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CHECKPOINT REPORTS HIGHEST QUARTERLY REVENUES IN HISTORY

 THOROFARE, N.J., Oct. 25 /PRNewswire/ -- Checkpoint Systems, Inc. (NASDAQ: CHEK), today reported results for the third quarter and nine months ended Sept. 26, 1993.
 Third quarter net revenues rose 39 percent to a record $26,604,000 from $19,159,000 for the same period last year. Net earnings for the third quarter were $112,000 or one cent per share, compared to net earnings of $1,272,000 or 13 cents per share in the prior year's third quarter. Third quarter earnings were adversely affected by Checkpoint's July 1993 entry into Western Europe as a direct seller versus its previous distributor relationship.
 For the first nine months of 1993, net revenues were $64,646,000, a 29 percent increase from $49,948,000 for the comparable period of 1992. Net earnings for the first three quarters were $1,503,000 or 14 cents per share, compared with net earnings of $2,365,000 or 24 cents per share for the prior year's first nine months.
 A.E. Wolf, chairman and chief executive officer, commented, "We are pleased to report record revenues for the quarter in which we established a direct presence in Western Europe. A record amount of new customers contributed heavily to sustaining exceptional domestic growth rates. In addition, the acquisitions of our previous distributors in Canada, Argentina and Mexico continue to provide notable incremental revenues."
 Mr. Wolf further stated, "Being marginally profitable in this transition quarter and year provides near term closure to a two-year market share strategy. Our focus now is solely on structuring the operations in a manner that will provide a sustainable stream of earnings."
 Checkpoint Systems, Inc., is the leading developer and manufacturer of advanced microprocessor and radio frequency-based merchandising and security systems. The company bases its Electronic Article Merchandising(R) (EAM(R)) and Electronic Access Control (EAC) systems on Electronic Signatures(R) technology which makes unique radio signals assignable to items or people. Using detectable, paper thin, disposable circuits that can be activated or deactivated without contact, the company has more than 88,000 EAM systems installed worldwide. Checkpoint's Threshold EAC systems employ proximity technology for personnel identification in security sensitive environments to control and monitor access to locations and equipment.
 CHECKPOINT SYSTEMS, INC.
 Financial Highlights
 Operating Results
 (Unaudited, in thousands, except per share data)
 Period ended Quarter Nine Months
 (13 Weeks) (39 Weeks)
 9/26/93 9/27/92 9/26/93 9/27/92
 1993 1992 1993 1992
 Net revenues $26,604 $19,159 $64,646 $49,948
 Cost of revenues 15,219 10,102 37,681 26,894
 Gross profit 11,385 9,057 26,965 23,054
 SG&A expenses 11,092 7,451 28,163 20,521
 Contract settlement inc. --- --- 3,500 ---
 Interest income 51 20 114 105
 Interest expense 199 63 489 240
 Income before income taxes 145 1,563 1,927 2,398
 Income taxes 33 291 424 33
 Net earnings $ 112 $ 1,272 $ 1,503 $ 2,365
 Net earnings per share $ .01 $ .13 $ .14 $ .24
 Weighted average number of
 common and common
 equivalent shares 10,286 9,816 10,386 9,790
 -0- 10/25/93
 /CONTACT: Steven G. Selfridge, senior vice president - operations and chief financial officer of Checkpoint Systems, 800-257-5540, extension 2473; or Andrew Baer or Wendi Kopsick of Kekst and Company, 212-593-2655/
 (CHEK)


CO: Checkpoint Systems, Inc. ST: New Jersey IN: CPR SU: ERN

MP -- NY052 -- 6242 10/25/93 11:02 EDT
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Publication:PR Newswire
Date:Oct 25, 1993
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