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LOJACK LICENSEE SECURES FINANCING TO BRING LOJACK TECHNOLOGY TO THE UNITED KINGDOM; SYSTEM EXPECTED TO BE OPERATIONAL IN 1993

 DEDHAM, Mass., March 25 /PRNewswire/ -- LoJack Corp. (NASDAQ: LOJN, Boston: LOJ.B) announced today that its licensee for the United Kingdom, Stolen Vehicle Recovery System, Ltd. (SVRS) has secured the financing necessary to introduce LoJack's patented stolen vehicle recovery system in the U.K. LoJack signed a license agreement with SVRS in 1992.
 In making the announcement, C. Michael Daley, president, said, "The license agreement provides for payment of a non-refundable license fee of $1 million over two installments in March and July. In addition, LoJack will participate in the U.K. operation on an ongoing basis with the payment of royalties equal to a percentage of SVRS's gross revenues. Under the license agreement, LoJack is required to make no investment.
 "SVRS will market stolen vehicle recovery systems in the U.K. under the name `Tracker.' The financing in the amount of approximately 8,000,000 pounds ($11,500,000) is being made through SVRS's operating company, Tracker Network PLC. LoJack also has been granted an option to purchase up 5 percent of licensee over the next 5 years.
 "SVRS management reports that they have received approval from virtually all police forces in Great Britain tm?plement the stolen vehicle recovery system. Additionally, work has been progressing on implementation of the system with Motorola as well as with National Transcommunications Limited, who will be responsible for the transmission system. SVRS expects that the system could be operational by end of the summer.
 SVRS has reported that several major insurance companies have indicated they would offer insurance discounts of between 7 and 15 percent of the total premiums for vehicles equipped with the stolen vehicle recovery system. In the United States, such discounts apply only to the comprehensive portion of the premium. Indications from some carriers were that they would possibly not grant insurance coverage on vehicles in high-theft risk categories unless such vehicles were equipped with the system."
 According to published reports, in the last five years, vehicle theft in the U.K. rose by 50 percent. More than 626,000 vehicles were reported stolen in 1991, a rise of nearly a fifth over 1990; 225,000 of those stolen vehicles were not recovered. The U.K. leads the European Community in vehicle theft, with owners having a 1-in-32 chance of their vehicles being stolen. This compares to 1-in-117 in the U.S.
 "This agreement represents an important first step in the expansion of LoJack's technology into the nations making up the European Community. We are pleased and impressed with the progress SVRS's management has made in obtaining agreements with law enforcement, implementation of the system, and in informing the insurance industry about the advantages of stolen vehicle recovery. What is particularly noteworthy about this agreement, and the agreement SVRS has with law enforcement, is that this will be the first time LoJack's technology is being implemented on a country-wide basis," Mr. Daley said.
 -0- 3/25/93
 /CONTACT: Joseph F. Abely, senior vice president of LoJack, 617-326-4700, or John Swanson of Swanson Communications, 212-683-4890, for LoJack/
 (LOJN)


CO: LoJack Corp.; Stolen Vehicle Recovery System, Ltd. ST: Massachusetts IN: AUT SU: LIC

LR-PS -- NY009 -- 9390 03/25/93 08:30 EST
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Publication:PR Newswire
Date:Mar 25, 1993
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