Action brought to halt Annual General Meeting scheduled for Dec. 20, 1996.HERZLIYA PITUACH, Israel--( BUSINESS WIRE)--Dec. 16, 1996-- -- Company will vigorously defend this action -- Rada Electronic Industries Ltd. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : RADIF) today announced that a shareholder has initiated an action in Israel to enjoin To direct, require, command, or admonish. Enjoin connotes a degree of urgency, as when a court enjoins one party in a lawsuit by ordering the person to do, or refrain from doing, something to prevent permanent loss to the other party or parties. the Company's Annual General Meeting of Shareholders scheduled for December 20, 1996 from taking place. The shareholder has objected to the meeting going forward without it being able to vote. A hearing on this matter is scheduled in Tel Aviv Tel Aviv (tĕl əvēv`), city (1994 pop. 355,200), W central Israel, on the Mediterranean Sea. Oficially named Tel Aviv–Jaffa, it is Israel's commercial, financial, communications, and cultural center and the core of its largest on Wednesday. The record date, November 21, 1996, as well as the date for convening con·vene v. con·vened, con·ven·ing, con·venes v.intr. To come together usually for an official or public purpose; assemble formally. v.tr. 1. the Annual General Meeting, were established by the Company on October 22, 1996, long before it was notified that this shareholder, Imaginative Business and Marketing, Ltd. ("IBML IBML Imaging Business Machines, LLC (Birmingham, AL) IBML Ion-Beam Materials Laboratory "), was going to convert a note into ordinary shares. IBML, a Gibraltar corporation, acquired 1,146,758 Ordinary Shares, approximately 15% of the Company's outstanding shares, when it exercised the conversion provisions of a convertible note on November 27, 1996. After notifying the Company of its exercise, IBML has made various demands on the Company, including Board control, all of which demands are without any grounds. The Board of Directors believes that the actions taken by IBML are without any merit. The Board is convinced that its responsibility to the shareholders of the Company, its employees and customers requires it to reject this action. To date, IBML has not filed a Schedule 13 D with the Company or the U.S. Securities and Exchange Commission providing pertinent data about itself. The Company intends to investigate the background of IBML, its officers, directors and beneficial shareholders. A representative of IBML has asked management to call for an Extraordinary Meeting of Shareholders to be held in early January 1997 for the purpose of amending the provisions in the Company's Articles of Association providing for the election of directors on a staggered basis. Rada Electronic Industries Ltd. is incorporated in Israel and has subsidiaries in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and Europe. The Company is engaged in the development and marketing of advanced electronic equipment for the aerospace and commercial aviation markets. CONTACT: Rada Electronic Industries Mordechai Perera, 011-972-9-954-2182 or The Anne McBride Anne C. McBride (born Nova Scotia) was a frequent candidate in Canadian federal and provincial elections and by-elections in the 1970s, 1980s and 1990s. McBride was an ordained minister in the Assemblies of God, a Pentecostal Christian denomination. Company Leslie Creutzfeldt Wolf, 212/752-0504 |
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