Paragon Technologies' Ermanco Brand Receives Order From a Recreational Vehicle Manufacturer

    EASTON, Pa., Feb. 6 -- Paragon Technologies, Inc.
(Amex: PTG), a leading deliverer of "smart" material handling solutions,
including systems, technologies, products and services, today announced that
its Ermanco brand received an order from a manufacturer of recreational
vehicles.  This conveyor system, which takes wheel assemblies from the
manufacturing area to the assembly line, will be integrated with a system
being supplied by SI Systems, another Paragon Technologies brand.  Specific
terms of the contract were not disclosed.
    Bill Johnson, President and CEO of Paragon Technologies, states, "This is
exactly the type of synergy that we expect from our two brands.  We believe
that the combination of Ermanco and SI Systems will be a win-win situation for
the customer and Paragon Technologies."

    About Paragon Technologies
    Paragon Technologies is a leader in integrating material handling systems
and creating automated solutions for material flow applications.  Ermanco's
branded conveyor technologies and material handling solutions address the
needs of the distribution, assembly, and manufacturing marketplace.  SI
Systems' branded technologies and material handling solutions address unit
assembly handling and order fulfillment applications.  Paragon Technologies'
Quality Management System at its Easton, Pennsylvania location is certified to
the ISO 9001 standard.  The scope of the Quality Management System governs the
design, manufacture, assembly, installation, and servicing of automated
material handling and distribution systems.  One of the top material handling
systems suppliers worldwide, Paragon's leading clients include the United
States Postal Service, General Motors, IBM, BMG, Daimler Chrysler, Johnson &
Johnson, Ford, Peterbilt, Harley-Davidson, Walgreens, and Clark Equipment.

    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, and certain operational 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 risks and uncertainties associated with Paragon's restructuring,
including the failure to achieve anticipated operating savings, and the
possibility that the restructuring charges will be greater than anticipated;
(2) 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; or (3) if the factors on which Paragon's conclusions
are based do not conform to its expectations.

    This press release and prior releases are available at
http://www.paragontechnologiesinc.com