Here's the press releases:
Thursday January 9 8:29 AM EDT
Proteon, Inc. Announces Formation Of OpenROUTE Networks Inc. To
Focus On Remote Access Routing Strategy And Products
WESTBORO, Mass., Jan. 9 /PRNewswire/ -- In keeping with its strengthened focus on the rapidly growing market for
Internet and Intranet connectivity, Proteon Inc today announced the formation of OpenROUTE(R) Networks Inc. to focus on
the development, marketing and distribution of the company's award-winning GlobeTrotter remote access router products.
The new wholly owned subsidiary, headquartered in Westboro, Mass., was formed to bring together the company's resources
on the GlobeTrotter family of high-performance, low-cost remote access routers and the licensing of its OpenROUTE
internetworking software suite. The name OpenROUTE Networks is intended to reflect the company's specific emphasis in the
remote access market. In conjunction with the establishment of the new subsidiary, the company is also unveiling today a new
corporate logo. The company said it would be using the OpenROUTE Networks/Proteon nameplate during a transition period.
The establishment of OpenROUTE Networks follows the announcement of Proteon's reorganization. Proteon, Inc. will
continue to market a comprehensive line of network adapter cards, hubs, switches, and a switch- router.
"As a result of our reorganization and the establishment of OpenROUTE Networks, we now are positioned to strengthen our
focus on our core remote access competencies with the objective of growing this business," said Daniel J. Capone Jr.,
president and chief executive officer of OpenROUTE Networks/Proteon.
"Our success in this dynamic market has been based on our commitment to be the premier provider of remote access routing
products that excels in price, performance, ease-of-use and maintenance, network security and interoperability. We will
continue to challenge the competition to match OpenROUTE Networks' products on these benchmarks," added Capone.
Multi-Faceted Sales Strategy
OpenROUTE Networks has a multi-faceted sales strategy to meet the growing need to connect hundreds of thousands of
organizations to the Internet in a cost-effective and secure manner. International Data Corporation, a leading market research
firm based in Framingham, Mass., has estimated that there are four million organizations in North America that are still
unconnected to the Internet/Intranet. It is estimated that a similar number exist in international markets.
A major OpenROUTE Networks sales thrust will be to focus on key and emerging product features for Internet Service
Providers (ISPs) and the distributors who service this segment of the market. ISPs such as PSINet, Inc. and distributors such
as Capella have become important OpenROUTE Networks customers.
OpenROUTE Networks also markets products through OEM relationships. Digital Equipment Corporation and Nippon
Telegraph and Telephone's (NTT) Advanced Technology Division currently resell GlobeTrotter remote access routers under
their own brand names. OpenROUTE Networks expects to announce other OEM relationships during 1997. OpenROUTE
Networks Division also sells remote access products through the world's largest distributors such as Tech Data Corp. and
Ingram Micro. In addition, a large base of Value Added Resellers (VARs), including Racal Datacom, actively market
GlobeTrotter products in all domestic and international markets.
OpenROUTE Networks is targeting major sales in markets such as government, health care, education, publishing,
manufacturing, insurance, professional services, libraries and entertainment. "We are committed to connecting a whole new
generation of users," said Capone. "We think of our market as 'Main Street' America. We believe this is a high growth area that
should turn into a major marketplace."
All Types of WAN Connectivity
OpenROUTE Networks' GlobeTrotter remote access routers provide connectivity for all types of wide area network (WAN)
services including leased-line, dial-up, ISDN, and Frame Relay networks. The GlobeTrotter family excels in price/performance
with products that provide full Internet/Intranet connectivity for as low as $795 per unit (US list). GlobeTrotter routers feature
plug-and-play operation, user-friendly graphical interfaces, Internet Protocol (IP) standards-based internetworking and
security, and local and remote manageability. The compact design features a powerful routing engine that helps speed overall
network operation.
All GlobeTrotter routers feature OpenROUTE internetworking software. By using OpenROUTE software, users are assured
that the GlobeTrotter systems will interoperate with a wide range of existing ISP equipment. OpenROUTE, which has been
licensed by IBM, Digital, Motorola and AT&T, has been widely acclaimed as the most open, standards-based internetworking
software in the industry. For more information, contact the OpenROUTE Networks/Proteon, at 508-898-2800, on the World
Wide Web at proteon.com, or by e-mail at pro@proteon.com. SOURCE Proteon, Inc.
Thursday January 9 8:33 AM EDT
Proteon, Inc. And Microvitec Sign Reseller Agreement And Letter Of
Intent For Series Of Additional Agreements
Relationship With New Business Partner Allows Proteon to Serve LAN Marketplace and Better
Focus Corporate Resources on its Growing Line of Remote Access Products
WESTBORO, Mass., Jan. 9 /PRNewswire/ -- Proteon Inc of Westboro, Mass., USA, and Microvitec PLC, Bradford, U.K.,
today jointly announced the signing of a reseller agreement and a letter of intent (subject to contract closure) for an additional
series of agreements that provide for Microvitec to resell Proteon's products and obtain intellectual property rights for local
area networking (LAN) products, manufacturing licenses, and access to other Proteon resources to develop products and
services for the LAN marketplace.
