Cray Inc. Receives $8 Million in New Financing.Business Editors/High-Tech Writers SEATTLE--(BUSINESS WIRE)--Nov. 7, 2001 Global supercomputer leader Cray Inc. (Nasdaq:CRAY) today announced the company has raised $8.0 million from institutional investors Institutional Investor A non-bank person or organization that trades securities in large enough share quantities or dollar amounts that they qualify for preferential treatment and lower commissions. in the form of convertible subordinated debentures and common stock purchase warrants. The debentures are convertible into common stock at $2.35 per share. During each three month period beginning February 6, 2002, up to 25% of the principal amount of the debentures are convertible at an alternate conversion price based on a volume weighted average price of the common stock at the time of each conversion. The debentures bear interest at the rate of 5% per year, payable semiannually in stock or cash at the company's option, and mature in three years, if not converted earlier. The company may redeem the debentures at any time at 105% of the principal amount for the first six months and 110% of the principal amount after six months. The warrants cover 316,206 shares of common stock, are exercisable in cash only at $4.42 per share, and expire in three years. The company has agreed to file a registration statement for the resale of the common shares issuable under the debentures and warrants. "We are pleased by the investors' confidence in Cray and its future," said Jim Rottsolk, Chairman. "This financing will provide us with sufficient capital to execute our plans and bridge our operations until we build revenue from shipments of the SV1ex and our other products under development." About Cray Inc. Cray Inc. designs, builds and sells high-performance MPP (Massively Parallel Processing or Massively Parallel Processor) A multiprocessing architecture that uses up to thousands of processors. Some might contend that a computer system with 64 or more CPUs is a massively parallel processor. , vector processor A computer with built-in instructions that perform multiple calculations on vectors (one-dimensional arrays) simultaneously. It is used to solve the same or similar problems as an array processor; however, a vector processor passes a vector to a functional unit, whereas an array processor and general-purpose parallel computer systems. The company has leading edge technology, multiple product platforms, a worldwide installed base of supercomputer systems Three firms have held, simultaneously, the name Supercomputer Systems or Supercomputing Systems. The first was founded by Steve Chen, architect of the Cray X-MP and Cray Y-MP. The second was based in San Diego, California, USA. , major manufacturing and service capabilities and extensive global customer relationships. Cray believes its Multithreaded multithreaded - multithreading Architecture and Cray T3E The Cray T3E was Cray Research's second-generation massively parallel supercomputer architecture, launched in 1995. Like the previous Cray T3D It was a fully distributed memory machine using a 3D torus topology interconnection network. , Cray SuperCluster su·per·clus·ter n. A group of neighboring clusters of galaxies. supercluster A large group of neighboring clusters of galaxies, along with isolated galaxies scattered between them, the entire collection (R) and Cray SV2(TM) systems together represent the future of supercomputing. Go to www.cray.com for more information on the company. Note to Editors: Cray and SuperCluster are registered trademarks, and Cray SV1ex, Cray SV1, Cray SV2 and Cray T3E are trademarks of Cray Inc. All other trademarks are the property of their respective owners. |
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