhere, from trade shows to customer inquiries, to the popular press. We are very pleased to have been selected to provide our new energy-saving products for the largest-to-date national rollout of solid-state LED lighting. I truly believe this is only the beginning of what will become a dominant trend as the many benefits of LED lighting drive the market.”

In other news at the firm, LSI reached an agreement in principle to acquire a Columbus, Ohio-based business, ADL Technology that designs, engineers and manufactures custom-designed circuit boards, assemblies, and sub-assemblies used in various applications including the control of solid-state LED lighting. The purchase price is expected to be approximately $13 million, a significant portion of which is expected to be shares of LSI’s common stock, plus the assumption of approximately $4 million of long-term debt.