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Technology Stocks : Teklogix International Inc. TSE:TKX -- Ignore unavailable to you. Want to Upgrade?

To: buc who wrote (56)	4/15/1998 12:10:00 AM
From: Bron-y-aur	Read Replies (2) \| Respond to of 274

buc came across this - somewhat staledated from last wed. wondering if price volatility related to earnings concerns re writedowns etc. its also been quiet new deals being announced. am holding shares in other small cap company and have been noticing increasing volatility day to day. maybe tkx is just acting par for the course?? PR Newswire, Wednesday, April 08, 1998 at 15:30 Significant Step in Earnings Improvement Program Stock Symbol: TKX Toronto & Montreal Stock Exchange MISSISSAUGA, Ont., April 8 /CNW-PRN/ - As part of its progressive restructuring program to improve long-term performance, Teklogix International Inc. today confirmed the closure of its mobile computer business on March 31, 1998. ''The closure means we have withdrawn from selling into public safety markets, and will no longer manufacture Mobile Computer's products in-house,'' said Rod Coutts, Chairman, President & CEO. ''This is an important step in our commitment to shareholders to significantly reduce our cost base and improve the bottom line for fiscal 1999.'' Coutts emphasized that the acquisition of Mobile Computer's technology in 1996 was essential to the company's product development strategy: ''It enabled Teklogix to merge its radio frequency network with DOS-based computers for local and wide-area data communication in wireless logistics markets. With this work successfully completed, we plan to source Mobile Computer's products and others based on the DOS platform through strategic partnerships.'' Teklogix had previously announced its intention to sell its Tampa, Florida-based, Mobile Computer division by March 31, 1998. Since the company was not able to sell the division as a going concern by that date, it has closed the business. Teklogix will continue to actively market the individual assets of the mobile computer business, including its technology, inventories, and equipment service contracts. The company will incur one-time cash charges of approximately $1 million for employee severance, lease cancellation and other expenses. Any further costs relating to the sale or other disposition of the business assets are expected to be one-time, non-cash charges which will be taken in the fourth quarter of fiscal 1998 against 1998 operating results. The Mobile Computer division accounted for approximately $10 million of the company's $99 million consolidated revenues in the first nine months of fiscal 1998 and the fiscal year as a whole. The revenues for the comparable periods in fiscal 1997 were approximately $3 million and $8 million respectively. Teklogix expects to release audited financial statements for the fourth quarter and year-end 1998 about June 1, and will report separately at that time the financial results of the discontinued operations of the Mobile Computer division.