To: Galirayo who wrote (16983 ) 3/29/2006 9:18:50 PM From: ACAN Respond to of 23958 Ray; [EZEN] Source: Ezenia! Inc. EZENIA! INC. Announces 2005 Fourth Quarter and Annual Financial Results Wednesday March 29, 3:52 pm ET NASHUA, N.H., March 29 /PRNewswire-FirstCall/ -- Ezenia! Inc. (OTC Bulletin Board: EZEN.OB - News), a leading market provider of real-time collaboration solutions for corporate and government networks and eBusiness, today reported its financial results for the fourth quarter and fiscal year ended December 31, 2005. The Company generated revenue of approximately $3.5 million for the fourth quarter of 2005, a 25.1% increase from approximately $2.8 million for the fourth quarter of 2004. For the year ended December 31, 2005, revenue was approximately $13.2 million, a 26.8% increase from approximately $10.4 million for the year ended December 31, 2004. Excluding revenue related to legacy video-conferencing products and services, revenue from the InfoWorkSpace product line increased 29.9% for the year ended December 31, 2005 as compared to the year ended December 31, 2004. Income from operations for the quarter ended December 31, 2005 was approximately $972 thousand, or $0.07 per share, a 64.2% increase from approximately $592 thousand, or $0.04 per share, for the fourth quarter of 2004. For the year, income from operations grew by 94.3% to approximately $3.5 million, or $0.24 per share, from approximately $1.8 million, or $0.13 per share, for the year ended December 31. Net income for the fourth quarter of 2005, which included an income tax benefit of approximately $91 thousand relating to a release of the valuation allowance associated with deferred tax assets, was approximately $1.1 million, or $0.08 per share, as compared to net income of approximately $1.2 million, or $0.09, for the fourth quarter of 2004, which included an income tax benefit of approximately $608 thousand, or $0.04 per share, related to the carry-back of net operating losses incurred in 2001 as a result of the Federal Job Creation and Worker Assistance Act of 2002. Net income for the year ended December 31, 2005 was approximately $3.8 million, or $0.26 per share, compared to net income for the year ended December 31, 2004 of approximately $3.2 million, or $0.23 per share. The net income for the year 2004 included two income tax benefits totaling more than $1.4 million, the first of $608 thousand as mentioned previously and the second of $819 thousand in the second quarter of 2004 relating to the Company's settlement with the Israeli Tax Commission. ---------------------------------------------------------- This is an excellent report. Should move stock up to a different range. Allan