Printer Friendly

LASERMASTER TECHNOLOGIES TARGETS KEY MARKETS FOR WINDOWS PRINTING; ANNOUNCES STAFF, COST REDUCTIONS TO IMPROVE PROFITABILITY

 MINNEAPOLIS, Dec. 2 ~PRNewswire~ -- LaserMaster Technologies, Inc. (NASDAQ-NMS: LMTS) announced today that while its core plain paper typesetting business is performing above expectations, growth in sales of its WinPrint products is expected to be slower than originally anticipated. In an effort to achieve profitability, the company will focus on the sale of more specialized Windows printing products, including large format printers, high resolution printer enhancements, and network printing software for Windows-based work groups. To best concentrate resources on these specialized markets for Windows printing products, the company is eliminating approximately 80 jobs and reducing operating expenses.
 Mel Masters, chairman and CEO of LaserMaster Technologies, indicated that the reduced expectations for WinPrint products and related cutbacks are a prompt and necessary response to new competitive data. "Until the COMDEX computer dealers' exposition in mid-November," Masters stated, "all indications, including industry reviews, orders by resellers and sales trends, were very positive. On that basis, we invested in additional salespeople dedicated to WinPrint products and the structure to support them. However, because of new, lower pricing for competitive products including the Hewlett Packard LaserJet 4 and DEClaser 1152, we now believe that the sales and marketing investments required to increase market share in the low-end laser printer market are prohibitive. We are thus refocusing our efforts into specialized markets in which our products are more easily distinguishable."
 The company indicated it would not achieve analysts' revenue and earnings estimates of $21 million and $.10 per share for the quarter ending Dec. 31, 1992, or of $75.4 million and $.13 per share for the year ending June 30, 1993. "As a result of the redirection now necessary, we expect to lose money this quarter," said Masters. "At current revenue levels, we expect to be profitable after significant expense reductions take effect during January and February." The company indicated that it is too early to determine exactly what the final effect will be for the fiscal year ended June 30, 1993, although the company indicated revenues are expected to exceed FY 1992 revenue of $59.9 million.
 The company believes that sales of new, more specialized Windows printing products will complement its continuing and successful plain paper typesetter business. According to Masters, "Our new WinPrinter 600XL, WinPrinter360XLS, and WinJet 1200 products target desktop publishing, graphics and corporate publishing markets. This will build Windows product sales through our existing and historically successful direct marketing capability. We believe we can achieve profitability by concentrating our efforts into meeting the growing demands of certain specialty areas and away from commodity printers and the thin margins and mass market advertising associated with the low-end market."
 The company indicated it would be holding a public informational meeting at its offices at 9955 West 69th Street in Eden Prairie, Minn. on Thursday, Dec. 3, at 7:30 a.m.
 LaserMaster Technologies, Inc. designs, manufactures and markets high resolution, high performance printing systems for the microcomputer market. The LaserMaster(TM) product line features the company's proprietary patented TurboRes(R) resolution enhancement technology.
 -0- 12~2~92
 ~NOTE: The information herein was obtained from the management of LaserMaster Technologies, Inc. and other sources the company believes to be reliable. This does not constitute the solicitation of the purchase or sale of securities. Lippert~Heilshorn & Associates, Inc. is employed by the company as its investor relations firm and the firm or its officers may have a position in the securities of this client company.~
 ~CONTACT: Karen Neset, vice president of corporate development for LaserMaster, 612-941-8687; or Andrew S. Jeske of Lippert~Heilshorn & Associates, 212-838-3777, ext. 109, for LaserMaster~
 (LMTS)


CO: LaserMaster Technologies, Inc. ST: Minnesota IN: CPR SU:

KH -- MN002 -- 2737 12~02~92 08:03 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 30, 1992
Words:614
Previous Article:SAFER THAN CREDIT CARD, CHECK-CASHING BY PHONE OPENS NEW HORIZONS FOR TELEPHONE ORDERING
Next Article:DIGIBOARD INTRODUCES 2-PORT, HIGH-SPEED INTELLIGENT BOARD WINDOWS AND LAN USERS CAN NOW ACHIEVE 115KBPS MODEM COMMUNICATIONS
Topics:


Related Articles
LASERMASTER TECHNOLOGIES OBTAINS $10 MILLION COMMERCIAL FINANCING LINE
LASERMASTER TECHNOLOGIES REPORTS FOURTH QUARTER PROFITABILITY ON RECORD NET SALES
LASERMASTER TECHNOLOGIES ANNOUNCES PROFIT FOR YEAR ENDED JUNE 30, 1992
LASERMASTER REPORTS PROFITABLE THIRD QUARTER; BOTTOM LINE IMPROVES $870,000 FROM DECEMBER QUARTER
LASERMASTER TECHNOLOGIES ANNOUNCES FIRST QUARTER PROFITS OF $.07 PER SHARE ON $20.1M SALES
LASERMASTER SECURES IMPROVED REVOLVING CREDIT FACILITY Improved Performance Permits Reduction in Interest Rates and Fees
LASERMASTER TECHNOLOGIES, INC. REPORTS RECORD RESULTS WITH NET SALES UP 55 PERCENT
LASERMASTER TECHNOLOGIES, INC. REPORTS FIRST QUARTER SALES UP 50% AND EARNINGS UP 103% OVER ONE YEAR AGO
LASERMASTER RESUMES PRESSMATE(TM) SHIPMENTS
LaserMaster Predicts Profits in December Quarter

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters