Exhibit 99.1

               Key Technology Announces Resignation of
             Ronald W. Burgess as Chief Financial Officer


    WALLA WALLA, Wash.--(BUSINESS WIRE)--Jan. 31, 2007--Key
Technology, Inc. (NASDAQ:KTEC) announced today that Ronald W. Burgess,
the current Senior Vice President and Chief Financial Officer, will
resign from all positions with the Company effective February 23,
2007.

    "We are very appreciative of Ron's financial leadership during the
ten-month period in 2006 that Key operated without a CEO, his success
in recruiting and strengthening Key's financial organization, and his
supportive efforts during my transition into the lead role in the
Company as the new CEO," commented David Camp, President and CEO. "We
wish him every success as he pursues his new endeavors."

    "I believe Key is well positioned for much future success. And I
have very much enjoyed working with and getting to know the talented
people at Key over the past two years," commented Mr. Burgess.
"However, my family and I have decided for personal reasons it is now
time to relocate."

    Mr. Burgess has agreed to continue with Key through February 23 to
assist Key's management with transitional matters prior to his
departure. The Company will immediately commence a search for a new
CFO.

    About Key Technology

    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 allow processors to
improve quality, increase yield and reduce cost. Key has manufacturing
facilities in Washington, Oregon, the Netherlands, and a small
facility in Australia, and worldwide sales and service coverage.

    This release contains forward-looking statements within the
meaning of the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. These statements are based on
management's current expectations or beliefs and are subject to a
number of factors and uncertainties that could cause actual results to
differ materially from those described in the forward-looking
statements. The forward-looking statements in this release address
future financial and operating results.

    The following factors, among others, could cause actual results to
differ materially from those described in the forward-looking
statements:

    -- adverse economic conditions, particularly in the food
processing industry, either globally or regionally, may adversely
affect the Company's revenues;

    -- competition and advances in technology may adversely affect
sales and prices;

    -- the Company's new products may not compete successfully in
either existing or new markets;

    -- the limited availability and possible cost fluctuations of
materials used in the Company's products could adversely affect the
Company's gross profits;

    -- the inability to protect its intellectual property, especially
as the Company expands geographically, may adversely affect the
Company's competitive advantage.

    For a detailed discussion of these and other cautionary
statements, please refer to the Company's filings with the Securities
and Exchange Commission, particularly Item 1A, "Risk Factors," to the
Company's Annual Report on Form 10-K for the fiscal year ended
September 30, 2006.

   Note: News releases and other information on Key Technology, Inc.
            can be accessed at www.key.net on the Internet.


    CONTACT: Key Technology, Inc.
             David Camp, President and Chief Executive Officer
             509-529-2161