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Technology Stocks : Identix (IDNX) -- Ignore unavailable to you. Want to Upgrade?

To: steve who wrote (21651)	12/3/2001 2:07:05 PM
From: steve	Read Replies (1) \| Respond to of 26039

Drexler Technology Ups LaserCard Shipment Estimates for Next Fiscal Year to 8-10 Million Cards and Sets Production Capacity Higher, to 11 Million Cards Business Wire; Dec 3, 2001 MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Dec. 3, 2001--Drexler Technology Corporation (Nasdaq:DRXR) estimates that LaserCard(R) shipments next year probably will be higher than previously estimated, as a result of increased customer interest in multi-biometrics-based, high security identification (ID) cards. The LaserCard shipment estimates are being increased to between 8 million and 10 million cards for the fiscal year that begins April 1, 2002, compared to estimates announced four months ago of 7 million to 9 million cards. The card shipment estimates include both optical memory cards and chip-ready Smart/Optical(TM) cards. Four months ago, on July 26, 2001, the Company issued a news release estimating annual card shipments ranging between 7 million and 9 million cards for its next fiscal year (fiscal 2003) ending March 31, 2003, and annual card shipments of 5 million to 6 million cards for its current fiscal year (fiscal 2002) ending March 31, 2002. Based upon the current estimates of card and read/write drive shipment volumes in both of those years, the Company estimates that total product revenues for fiscal 2003 could be at least 45% greater than total product revenues for fiscal 2002. To prepare for this estimated revenue growth, current expense authorizations have been increased. Due to the estimated LaserCard shipments for fiscal 2003 of up to 10 million cards, the Company anticipates expanding its card production capacity to 11 million cards per year by the April/May 2002 time frame, from an annual production capacity of over 8 million cards today. The Company also plans to purchase additional card production equipment in the future in a series of steps as optical memory card orders expand to justify production capacity increases, to a rate of up to about 25 million cards per year. The Company anticipates that it would fund this card production expansion internally on its cash and cash generated from operations. The Company has no debt and has cash, cash equivalents, and short-term investments that currently total about $12 million. Drexler Technology Corporation (www.lasercard.com) and its wholly owned subsidiary, LaserCard Systems Corporation, are based in Mountain View. Drexler develops and manufactures LaserCard(R) optical memory cards and chip-ready Smart/Optical(TM) cards -- a combination of optical memory card and smart card. LaserCard Systems manufactures optical card read/write drives, develops optical card system software, and markets card-related data systems and peripherals. The Company's markets include ID cards, electronic visas, homeland security, digital governance, child healthcare, vehicle registration, construction licenses, and immigration cards. Forward-Looking Statements: Except for the historical information contained herein, the matters set forth in this press release, including statements as to market segments for the Company's products; estimates of future card shipment volumes and revenue percentages; statements as to current and potential card-production capacities and related funding sources; and the Company's plans, objectives, and anticipated economic performance, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including, but not limited to, the Company's ability to initiate and grow new programs utilizing the Company's card products; potential manufacturing difficulties; general economic trends; the unpredictability of customer demand for products and customer issuance and release of corresponding orders; risks associated with doing business in and with foreign countries; the Company's reliance on VARs and licensees; the U.S. government's right to withhold order releases, reduce the quantities released, and extend delivery dates; the impact of technological advances and competitive products; and other risks detailed from time to time in the SEC reports of Drexler Technology Corporation, including its annual report on Form 10-K for the year ended March 31, 2001. These forward-looking statements speak only as of the date hereof. Drexler Technology disclaims any intention or obligation to update or revise any forward-looking statements. CONTACT: Drexler Technology Corp., Mountain View Steven G. Larson, 650/969-7277 07:02 EST DECEMBER 3, 2001 World Reporter All Material Subject to Copyright globalarchive.ft.com steve