Spectra Systems Corporation announced that it executed on January 12, 2018, an exclusive, worldwide, licensing agreement for one of its existing products which is in use by 18 central banks through an existing licensee, a major supplier of banknotes worldwide. The licensing agreement will extend the rights to the underlying technology, which has been in use since 2003, in perpetuity and generate $11.2 million in royalty payments over the next five years. The payments will be settled in eleven equally spaced payments. In addition, Spectra also executed a Material Supply Agreement with the same licensee to provide them with covert materials exclusively for a period of ten years at reduced rates relative to the current agreement. The Board anticipates that the supply of material, which does not incorporate minimum quantities, will generate a total revenue of approximately $1.5 million -$2.0 million over the next five years. It is estimated however that the combined licence and supplied material sales will generate a contribution per annum from this product through 2023 which is approximately 2.7 times that of the current agreement, based on the minimum purchase requirements in that agreement and experienced in certain recent years.