Exhibit 99.1

      Key Technology Appoints Dr. David M. Camp as President and
                        Chief Executive Officer

    WALLA WALLA, Wash.--(BUSINESS WIRE)--Sept. 26, 2006--Key
Technology, Inc. (NASDAQ:KTEC) announced today the appointment of Dr.
David M. Camp as President and Chief Executive Officer.

    Camp brings over 25 years of technology and manufacturing related
experience ranging from small entrepreneurial companies to large
corporations, including process control, capital equipment, and
service businesses. His management roles have encompassed
manufacturing operations, sales and marketing, and general management.
Most recently, he has served as a consultant with The Thomas Group on
an engagement with the U.S. Navy. Previously, Camp was president of
BOC Edwards Kachina, a worldwide supplier of advanced scientific
instrumentation and systems for the semiconductor industry. While at
BOC, Camp established a global service organization to refurbish tools
and improve machine performance for suppliers in the semiconductor
equipment market.

    Previously, Camp was Chairman, President and CEO of International
Isotopes, a contract manufacturing services company for the nuclear
and nuclear medicine industries. He also served as President of the
Kayex Unit of General Signal, a manufacturer of crystal growers for
the semiconductor industry. Earlier in his career he served as
Vice-President and General Manager of Microelectronics Gas Unit of
Millipore Corporation. David began his career managing various
chemical manufacturing operations in General Electric's plastics and
silicones businesses after completing GE's management training
program. He then transitioned into general management as a Business
Manager for Amoco Chemical's High Performance Product group.

    Camp is a graduate of Massachusetts Institute of Technology with
PhD and MS degrees in Chemical Engineering. He earned a BS degree in
Chemical Engineering at the University of South Carolina.

    Tom Madsen, Chairman of the board, stated, "We believe Dave Camp
is the right leader for Key Technology. His drive and passion for bold
goals, his experience in applying technology to market needs, and his
team-oriented leadership style will maximize the effectiveness of our
senior management team and bring focus to a growth strategy built on
solid performance in the base business. His career experiences
demonstrate a proven record of improving business performance and
creating profitable growth. We are excited to find someone of such
high caliber who is ideally qualified to lead the Company in pursuit
of its growth objectives."

    Commenting on his new appointment, Camp said, "I am enthusiastic
about joining Key Technology and helping the Company and the
management team achieve new levels of performance. Key Technology
holds a well-earned position as a technology leader in the market and
I believe there is tremendous potential to further capitalize on the
core business and leverage this position into future growth
opportunities in several strategic markets."

    About Key Technology, Inc.

    Key Technology, Inc., headquartered in Walla Walla, Washington, is
a worldwide leader in the design and manufacture of process automation
systems for the food processing and industrial markets. The Company's
products integrate electro-optical inspection and sorting, specialized
conveying and product preparation equipment, which allows processors
to improve quality, increase yield and reduce cost. Key has
manufacturing facilities in Washington, Oregon, and the Netherlands,
and worldwide sales and service coverage.

    CONTACT: Key Technology, Inc.
             Ron Burgess, Sr. Vice President and Chief Financial
             Officer, 509-529-2161
             www.key.net