Amnis Systems Announces Second Quarter Revenues Up 121% Year to Year; New Customers Include Yipes and the U.S. Army.

Business Editors/High-Tech Writers

PALO ALTO, Calif.--(BUSINESS WIRE)--Aug. 24, 2001

Amnis Systems Inc. (OTCBB:AMNM) (Frankfurt: ANI), a leading global provider of networked streaming video systems, today announced that its total revenues for the second quarter ending June 30, 2001 were approximately $1.63 million, a 121% increase over the same quarter last year and a 22% increase over the previous quarter ended March 31, 2001, reflecting continued strong revenue growth in all geographical areas.

Net loss for the quarter was $1.04 million, or $0.08 per share. This compares to a net loss of $981,000 ($0.09 per share) for the same quarter in the prior year. Gross margins for the quarter were 48%, up from 46% in the same quarter of the prior year and up from 40% in the prior quarter ending March 2001.

"Amnis was able to deliver solid performance in a very challenging economic environment," stated Michael Liccardo, Chairman, President and CEO of Amnis Systems. "Our customer momentum in both U.S. and overseas markets is validating the long-term growth opportunity in the enterprise markets for our network video solutions. Our experienced management team has done an excellent job in improving our financial performance on both a year-over-year and prior-quarter basis."

Second Quarter Highlights

Editor's choice award

During Q2, Amnis won the Editor's Choice Award by Network Computing magazine for digital video products. After extensive network testing, Amnis received a solid "A" grade for the award significantly surpassing any other competitor. This award further validated Amnis product leadership in broadband network streaming video applications for the enterprise.

Expansion of customer base

In Q2, Amnis added significant new customers in the telecommunications service provider and government markets. Several U.S. Army applications have selected Amnis for high-quality streaming video projects. Amnis also believes the communications service provider market, as represented by Yipes, is a new strategic opportunity for these customers to provide network video application services to corporate customers.

Increased trade show participation

During the second quarter, Amnis participated in numerous trade shows, including NAB2001 and overseas Streaming Media shows. These shows attracted new customer interest in Amnis products and substantially increased Amnis' visibility within the enterprise market.

Expansion of partners

In Q2, Amnis announced a formal partnership with InfoValue Computing, a leading supplier of media storage and server software products. The companies will collaborate to provide integrated broadband streaming video solutions for enterprise applications. This partnership expands the Amnis network of partners to extend our sales and market coverage worldwide.

Multimedia network support

In Q2, Amnis introduced support for the latest multimedia network protocol for its network attached video products. RTP (Real Time Streaming Protocol) has become the industry standard network communication protocol for multimedia applications in IP based networks. Widely supported by network equipment suppliers, Amnis continues its commitment to supporting industry standards to insure interoperability of its network video products within enterprise networks.

"Our pipeline of new business opportunities for the remainder of this year and into 2002 continues to grow and is the largest in our history. We our cautious and optimistic about our long-term future in spite of the tough macro economic environment," said Michael Liccardo. "We continue to receive bridge financing in anticipation of our next round of financing that will provide the growth capital for our expansion."

About Amnis Systems Inc. (formerly Optivision, Inc.)

Amnis Systems Inc. (OTCBB:AMNM) is the dominant market leader in the networked streaming video market. The company develops, manufactures and delivers MPEG network video products for high-quality video creation, management and distribution worldwide both directly and through leading industry partners. Based in Palo Alto, Calif., Amnis products are used in diverse applications such as distance learning, corporate training, video courier services, telemedicine, surveillance and visual collaboration. For more information about Amnis Systems Inc., visit www.amnisinc.com or visit www.optivision.com, or phone [phone].

`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, reliance on key strategic alliances, availability of raw materials, the regulatory environment, fluctuations in operating results and other risks detailed from time to time in the company's filings with the Securities and Exchange Commission. Our forward-looking statements are based on currently available information which management has assessed but which is dynamic and subject to rapid and even abrupt change due to risks and uncertainties that affect our business, including the unpredictability of future revenues and limited visibility into future demand on which to base our forecasts; the current uncertainty in our marketplace which may impact expected demand. Customer selection criteria and sales cycle; our ability to execute on product deliverables and major customer contracts; slower economic growth generally, slower adoption of broadband technology, or cutbacks in information technology spending; and factors beyond our control such as power outages or work stoppages at key customers.