Carver Corporation Announces Bob Carver Appointment as Interim CEO and Appointment of Fred Grund as New COO.

WOODINVILLE, Wash.--(BUSINESS WIRE)--Sept. 22, 1998--Carver Corporation announced today that Bob Carver has agreed to act as the Company's Interim CEO pending the finalization of the definitive agreement between the Company and Bob Carver's privately held Sunfire Corporation by which Sunfire will direct the design, manufacture, and marketing of audio products on behalf of Carver Corporation, utilizing certain of Bob Carver's proprietary and most recently patented audio technologies.

The Company also announced the appointment of Fred Grund as Chief Operating Officer. Mr. Grund has extensive experience in the consumer audio products industry. Most recently, Mr. Grund was CFO of Virgin Interactive Entertainment, a division of Viacom Corporation. Stationed in London, England, Mr. Grund was in charge of Virgin's overseas operations. From 1992 to 1995, Mr. Grund served as the CFO and COO of the Harman Consumer Group, a $500 million division of Harman International, Inc. (NYSE:HAR). Prior to 1992, he was CFO and COO of JBL International, Inc., a Harmon International company. Raised and educated in Chicago, Illinois, Mr. Grund graduated from Roosevelt University.

Commenting on the appointment of Mr. Grund, Bob Carver said, "We are so pleased to have Fred Grund join our team. He brings the right mix of experience and business savvy to help us rebuild this company and add value to our stockholders."

For almost 20 years, Carver Corporation has been one of the most recognized brands in consumer audio. The Company designs, develops, manufactures, and markets hi-fidelity audio and home theater products.