RCM TECHNOLOGIES ANNOUNCES PROPOSAL FOR SYSTEM '99' LICENSING AGREEMENT FROM SOCIMI, SPA.
RCM TECHNOLOGIES ANNOUNCES PROPOSAL FOR SYSTEM '99' LICENSING AGREEMENT FROM SOCIMI, SPA. PENNSAUKEN, N.J., May 14 /PRNewswire/ -- RCM Technologies, Inc. (NASDAQ: RCMT) today announced that it had received a letter of intent from Societa Costruzioni Industriali Milano (SOCIMI) a large manufacturer of transportation and defense related equipment located in Milan, Italy, for a license to market RCM's Advanced Flue Gas Control process called System "99". The license agreement would cover Western Europe and calls for the advance payment to RCM of a total of $750,000 and the purchase of 800,000 shares of the company's common stock, subject to certain conditions. In addition RCM would receive a royalty of 5 percent on all sales of System "99" made by SOCIMI. The execution of a definitive license agreement is contingent on a review by SOCIMI of RCM's patents, a review of the System "99" technology study currently being made by United Engineers & Constructors and a satisfactory demonstration of the operation of the company's pilot facility in Camden, N.J. Leon Kopyt, president and chief operating officer of RCM Technologies stated that, "This letter of intent is a significant development for RCM in that it provides an opportunity to market System "99" in Western Europe where environmental concerns are becoming increasingly important. In addition, the proposed arrangement will allow RCM to penetrate this market virtually risk-free and with the initial development costs to be borne by SOCIMI. Kopyt added: "SOCIMI is a well financed and respected manufacturer of transportation and defense equipment and is known and respected throughout Western Europe." RCM Technologies, Inc., through its Intertec Design subsidiary, is primarily involved in providing professional engineering and technical services through 12 offices nationwide, to major corporations in aerospace, chemical and industrial manufacturing. RCM is also involved in the development and marketing of its proprietary System "99", which is designed to control hazardous emissions from smoke stacks, a major cause of acid rain. -0- 5/14/92 /CONTACT: Leon Kopyt, president of RCM Technologies, 609-486-1777/ (RCMT) CO: RCM Technologies, Inc.; Societa Costruzioni Industrial Milano ST: New Jersey IN: SU: LIC
SM -- NY103 -- 0388 05/14/92 15:58 EDT
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|Date:||May 14, 1992|
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