TLNT-NEWS
Friday July 2, 8:55 am Eastern Time
Company Press Release
Telenetics Completes Acquisition of GDI
Expands Presence in Traffic Management Industry
LAKE FOREST, Calif.--(BUSINESS WIRE)--July 2, 1999-- Telenetics Corporation (OTC:TLNT - news) announced
today that on June 30, 1999 it completed the acquisition of the assets of Sunnyvale General Devices and Instruments, Inc.
(''GDI''), a leading supplier of communications and network products and services to the Traffic Management Industry.
In announcing the acquisition, Michael Armani, CEO and President of Telenetics, stated, ''This acquisition greatly enhances
our presence in the Traffic and Transportation Management industries. We believe the combination of Telenetics' remote
monitoring and data acquisition products and GDI's fiber optic and microwave solutions, its strong customer base and
extended applications expertise will provide a valuable family of products to address the demands of the rapidly growing
Transportation and Management Industries. The overlapping and complementary products and services of Telenetics and GDI
will now be combined to present state and municipal transportation authorities with a leading edge technology solution to their
automation needs.''
Under the terms of the acquisition, Telenetics will absorb the current operations of Reno, Nevada based GDI, into Telenetics'
Traffic Management Systems. GDI's unaudited revenues for the 12-month period ending June 30, 1999 were approximately
$3.4 million with approximately $350,000 in net income. GDI has over $1.25 million in backlog orders. Frank Ribelin,
Founder and President of GDI, joins Telenetics as General Manger, Traffic Management Systems.
In a separate but related development, Telenetics announced that James G. Gaston, a transportation industry veteran has
joined the Company's management team as General Manager, Transportation to expand Telenetics' presence in the
transportation marketplace. Gaston previously served as Managing Director, Public Sector Practice, at UNISYS Outsourcing;
Director of Administrative Services for the District of Columbia; Director of Plans and Programs for Connecticut's Office of
Information Technology, and Chief Administrative Officer for the Connecticut Department of Transportation.
Working closely with the newly acquired GDI business, Gaston will focus on the expansion of Telenetics' presence in the
transportation marketplace.
Telenetics is a leader in the design and manufacture of proprietary data-communications solutions for utility and industrial
automation applications. Telenetics is a pioneer in providing communications solutions to major manufacturers of meters,
RTU's, controls and measurement devices. Telenetics' data communications products are also used in the Traffic and
Transportation Industries.
Forward Looking Statement Disclosure: Certain of the statements contained in this press release are ''forward-looking
statements'' that involve risks and uncertainties. Actual future results could differ materially from these statements. Factors that
could cause or contribute to such differences include but are not limited to, increased competition within the utility and
industrial automation markets, the inability of the Company to fund its expected continued growth and those discussed in the
Company's Form 10-KSB for the year ended December 31, 1998 and Form 10-QSB for the period ending March 31,
1999.
For additional information, visit www.telenetics.com
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