Monday June 23 9:02 AM EDT
Company Press Release
Pacific Aerospace and Electronics announces formation of
Information Technology Group
WENATCHEE, Wash.--(BUSINESS WIRE)--June 23, 1997--Pacific Aerospace & Electronics
Inc. (NASDAQ:PCTH - news) announced this morning that it is forming an Information Technology
Group.
As part of the formation of that group, Pacific Aerospace & Electronics signed letters of intent on
Friday to acquire Brigadoon.com Inc., of Bellevue, Washington and Market Visibility Inc., of New
York City. Pacific Aerospace & Electronics also signed a letter of intent to purchase common stock
to be issued by Jungle Street Inc., of Everett, Washington, in a private placement.
In the private placement, Pacific Aerospace & Electronics would purchase newly issued shares
amounting to 60% of Jungle Street, which owns Televar Northwest Inc. Brigadoon.com and Televar
are both Internet access providers with their headquarters in the Seattle area, and Market Visibility
produces products for the Internet.
Brigadoon.com recently won the Bellevue Chamber of Commerce Emerging Business Award in the
category of innovation. All of the transactions are subject to obtaining board of director approvals
from each company and execution of definitive agreements.
Roger Vallo, a past group president of General Telephone & Electronics Inc., will become the
Information Technology Group president, and will report to Don Wright, president and CEO of
Pacific Aerospace & Electronics. Vallo is currently a director of Pacific Aerospace & Electronics
and the CEO of Jungle Street.
In announcing the formation of the Information Technology group and Vallo's appointment, Wright
said, ``We are excited to add a third operating group to Pacific Aerospace & electronics Inc. to
augment our aerospace and electronics businesses. We are also very pleased that in adding this
group we are able to call upon Roger Vallo, whose background and experience will be instrumental
in managing the group for the company.''
The Information Technology group will initially have about 100 employees and will be headquartered
and operate out of the Brigadoon.com facility in Bellevue, Washington. The combined entities
provide Internet services to over 24,000 subscriber customers in the United States, and are present
in over 250 metropolitan areas across the United States.
Vallo, who will be president of the new group, said, ``We expect that the acquisitions being
announced today will give the group a strong infrastructure, national coverage, and the ability to
provide a broad range of services to business, residential and institutional customers.
``These services are expected to include Internet access; Internet and highly customized web
content; intranet systems (private networks using Internet technology); long distance telephony
services; proprietary software; and a product line of multi-protocol computer network
bridge/routers.''
John Hansen, CEO of Brigadoon.com, said, ``We are excited to be joining the Pacific Aerospace &
Electronics family, and we expect to continue to deliver premium products and quality service to our
growing subscriber base. We believe that this combination will help us to provide even better service
to our educational affiliates, community partners, and business accounts.''
Greg Martin, president of Televar, said, ``We have been looking for a strong and experienced
financial partner to help us extend our rural community Internet access through our network of value
added resellers.
``Pacific Aerospace & Electronics offers the organizational strength that we have been looking for,
and we believe that Pacific Aerospace & Electronics' planned acquisition of Brigadoon.com will give
us added synergism and enhance our ability to accomplish our service delivery and growth plans.''
Don Wright, president of the company, went on to say, ``We are looking forward to integrating the
similar services and functions of these companies and building upon their unique market, product and
managerial strengths.''
Pacific Aerospace & Electronics currently develops, manufactures, markets and sells a broad range
of precision components and electronic assemblies designed to operate with a high degree of
reliability in harsh environments such as the ocean, space and the human body.
Markets served by the company include the aerospace, space, defense, medical, energy,
transportation and general electronics industries. The company's common stock trades on the
Nasdaq National Market System under the symbol ``PCTH,'' and its warrants trade under the
symbol ``PCTHW.''
Contact:
Pacific Aerospace & Electronics
Donald A. Wright or Nick A. Gerde, 509/664-8000
or
Richmont Consulting International
Edda Brown or Sean Collins, 213/658-8088
Does anyone have any idea on whether the new aquisitions will help PCTH? Does this make sense synergistically? The market seems to be aproving, since we are over $4 for the first time in quite a while on good volume.
Robin M. |
