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Paragon Technologies' Chairman Sham Gad's Annual Letter To Stockholders

The Annual Meeting:  An Important Change

For years, Paragon's annual meeting has been held in December of the subsequent year.  Paragon's fiscal year ends on December 31, so to have the annual meeting twelve months later to discuss the Company's financial results for the prior year is ineffective and does not serve shareholders well.

This will be the final year that we have an annual meeting in December.  The Annual Meeting/Shareholder Presentation will be held on Friday, December 7, 2012 at 9:30 a.m. at the offices of our corporate counsel Thompson Hine LLP, Two Alliance Center, 3560 Lenox Road, Suite 1600, Atlanta, GA 30326Once inside the Alliance Center, please follow the appropriate signage to the annual meeting.

Our desire to hold the meeting in Atlanta was that it would make for easier same day travel for our shareholders and Company associates.

We will start the meeting with a Company presentation to be followed by a Q&A session.

Beginning in 2013, Paragon's Annual Meeting will occur sometime during the mid-point of the year, ideally in May or June.  You will be notified as soon as we have our annual report ready.

Sincerely,Sham GadChairman of the Board October 30, 2012

Cautionary Statement .  Certain statements contained herein are not based on historical fact and are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities and Exchange Commission rules, regulations and releases.  Paragon intends that such forward-looking statements be subject to the safe harbors created hereby.  Among other things, the forward-looking statements regard Paragon's earnings, liquidity, financial condition, review of strategic alternatives, and other matters.  Words or phrases denoting the anticipated results of future events, such as "anticipate," "does not anticipate," "should help to," "believe," "estimate," "is positioned," "expects," "may," "will," "is expected," "should," "continue," and similar expressions that denote uncertainty, are intended to identify such forward-looking statements.  Paragon's actual results, performance, or achievements could differ materially from the results expressed in, or implied by, such "forward-looking statements":  (1) as a result of factors over which Paragon has no control, including the strength of domestic and foreign economies, sales growth, competition, and certain cost increases; and (2) if the factors on which Paragon's conclusions are based do not conform to its expectations.  The forward-looking statements contained in this press release may become outdated over time.  Paragon does not assume any responsibility for updating any forward-looking statements.  Furthermore, achievement of the objectives of the Company is subject to certain risks, including, but not limited to, those risks outlined in Paragon's filings with the OTC Markets Group, including its annual report for the fiscal year ended December 31, 2011, and the most recent quarterly report for the period ended September 30, 2012 as filed with the OTC Markets Group.

This press release and prior releases are available at www.ptgamex.com .

SOURCE Paragon Technologies, Inc.

Copyright 2011 PR Newswire. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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