TO ALL: FACT SHEET ON DIVIDENDS
FONAR Investor News
FONAR CORPORATION
110 Marcus Dr. Melville, New York 11742-4292
Phone: 516/694-2929; Fax: 516/249-3734
FOR RELEASE: Immediately
CONTACT: David Terry
PHONE: (919) 847-9535
FAX: (919) 676-8629
E-MAIL investor@fonar.com; FonarDT@aol.com
FACT SHEET ON DIVIDENDS
May 22, 1998
1) FONAR made an announcement regarding cash dividends on May 11,
1998. The cash dividends to both classes of stock were explained
in the announcement.
2) In addition to the cash dividends, there was also a stock
dividend to those who owned the common Class A stock, NASDAQ/FONR
(Common) on Oct. 20, 1995.
3) Cash dividends will also be paid to the new Common shares.
4) The Company issued Non-voting Preferred Class A stock
(Preferred) to shareholders of record of the Common of Oct. 20,
1995, at a ratio of 1 Preferred given for every 5 shares of
Common. The Preferred stock is not registered by the SEC for
trading at this time and the financial markets do not post a price.
5) The amount of the stock dividend to be distributed may be
approximated by multiplying the number of their Preferred shares
times 0.24 or the number of their Common shares owned on October
20, 1995 times 0.048.
6) On April 13, 1998, the Common stock dividend was sent out by
FONAR's transfer agent American Securities Transfer & Trust, Inc.
(AST) to the Oct. 20, 1995 shareholders of record. Shareholders
either hold their own certificate or it's held for them in `street
name'.
7) If on October 20, 1995, you held your Common shares in your
own certificate then the new stock was sent to your listed
address. If you had any address or name change since you purchased
your Common then AST may not have your correct information and you
may have to contact them at (303) 234-5300.
8) If on October 20, 1995, your Common stock was held in street
name then the newly distributed dividend Common stock will be sent
to your broker or other party in whose name the shares are
registered, such as a clearing house. If the shares are held by a
clearing house, they will assign the shares to the brokers who will
advise their customers. If it doesn't show up on your periodic
statement, call your brokers.
9) It may take several weeks before your broker/security dealer
has information on your stock and cash dividends.
10) The dividend payments result from the successful enforcement
of the Company's patents. Additional dividend payments are
expected as they accrue.
Be sure to visit FONAR's WEB site for Company product and investor
information.
www.fonar.com
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This release may include forward-looking statements from the
company that may or may not materialize. Additional information on
factors that could potentially affect the company's financial
results may be found in the company's filings with the Securities
and Exchange Commission..
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