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To: Steven M. Kaplan who wrote (18053)10/18/1999 10:13:00 AM
From: Steven M. Kaplan  Read Replies (1) | Respond to of 18263
 
Company Press Release
Monday October 18, 9:05 am Eastern Time

SOURCE: Datametrics Systems Corporation

Datametrics Systems Launches New Integrated ViewPoint Software Version for Unisys ClearPath
ViewPoint Performance Management Software First With Seamless Support For All Components of ClearPath IX, NX and LX

FAIRFAX, Va., Oct. 18 /PRNewswire/ -- Datametrics© Systems Corporation, a subsidiary of Zitel Corporation (Nasdaq: ZITL - news), today announced new releases of their flagship E-Business performance management solution, ViewPoint©, for Unisys ClearPath IX, NX, and LX systems. The ViewPoint product provides a single point of monitoring, analysis, and troubleshooting for a multitude of application workloads, servers, databases, and storage.

The new releases address the growing need for in-depth performance information required for complete performance management in Unisys environments. 2200 and ClearPath IX customers, for example, now have support for Audit trail Sentinel blocks, UDS 8R1 and later, SIP Internal Performance Monitor Statistics, Total instruction execution time, average instruction execution time, MIP rate calculation, Telcon 10R3, connections through firewalls, CMS 1100 performance (8R1 and later), XPC statistics, CMS 1100 Performance and more.

A Series and ClearPath NX and LX customers now have ViewPoint product support for all ClearPath NX5000 and LX5000 series systems, a new TCP/IP module which automatically discovers and tracks TCP/IP performance for all LANS connected to the ClearPath/A Series host system, event tracking for standard system events and user defined events, response time analysis for all transactions in the COMS TTrail, statistics for all aspects of AUDIT file activity, host actions when a threshold violation occurs, system uptime statistics, and more.

``Our commitment to the Unisys platforms and our customers is solid. These new capabilities, combined with our support for all major ClearPath system components -- 2200, A Series, Windows NT, SCO UnixWare, and our newly announced support for EMC Symmetrix is clear proof of that commitment,' said Ed Bursk, Vice President of Worldwide Marketing for the company. ``As companies expand their Unisys platforms to support E-Business, end-to-end performance of the entire infrastructure is vital. Datametrics Systems provides the only complete performance management solution for ClearPath today, giving IT managers the ability to automatically determine cause and effect in all aspects of their E-Business system: network, server, database, application and storage components -- all in one product, all in one place.'

Pricing and Availability

The new ViewPoint software for Unisys platforms is available now. Pricing for the ViewPoint product in the Unisys environment starts at $3,500, depending on the system configuration.

About Datametrics Systems Corporation

Make your IT as responsive as a dial tone with Datametrics Systems -- software and services that help you maximize the performance of E-Business solutions. The ViewPoint software proactively analyzes, correlates, and reports the performance of system, database, storage, Internet, and e-mail servers simultaneously from one console. It also provides trend analysis, simulation modeling, and ``What if' analysis of business workloads -- anticipating problems before they occur. The VisualRoute(TM) tools automatically analyze Internet connectivity and performance problems. Datametrics Systems has been delivering performance solutions to customers in over 25 countries since 1980 and is a wholly owned subsidiary of Zitel Corporation. Visit The E-Business Performance Experts(TM) at www.datametrics.com.

This press release may contain projections and other forward-looking statements regarding future events or the future financial performance. Such statements are only predictions and actual events or results may differ materially. Refer to the documents Zitel Corporation files from time to time with the Securities and Exchange Commission. These documents contain and identify important factors that could cause the actual results to differ materially from those contained in the projections or forward-looking statements in this press release.

NOTE: Datametrics and ViewPoint are registered trademarks of DSC. VisualRoute and The E-Business Performance Experts are trademarks of DSC. All other product names and brand names are trademarks or registered trademarks of their respective holders.

SOURCE: Datametrics Systems Corporation



To: Steven M. Kaplan who wrote (18053)10/18/1999 12:56:00 PM
From: Daniel Chisholm  Read Replies (2) | Respond to of 18263
 
...now totally focused on Datametrics. The question remains: Can this new management team succeed where the old team failed miserably?

And if that question is answered in the affirmative, there is also the question: What is a fair price to pay for a successful Datametrics?

If I take their 30 June 99 financial statements and do the following things:
* add 2.94 million shares, for $5M convertible @ $1.70, and then move the convertible debt into "equity"
* subtract the $4.906M "other assets" - it's mainly capitalized interest, goodwill and purchased technology (i.e., all intangibles of no real value)
* subtract another $1M as an estimate of their quarterly burn, assuming they've been able to scale the burn down.

...I then get $4.325M tangible assets, and about $24.88M shares. This gives a diluted tangible book value of 17 cents per share.

As an operating entity, let's annualize Matridigm's $6.3M sales, giving $25M. I would expect that that would be worth at most a PSR of 1, which would be about $1 per share (essentially where it is today).

So, my guess is if they don't go bust (and I'd give them better than even odds of avoiding BK for a couple of years anyhow), I'd expect a fair value of somewhere between 15 cents and one dollar.

- Daniel