Silicon Graphics Awards Development Contract To American Custom
Components
Newly Public, Fast-Growing Hi-Tech Parts Maker Enters Computer Hardware Sector By Adding
Powerhouse Silicon Graphics To Its Roster Of Leading Technology Customers
SANTA ANA, Calif.--(BUSINESS WIRE)--Dec. 10, 1997-- American Custom Components (OTCBB:ACCM - news)
Wednesday announced that it has received a turnkey design and production contract from Silicon Graphics Inc. (NYSE:SGI -
news) for sophisticated interconnect components for a high-end computer hardware system.
These components will be delivered to Solectron Corp. (NYSE:SLR - news) which is assembling the hardware system for
Silicon Graphics.
Specific terms for this initial design and production contract were not disclosed.
Renowned for its relentless innovation in network servers and high-performance computing, Silicon Graphics' systems are used
in a wide range of advanced technology applications -- from providing supercomputing power to the US Army
High-Performance Computing Research Center to creating the dinosaurs used to make ''Jurassic Park.''
''This prestigious assignment is a real door-opener for us in the multi-billion dollar hardware sector where the potential for
rapid-response development work is phenomenal,'' added John Groom, American's global strategist and former senior director
of engineering at Seagate Technology.
''We have steadily expanded our manufacturing capabilities and operating talent to take advantage of the larger contract
opportunities that our expertise makes available to us.''
American has complete engineering and production operations at its Southern California facilities, and assembly plants in St.
Lucia, West Indies, and Kulai, Malaysia.
Founded in 1994 by 30-year industry veteran Tony Walk, American utilizes a unique rapid-response development process
combining patent-winning design engineering with in-house molding and tooling facilities. This turnkey capability has allowed
American to provide original equipment manufacturers (OEMs) with new state-of-the-art custom components in a fraction of
the time required by larger old-line parts suppliers -- resulting in numerous high-margin contracts with leading disk-drive makers
and other cutting-edge technology companies.
Having gained a solid position supplying leading computer peripheral OEMs, American is moving quickly to apply its expertise
to the fast-growing telecommunications sector. Installing a state-of-the-art ultra-miniturization production line at its new
Caribbean plant, American will offer exceptional speed and cost benefits to OEMs in high-growth sub-sectors such as
telephone switching, networks and wireless access to the Internet.
In addition to the large mainstream computer and telecommunications sectors, American's corporate strategy is to target select
emerging technology sectors and develop state-of-the-art custom components for the leading OEMs. In return for developing a
component using its sophisticated interconnect technology, American usually receives proprietary and patent protection and a
sole-source production contract.
American's emerging technology work has already yielded contracts for Datacard Corp.'s new cutting-edge Jigsaw credit
approval system and Tagnology's revolutionary new retail shelf price-tag system.
Included in this release are ''forward-looking statements'' within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the company believes that the
expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations
reflected in such forward-looking statements will prove to have been correct. The company's actual results could differ
materially from those anticipated in the forward-looking statements as a result of certain factors including sales levels,
distribution and competition trends and other market factors. |