Specific product lines encompassed within the reseller agreement and letter of intent include Proteon's ProNET Token Ring
and Ethernet Network Adapter Cards, Token Ring and Ethernet hubs, CSX Ethernet and Token Ring switches, and the CSX
switching-router. When completed, the agreements will allow Microvitec to utilize Proteon trademarks and other expertise to
participate in servicing the needs of today's LAN marketplace. According to Proteon, the agreements will allow it to better
serve the expanding product requirements of its existing LAN customer base through product enhancements and new product
development.
Daniel J. Capone, Jr., Proteon President and Chief Executive Officer, said, "We are excited to be partnering with Microvitec
PLC. This reseller agreement and letter of intent pave the way for Proteon to enhance its already strong focus on the Remote
Access segment of the networking marketplace while servicing its base of LAN customers in this way. We expect this to be
beneficial to existing and future customers of Proteon and Microvitec," added Capone.
James M. Bailey, Executive Chairman of Microvitec PLC, said his organization looks forward to the Proteon relationship. "The
Proteon name has stood for technical excellence in LAN products for more than 15 years," said Bailey. "As we broaden our
networking business worldwide, we need to ensure that our customers and prospects have access to the best LAN technology.
We believe Proteon's capabilities in product design will play a major role in helping us expand our own product line,
particularly in the fast growing area of switched Ethernet. We will also immediately benefit from reselling Proteon products."
Microvitec PLC is a publicly listed information technology group based in Bradford, U.K., with 1995 revenue of 55 million
pounds ($91 million U.S.). The group has three divisions - Software, Networking and Displays - and operations in the U.K.,
Germany, Canada and USA The Network Division includes companies that supply components to the major LAN equipment
manufacturers, manufacturers of Token Ring, Ethernet and wireless LAN products and a large systems integrator.
Proteon is a leading provider of Remote Access products to connect workgroups and small businesses to the Internet and
Intranet. Its Remote Access products excel in price, performance, ease of use and management, network security and
interoperability. All Proteon Remote Access products feature OpenROUTE(R), the company's interoperable, standards-based
routing software. For more information, contact Proteon at 800-545-7464, on the World Wide Web at
proteon.com, or by e-mail at pro@proteon.com. SOURCE
Proteon, Inc.
Thursday January 9 8:35 AM EDT
Proteon, Inc. Announces Anticipated Fourth Quarter Results
OpenROUTE Networks Inc. Established as Wholly Owned Subsidiary to Focus on Market for
Internet/Intranet Connectivity
WESTBORO, Mass., Jan. 9 /PRNewswire/ -- Proteon Inc today announced anticipated financial results for the fourth quarter
ended Dec. 31, 1996. The company expects that it will report a loss of between $0.45 and $0.55 per share, of which between
$0.29 and $0.37 per share is a restructuring charge which includes reductions in the company's work force and in occupancy
requirements and related assets. The company expects to announce definitive results on Feb. 11.
The restructuring charge reflects the company's decision to create OpenROUTE(R) Networks Inc., a wholly owned subsidiary
of Proteon that will focus on the market for Remote Access Internet/Intranet connectivity (see related press release).
"Although the expected results of the fourth quarter are disappointing, we are excited about the prospects of OpenROUTE
Networks," said Daniel J. Capone, Jr., president and chief executive officer. "The strategies we have announced today are
designed to enable the company to aggressively focus its efforts on the growing Internet/Intranet marketplace. By leveraging
our strengths in OpenROUTE internetworking software and our successful line of GlobeTrotter Remote Access routers we are
concentrating our efforts on growth, gaining more market share, and restoring the company to profitability," added Capone.
About OpenROUTE Networks/Proteon
OpenROUTE Networks' GlobeTrotter remote access routers feature the best price performance in their class. Single unit
prices for Internet Protocol (IP) connectivity start at only $795 per unit, including OpenROUTE Networks' data compression
functionality which provides data throughput performance that is 30 to 70 percent faster than competing products.
GlobeTrotter products also provide a wide range of network security features for Internet, Intranet and corporate applications.
All GlobeTrotters feature OpenROUTE, the company's interoperable, standards-based routing software. This means that
GlobeTrotters are compatible with networking devices from such leading vendors as IBM, Digital and Motorola, who have
licensed OpenROUTE, as well as other vendors' standards-based networking equipment. GlobeTrotter products can be
installed in minutes and are easily maintained and managed from central network sites. For more information, contact
OpenROUTE Networks/Proteon at 800-545-7464, on the World Wide Web at proteon.com, or by e-mail at
pro@proteon.com.
In this announcement, under the provisions of the "safe harbor" section of the Private Securities Litigation Reform Act of 1995,
Proteon makes forward- looking statements that involve a number of risks and uncertainties. Among the factors that could
cause actual future results to differ materially are the level of acceptance of Proteon's products in the marketplace; the
company's ability to generate revenue across all existing product lines; future revenues generated by the licensing of
OpenROUTE software; general competitive pressures in the marketplace; the company's ability to continue to sign agreements
with reseller partners including both Premier Access Partner VARs and Internet Service Providers; and continued overall
growth in the networking industry. Risk factors are listed in the company's annual report, Form 10-K, Form 10-Q and other
filings with the Securities and Exchange Commission. SOURCE Proteon, Inc. |
