Updates

Axsys Technologies Receives $7 Million Follow-on Order for Thermal Weapons Sight Lenses

ROCKY HILL, CT - Axsys Technologies, Inc. (NASDAQ:AXYS) today announced that it has been awarded a $7.0 million follow-on order to deliver infrared lenses for the U.S. Army's Thermal Weapon Sight II (TWS) program. This award represents the fourth major release under the original contract announced in 2005, and brings the total order to $25.1 million. Delivery on this contract is expected to continue through mid-2008. "The strength of demand for TWS products has exceeded our most optimistic expectations," said Stephen W. Bershad, Chairman and CEO of Axsys Technologies. "The recent integration of our facilities in Nashua has enabled us to double our infrared lens manufacturing capacity and establish a clear leadership position in night vision technology. We are now very well positioned to meet the rapid growth in demand for thermal imaging products, and we are very excited about the opportunities that we see ahead." About Axsys Axsys Technologies, Inc. is a vertically integrated OEM supplier of precision optical solutions for high technology applications, serving the aerospace, defense, and high performance commercial markets. For more information, visit www.axsys.com. This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. One canentify these forward-looking statements by the use of the words such as "expect," "anticipate," "plan," "may," "will," "estimate" or other similar expressions. Because such statements apply to future events, they are subject to risks and uncertainties that could cause the actual results to differ materially. Important factors, which could cause actual results to differ materially, are described in Axsys' reports on Form 10-K and Form 10-Q on file with the Securities and Exchange Commission, including without limitation: changes in the U.S. federal government spending priorities; the Company's ability to compete in the industries in which it operates, including the introduction of competing products or technologies by other companies and/or pricing pressures from c! ompetitors and /or customers; the potential for the Company' s back log to be reduced or cancelled; the Company's ability to implement its acquisition strategy and integrate its acquired companies successfully, including the acquisition of Cineflex; the Company's ability to manage costs under the Company's fixed-price contracts effectively; and changes in general economic and business conditions. These statements reflect the Company's current beliefs and are based upon information currently available to Axsys. Be advised that developments subsequent to this release are likely to cause these statements to become outdated with the passage of time, and we specifically disclaim any obligation to update these statements.