Kopin Completes Strategic Agreement with Goertek


Company Receives $24.6 Million for 10.1% Ownership

Kopin Corporation (NASDAQ:KOPN) (“Kopin”) today announced that it has
closed its previously announced transaction with Goertek Inc.
(“Goertek”), receiving approximately $24.6 Million dollars in gross
proceeds from Goertek in exchange for issuing approximately 7.6 million
shares of Kopin stock. Goertek is a leading innovative global technology
company headquartered in Weifang China that designs and manufactures a
range of consumer electronics products for brand customers including
wearables, virtual and augmented reality (VR and AR) headsets, and audio

Under the terms of the stock sale agreement, Kopin sold 7,589,000 shares
of Kopin’s common stock to Goertek for US $24,664,250 ($3.25 per share).
This represents approximately 10.1% of Kopin’s total outstanding shares
of common stock. In addition, as previously
disclosed, Kopin and Goertek have entered into agreements to jointly
develop and commercialize a range of technologies and wearable products.

“We are pleased to have Goertek as a large shareholder of Kopin since
the interests and core capabilities of our two companies are very
complimentary,” said Dr. John C.C. Fan, Kopin’s President and CEO. “We
have been working closely together, leveraging Goertek’s leading product
development and manufacturing capabilities to commercialize our
high-performance technologies for VR, AR and audio products.”

“This agreement further aligns the interests of both Goertek and Kopin,”
said Long Jiang, Goertek’s CEO. “We will utilize Kopin’s industry
leading technologies to create a range of wearable products with the
most advanced features for our customers. We are excited to see the
initial products utilizing Kopin key components hit the market later
this year.”

About Goertek

Goertek Inc. was established in June 2001, and listed on the Shenzhen
Stock Exchange in May, 2008. As a leading innovative high-tech company,
Goertek’s main focuses consist of R&D, production and sales of
electro-acoustic components, optical components, and smart hardware
system products. Goertek provides vertically integrated total solutions
and services to globally-renowned consumer electronics
companies. Goertek is one of the main high-end VR/AR ODM solutions
providers in the world.

Since Goertek’s establishment in 2001, Goertek has high performance with
a consistent and rapid growth rate. By the end of 2015 sales revenue had
exceeded over 13.7 billion RMB (total assets 19.2 billion RMB). By
market share, Goertek is a top ranked company in the miniature
microphone. For more information, please visit Goertek’s website at www.goertek.com.

About Kopin

Kopin Corporation is a leading developer and provider of innovative
wearable technologies and solutions for integration into head-worn
computing and display systems to military, industrial and consumer
customers. Kopin’s technology portfolio includes ultra-small LED and
OLED LightningTM displays, optics, speech enhancement
technology, system and hands-free control software, low-power ASICs, and
ergonomically designed smart headset reference systems. Kopin is the
world’s leader in microdisplays. Over the years, Kopin has shipped over
30 million LCD microdisplays for consumer applications. Kopin’s
proprietary components and technology are protected by more than 300
global patents and patents pending. For more information, please visit
Kopin’s website at www.kopin.com.

Kopin and Lightning OLED are trademarks of Kopin Corporation.

Forward-Looking Statements

Statements in this press release may be considered “forward-looking”
statements under the “Safe Harbor” provisions of the Private Securities
Litigation Reform Act of 1995. These include, without limitation,
statements relating to our statement that Kopin and Goertek will jointly
develop and commercialize a range of technologies and wearable products
pursuant to agreements entered into between Kopin and Goertek; our
expectation that our leveraging Goertek’s leading product development
and manufacturing capabilities
will enable us to commercialize
our high-performance technologies for VR, AR and audio products;
Goertek will utilize Kopin’s industry leading technologies to create a
range of wearable products with the most advanced features for Goertek’s
customers; and our expectation that the initial products of the joint
development utilizing Kopin key components will hit the market later
this year.
These statements involve a number of risks and
uncertainties that could cause actual results to differ materially from
those expressed in the forward-looking statements. These risks and
uncertainties include, but are not limited to, the following: Kopin
and Goertek may not develop or commercialize any technology or products;
products may not be introduced in late 2017 or ever; Goertek may not
incorporate Kopin’s components in the product designs it provides to its
partners and customers; Kopin and Goertek may not develop system
products for consumer mobile AR and VR markets; the wearable market may
not grow fast;
 it may take longer than Kopin estimates to
develop products; Kopin’s products
 may not be accepted by
the market place; there may be issues that prevent the adoption or
further development of Kopin’s wearable computing technologies;
marketing or other issues may prevent either the adoption or acceptance
of products; Kopin might be adversely affected by competitive products
and pricing; new product initiatives and other research and development
efforts may be unsuccessful; Kopin could experience the loss of
significant customers; costs to produce Kopin’s products might increase
significantly, or yields could
 decline; Kopin’s customers
might be unable to ramp production volumes of their products,
manufacturing delays, technical issues, economic conditions or external
factors may prevent Kopin from achieving its goals; and other risk
factors and cautionary statements listed in Kopin’s periodic reports and
registration statements filed with the Securities and Exchange
Commission, including the Annual Report on Form 10-K for the 12 months
ended December 31, 2016, and Kopin’s subsequent filings with
the Securities and Exchange Commission. You should not place undue
reliance on any forward-looking statements, which are based only on
information currently available to Kopin and only as of the date on
which they are made. Kopin undertakes no obligation to update any of
these forward-looking statements to reflect events or circumstances
occurring after the date of this release.

For Product Information:
Kopin Corporation
Paul Baker,
VP Business Development
(HK) Limited
Kenny Cheung, 852-2607-4151
Investor Relations
Kopin Corporation
Richard Sneider, 508-870-5959
and Chief Financial Officer
Street Partners
Joann Horne, 415-445-3233