Warren,
I believe the following definitions for "preferred Stock" should help with an answer of why this hasn't been discussed.
1. Preferred Stock. A type of stock that gets preference over common stock because it stands first in line for the payment of dividends and liquidation in the case of bankruptcy.
2. A security that shows ownership in a corporation and gives the holder a claim, prior to the claim of common stockholders, on earnings and also generally on assets in the event of liquidation.
Look at the releases prior to April. They don't talk about shares or stock owned. They talk about ownership and investment. During April (also note that Goldstar issues its report on the 16th) they switch to "stockholder". Maybe this was in response to investor concerns as to how they were connected. I'm not sure but they also issued another release in October probably to answer the same questions after the Stewart Report.
ZITEL AND MATRIDIGM COMPLETE AGREEMENT
FREMONT, Calif., Nov. 20 /PRNewswire/ -- Zitel Corporation
(Nasdaq: ZITL) announced today that it had completed a $3.35 million
investment and technology agreement with MatriDigm Corporation. Under
the terms of the agreement, Zitel will own a 37.5% equity interest in
MatriDigm and receive exclusive rights to use the underlying technology
to develop new products. The agreement also provides that Zitel will
sub-lease facility space and provide administrative support to
MatriDigm.
MatriDigm will focus its business around COBOL maintenance and
re-engineering. According to a U.S. Department of Commerce study, this
market is expected to grow to $100 billion annually by the end of the
decade. MatriDigm will utilize innovative and patented technology
developed by Franklin C. Chiang.
MatriDigm will begin operations in the Zitel facility effective
December 1, 1995 and it is anticipated that the president and CEO will
be named in mid-January, 1996.
Mr. Chiang commented, "I am delighted to continue my long
relationship with Zitel and believe the company infrastructure and
resources of MatriDigm will help to expedite the development and
application of my technology."
MATRIDIGM NAMES JAMES T. BRADY PRESIDENT AND CHIEF EXECUTIVE OFFICER
FREMONT, Calif., Jan. 15 /PRNewswire/ -- MatriDigm Corporation, a
privately-held company that is partially owned by Zitel Corporation
(Nasdaq: ZITL), announced today that James T. Brady, IEEE fellow, has
been named president and chief executive officer.
Franklin C. Chiang, founder and chief technology officer of
MatriDigm, commented, "I am delighted that Jim has joined MatriDigm.
His broad background in software applications, systems and sales will be
of great value to MatriDigm as we bring our software maintenance
products to market."
Brady added, "The key unresolved problem in commercial computing is
the high cost of maintaining legacy code. This problem will cost U.S.
corporations $100 billion by the year 2000. I believe MatriDigm has
unique and effective technology that will substantially reduce these
costs and I look forward to establishing MatriDigm as the leader in this
market."
ZITEL CONFIRMS MATRIDIGM PROJECT
FREMONT, Calif., April 22 /PRNewswire/ -- Jack King, President and
Chief Executive Officer of Zitel Corporation (Nasdaq: ZITL) today stated
that MatriDigm Corporation, of which Zitel is a 37.5% stockholder, had
authorized Zitel to confirm that MatriDigm is currently utilizing its
technology to develop a state-of-the-art solution for the date problem
popularly called "The Year 2000" or the "Millennium Problem" and that
early simulations have been encouraging. No specific products or
services have yet been announced. Mr. King declined further comment.
ZITEL COMMENTS ON ITS RELATIONSHIP WITH MATRIDIGM
Fremont, CA, October 10, 1996 ~ Zitel Corporation (Nasdaq:Zitl) today commented on its relationship with privately-held MatriDigm Corporation.
According to Jack H. King, President and Chief Executive Officer of Zitel, "As has been previously reported, Zitel was an initial investor in MatriDigm, currently owns approximately 35 percent of the company, provides various administrative services to MatriDigm and has board representation. In addition to our investment stake in the company, we also have a sales representative agreement in place with MatriDigm. Both Zitel and MatriDigm are participating in a trade show this week in Orlando, Florida and in our role as a sales representative, we are introducing interested parties to MatriDigm's services for the "Millennium Problem".
"We do not expect our relationship with MatriDigm to have a material impact on Zitel's fiscal 1996 financial results. Any impact on financial results beyond 1996 is difficult to project at this time. Based on information provided by MatriDigm, general availability of MatriDigm's services is expected to be announced by early 1997," concluded Mr. King.
Jay |
