SW my pick for this week YARC if it's not taken
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February 04, 2000 17:35
YARC Makes Offer to Acquire Controlling Interest in Autologic
CAMARILLO, Calif., Feb. 4 /PRNewswire/ -- YARC Systems Corporation (OTC Bulletin Board: YARC) today announced that it has initiated discussions with Volt Information Sciences, Inc. (NYSE: VOL) aimed at acquiring a controlling interest in Volt's 59%-owned subsidiary, Autologic Information International, Inc. (Nasdaq: AIII).
For the 12 months ending Oct 31, 1999, Autologic reported revenues of $72.6 million. Autologic's common stock trades on the Nasdaq National Market System.
Rationale for the proposed merger.
YARC has LINUX technology and leading edge products, but an immature sales channel. Autologic possesses an effective worldwide sales and marketing infrastructure.
YARC's Board of Directors has decided that, if YARC is to stay at the forefront of the changes in printing technology, it must create partnerships with established corporations through joint ventures, mergers and acquisitions. YARC needs to quickly acquire infrastructure through merger and acquisition if it is to become a dominant player in the upcoming Internet printing revolution.
Background.
Autologic designs, manufactures, markets, and services, computer-based electronic pre-press systems to the publishing industry worldwide, specializing in the sale of Imagesetters, Platesetters and Computer Servers.
The New York Times, the Los Angeles Times, the San Francisco Examiner, the Chicago Tribune and the Washington Post are just a few of the newspapers that have used equipment supplied by Autologic.
Founded in the early 70's by Mr. Hank Bechard and some colleagues, who at Alphanumeric Inc. had developed the IBM 2680 CRT Printer, Autologic was the pioneer in the application of computerized composition and typesetting to newspapers. There was a time when every major newspaper in the country had an "APS Room" containing the APS line of imagesetters designed by Mr. Bechard's team at Autologic. Over the years it has lost its lion's share of the newspaper market. Mr. Bechard, through his new company, CTI Imaging Systems, has teamed with YARC to integrate YARC's LINUX server and proprietary Postscript software technology into new APS imaging products, which are expected to be unequaled in reliability, maintainability and performance.
YARC could generate additional revenues by immediately making YARC's LINUX based wide-format proofing servers and proofers available to the Autologic sales force. These products will be customized for the deadline sensitive requirements of newspapers.
YARC's LINUX technology would provide Autologic with enhanced capability to provide leadership to the Media segment of the printing industry well into the twenty-first century. YARC's INTERNET connectivity is critical to easing and speeding the flow of data between the many departments of a newspaper. Editorial, layout and photographic operations can all communicate more easily with each other using YARC's LINUX servers. In this manner everything comes together as close to deadline as possible.
Color - the Key to Success.
In the early 90's YARC designed Imagesetter Color Servers for industry giants, such as AGFA Compugraphic and Microsoft Corp. In the latter half of the decade YARC has produced color output using Digital Imaging, both for laser copiers and wide format Piezo printers. YARC's expertise in Color technology can be a crucial component in Autologic's next generation of imagesetter systems, as newspapers now need to maximize their use of color, both in editorial and advertising content.
The Proposals.
YARC has offered Volt shares of YARC common stock in exchange for the shares of Autologic common stock which Volt currently owns. Discussions have been ongoing since YARC's first proposal on December 17th, 1999, to Mr. William Shaw, Chairman and President of Volt. Mr. Shaw is also Chairman and CEO of Autologic. YARC can give no assurance that these initial approaches to Volt will be successful, and YARC cannot predict the course of the discussions at this time.
About YARC ( yarc.com )
YARC has developed proprietary LINUX software that integrates Printing technologies with the Internet and Internet Browsers. YARC's proprietary version of Adobe Systems' "PostScript" Printer Description Language (PDL) is used to transfer images from a computer, over a network such as the Internet, to a printing engine.
A YARC LINUX Color Server, for evaluation by the public, can be found at yarcxp.com
YARC's B2B E-commerce server is at secureshop.yarcrip.com
YARC's 3-D imaging showcase is at 3dsigns.com
As of this date YARC Systems has 20,666,780 shares of common stock issued and outstanding, 24,017,335 on a fully diluted basis. The number of shares in the public float is just over 12 million. YARC Officers and Management own 34% of the issued and outstanding common stock. The above totals include the shares being used to acquire Quality Photographic Imaging. There have been delays in the filing of this merger with the State of California brought about by incorrect processing of the 1987 merger that created QPI.
Contacts:
YARC Investor Relations: Philippe Niemetz, (800) 477-7570, (212) 344-6464, email: wphconsultants@msn.com.
YARC Press Relations: (800) 800-YARC, FAX: (805) 482-5209, email: invest@yarc.com.
DISCLAIMERS:
Forward Looking Statements: Certain of the above statements may be forward looking statements that involve risks and uncertainties. In such instances, actual results could differ materially as a result of a variety of factors, including competitive developments, lack of adequate financing, and other risk factors listed from time to time in the Company's disclosure statements and/or SEC reports. Such statements are protected under the Safe Harbor provisions of the securities regulations.
All trademarks are the property of their respective owners.
SOURCE YARC Systems Corporation
/CONTACT: investor relations, Philippe Niemetz, 800-477-7570 or
212-344-6464, wphconsultants@msn.com, or press relations, 800-800-YARC, or
fax, 805-482-5209, invest@yarc.com, for YARC Systems Corporation/
/Web site: 3dsigns.com
/Web site: secureshop.yarcrip.com
/Web site: yarcxp.com
/Web site: yarc.com
(YARC VOL AIII)
YARC SYSTEMS CORP INC - YARC
Price 1.562
Net Change 0
Volume (000) 74
Day High 1 3/4
Day Low 1.562
VOLT INFO SCIENCES - VOL
Price 24 9/16
Net Change +1/4
Volume (000) 12
Day High 24 3/4
Day Low 24 3/16
AUTOLOGIC INFORMATION INTL - AIII
Price 3 1/16
Net Change 0
Volume (000) 0
Day High 0
Day Low 0
as of
02/05/00 08:35 AM EST
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