Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Westell WSTL -- Ignore unavailable to you. Want to Upgrade?

To: Dug who wrote (13538)	10/9/1998 11:40:00 PM
From: Chemsync	Read Replies (2) \| Respond to of 21342

HAYES CORPORATION (The Inventor of the Modem)ANNOUNCES VOLUNTARY BANKRUPTCY FILING --Dug, sorry this isn't the most cheerful news around. I'm sure glad they didn't invent the DSLAM ATLANTA, Oct. 9 /PRNewswire/ -- Hayes Corporation (Nasdaq: HAYZ) and certain of its domestic subsidiaries today announced that they have filed voluntary petitions to reorganize under Chapter 11 of the Bankruptcy Code. Under Chapter 11, Hayes Corporation and the subsidiaries will continue to operate their businesses under Court protection from creditors, while seeking to work out a Plan of Reorganization. The petition was filed in the U.S. Bankruptcy Court for the District of Delaware. The Company also reported that it has secured interim debtor-in-possession (DIP) financing for the immediate use by the Company to continue operations, pay employees, and purchase goods and services going forward, while it is negotiating to secure permanent financing. Ron Howard, Hayes Corporation Vice Chairman and CEO, stated, "We made the decision to seek the protection of the Bankruptcy Court in the belief that this action would provide the most viable means of achieving our key goals of refocusing our business strategy and operations. The Chapter 11 filing will allow the Company to develop a workable reorganization plan, enhance our ability to meet the needs of our marketplace and serve our customers, and permit us to continue with the development of exciting and promising technologies." Mr. Howard added that during the reorganization period, Hayes Corporation would continue to focus on previously announced strategic initiatives, including: -- Resizing the Company's operations to achieve profitability at a sales level sustainable under current market conditions. -- Focusing its resources on expanding Hayes' technology and market position within the broadband, RAS and Voice-over-IP markets. -- Continuing to fully support customers of its analog modem business. Hayes Corporation, the company that invented computer communications via the modem, designs and markets next-revolution ADSL, cable, and award-winning analog and digital modem products, in addition to low-cost, high-performance remote access servers, including Windows NT(R)-based RAS products. Armed with recognized brands and innovative designs, the Company distributes its products worldwide. For more information visit the Hayes Web site at hayes.com . "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This release contains forward-looking statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products and pricing, product demand and market acceptance, new product development, business strategies of the Company or its competitors, reliance on key strategic alliances, availability of raw materials, changes in technology, the regulatory environment, the course of the bankruptcy proceedings, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission. SOURCE Hayes Corporation -0- 10/09/98 /CONTACT: Marcy Palmer, Public Relations Manager of Hayes Corporation, 770-840-9200, ext. 6094, or mpalmer@hayes.com; or Investors: Keil Decker, Morgen-Walke Associates, 212-850-5600, or fkd3@morgenwalke.com/ /Web site: hayes.com (HAYZ) CO: Hayes Corporation ST: Georgia IN: CPR SU: BCY