Melbourne Australia: Wavefront imaging company, Iatia (ASX:IAT) announced that it has signed a contract with an international ophthalmology and optometry manufacturer (identity subject to confidentiality agreements) for the production of an autorefractor featuring QPI technology

The contract is excellent news for Iatia and its shareholders, as Iatia stands to make a 15 per cent return on each product sold, which equates to approximately AUD$2,750 return per unit. Approximately 6,000 autorefractors are sold each year worldwide, and it is anticipated that this new product will enjoy a significant portion of the market.

The contract also provides an upfront payment of 50,000 Euros (approximately AUD$83,000) to Iatia and states that the manufacturer will be responsible for all product manufacturing, marketing and distribution and will manage any warranties.

This development follows on from an in principle agreement announced in April 2007 and the subsequent completion of a working prototype.

Mr. Charles Laycock, CEO of Iatia, stated “The contract is testament to our business model and reinforces the success that partnering with Original Equipment Manufacturers delivers.

“We are delighted to have signed the contract for the production of the autorefractor and the progress with current discussions for new products.”

The autorefractor is one of up to five co-development projects currently in discussion with the manufacturer.

The next project focuses on developing a product that assists with the early detection of glaucoma. Glaucoma is now the second most common cause of blindness in the world, affecting an estimated 65 million people. Locally, glaucoma is the second most common cause of registering for the blind pension in Australia.