VARL---Is my pick for today $6 5/8!
Vari-L Company Announces $2.2 Million Sole Source Pact with Wireless Access Group of Glenayre Technologies
Delivery of a Minimum 840,000 Units to Commence in First Quarter of 1999
DENVER, Dec. 8 /PRNewswire/ -- Vari-L Company, Inc. (Nasdaq: VARL - news), a leading provider of advanced components for the wireless telecommunications industry, today announced it has entered into a $2.2 million agreement to be the sole source provider of Voltage Controlled Oscillators (VCOs) to Wireless Access Inc., a wholly owned subsidiary of Glenayre Technologies Inc. (Nasdaq: GEMS - news).
Under terms of the agreement, which will significantly increase the utilization of the enhanced manufacturing capacity installed by the Company in 1998, Vari-L will deliver a minimum of 840,000 VCOs beginning in the first quarter of 1999. The VCOs will be incorporated into the Accessmate™, an advanced messaging device manufactured by Wireless Access.
Dave Sherman, president and CEO of Vari-L, said, ''Wireless Access has been a very strong partner in our development efforts and we look forward to a long and mutually-beneficial relationship. We are pleased to have been selected as sole source provider for the state-of-the-art Accessmate program, as we worked hard to develop customized versions of our products that meet Wireless Access' exacting standards for high performance and low power consumption. The agreement affirms Vari-L's ability to provide the subscriber marketplace with superior products at competitive prices.
''Over the past several years, Vari-L has established itself as the world leader in providing communications components for the wireless base station and infrastructure marketplace,'' Sherman added. ''However, our current goal is to establish the Company as a major provider of components for cellular handsets and paging devices, markets which hold great potential for accelerated company growth. The agreement with Wireless Access is a key milestone in our effort to achieve that goal.''
Larry Tailee, vice president of manufacturing for Wireless Access, said, ''Vari-L manufactures high-performance, patented VCOs that consume minimal DC power. Their efficient miniature products help prolong battery life in our Accessmate advanced messaging device. We look forward to continuing our strong relationship with Vari-L.''
About Vari-L Company, Inc.
Through its headquarters in Denver, Vari-L designs, manufactures and markets a wide range of radio and microwave frequency signal source and processing components used in the wireless telecommunications industry for both commercial and military applications. Vari-L serves a diverse customer base comprised of some of the world's leading technology companies, including California Microwave, Ericsson, Harris, Hughes, IBM, Lockheed Martin, Lucent Technologies, Mitsubishi, Motorola, NEC, Nokia, Northrop Grumman, Raytheon, Samsung, Siemens, Stanford Telecom and Wireless Access.
About Wireless Access, Inc.
Wireless Access is a leading developer and marketer of innovative two-way paging devices. The company was recently acquired by Glenayre Technologies, Inc., positioning Glenayre to offer end-to-end two-way paging systems from infrastructure to the latest generation of advanced pagers. Glenayre has products installed in more than 100 countries and reported 1997 net sales in excess of $451 million. Additional information about Glenayre is available on the company's web site at glenayre.com.
Some of the statements contained in this news release are forward-looking statements. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks, including but not limited to the success of the products into which the Company's products are integrated, governmental action relating to wireless communications licensing and regulation, internal projections as to the demand for certain types of technological innovation, competitive products and pricing, the success of new product development efforts, the timely release for production and the delivery of products under existing contracts, future economic conditions generally, as well as other factors.
SOURCE: Vari-L Company, Inc.
Regards,
M$ney
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