Printer Friendly

SYM-TEK SYSTEMS INC. REPORTS AMENDED LOSS FOR YEAR ENDED MARCH 31, 1993, STATUS OF A LAWSUIT AND EXTENSION OF BANK FINANCING

 SAN DIEGO, Nov. 8 /PRNewswire/ -- Sym-Tek Systems Inc. (NASDAQ: SYMKE) today announced that it has filed a Form 10K/A which amended a previously filed Form 10K for the year ended March 31, 1993. The amended return increased the previously reported loss for the year ended March 31, 1993, of $6,557,000 ($4.24 per share) to $8,037,000 ($5.20 per share). Revenue for the year ended March 31, 1993, was reduced to $26,579,000 from a previously reported $27,055,000. The amended filing also included audited financial statements.
 The increase in the loss was attributable to increasing loss reserves related to the disposition of the initial VersaPak product. The company has subsequently improved the VersaPak product and it is now being successfully shipped. The decision to restate earnings was also attributable to an increase in inventory reserves related to excess material for older product lines and reversal of several sales due to subsequent returns of the product.
 Sym-Tek also announced it is continuing the search for alternative sources of financing to alleviate its severe liquidity problems. The company's revolving credit facility with its existing lender has been extended to Dec. 31, 1993. The amount of the facility remained at $2,500,000. As previously announced in August 1993, the company is in discussions with Aseco Corp. whereby Aseco would acquire Sym-Tek in a merger in which Aseco would exchange its stock for the outstanding stock of Sym-Tek. The two companies are currently working under a memorandum of understanding. Definitive agreements have not yet been agreed to.
 The company also announced that one of its former sales representatives had filed an action to recover commission payments and alleged damages resulting from their being terminated as a representative. Sym-Tek recently learned that a judgment had been entered in the action for an amount substantially in excess of the amount sought in the original complaint. On Friday, Nov. 5, 1993, the judgment was set aside at a hearing in the District Court in Massachusetts. A subsequent hearing to determine damages is set for January 1994. Sym-Tek's management estimates that approximately $215,000 is due and owing to the former sales representative.
 Sym-Tek Systems Inc. manufactures and sells electro-mechanical handlers that heat or cool integrated circuits to precise temperatures, place them into position for testing and sort them based on test results. The market for the company's products is driven by worldwide capacity increases for semiconductors, as well as the continually changing packages that house the integrated circuits.
 -0- 11/8/93
 /CONTACT: Ray Twigg, president, or Lowell W. Giffhorn, VP-finance, of Sym-Tek Systems, 619-674-6800; or Tom Gable or Kris Lichter of The Gable Group, 619-234-1300/
 (SYMKE)


CO: Sym-Tek Systems Inc. ST: California IN: CPR SU: ERN

MF-JL -- SD006 -- 1880 11/08/93 15:37 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 8, 1993
Words:468
Previous Article:SEARS FUNTRONICS DEPARTMENTS TO FEATURE EXCLUSIVE "SONIC SPINBALL" SNEAK PREVIEW NOV. 13 -- CUSTOMERS CAN TRY HOT NEW GAME
Next Article:PARAGON ELECTS PRESIDENT
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters