Bogen Communications International Enters Pro Audio Arena With Acquisition of Apogee Sound.

RAMSEY, N.J.--(BUSINESS WIRE)--Aug. 30, 1999--

Bogen Communications International, Inc., (NASDAQ: BOGN) ("Bogen") today announced the acquisition of substantially all of the assets of Apogee Sound, Inc. ("Apogee"), a privately owned company headquartered in Petaluma, California. Consideration for the acquisition, made through a newly formed Bogen subsidiary, Apogee Sound International, LLC ("ASI"), was the assumption of approximately $2 million of liabilities.

Founded in 1985, Apogee, a highly respected designer, producer and marketer of professional quality audio products, generated in 1998 revenues of approximately $7 million. Apogee speakers and amplifiers have a long history of use in many high profile sites, such as the auditoriums and convention centers hosting the Academy Awards, Grammy Awards and the Democratic and Republican National Conventions, to name just a few. Avery Fisher Hall at Lincoln Center, the home of the New York Philharmonic Orchestra, and Dorothy Chandler Pavilion, the home of the Los Angeles Philharmonic, rely upon Apogee equipment, as do many other concert halls and national performing arts centers throughout the world. Apogee also manufactures related electronics, such as equalizers, digital sound processors and measurement equipment for use in professional audio venues.

In a joint statement by Jonathan Guss, CEO and Michael P. Fleischer, President, the Bogen executives stated: "The addition of Apogee marks our entree into the high-end pro audio segment with a very well-respected and recognized brand. It enlarges Bogen's audio business approximately 67% and complements our leadership in commercial sound's mid-pro arena, where we have been a producer and supplier of equipment for background and foreground music for over six decades. We plan to build on the Apogee name by extending its brand franchise into additional product areas. In pursuing these opportunities, we expect to create additional value through operational synergies including improvements in purchasing, distribution, and manufacturing. We expect the acquisition to be accretive to earnings for the first year of operation under Bogen's ownership."

Apogee founder, Ken DeLoria, who will be Apogee Sound International's President, added: "Apogee has always been a gold standard in terms of quality and innovation. As a subsidiary of Bogen, ASI will now have the resources to bring our customer commitment to a new level, and achieve rapid growth. I, along with the rest of ASI's management, am extremely excited about these opportunities, and look forward to using our strength in advanced sound technology to reach a wider customer base with new products and product enhancements."

Bogen Communications International, Inc., based in Ramsey, New Jersey and Munich, Germany, develops, manufactures, and markets telecommunications peripherals, sound processing equipment, and unified messaging products and services. Bogen's products are sold to commercial, industrial, professional and institutional customers worldwide.

Except for historical information contained herein, the statements made in this release constitute forward-looking statements that involve certain risks and uncertainties. Certain factors may cause actual results to differ materially from those contained in the forward-looking statements, including general market conditions, Bogen's ability to fully integrate and develop ASI's business, new technological developments and Bogen's ability to develop or acquire new or improved products and/or modify and upgrade its existing products and other risks detailed from time to time in Bogen's reports on file at the Securities and Exchange Commission, including Bogen's Form 10-K for the fiscal year ended December 31, 1998 and Bogen's Form 10-Q for the fiscal quarters ended March 31, 1999 and June 30, 1999. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.