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SYMTEK SYSTEMS INC. EXTENDS BANK FINANCING AND EXPECTS TO REPORT SUBSTANTIAL LOSSES FOR FISCAL YEAR ENDED MARCH 31, 1993

 SAN DIEGO, July 7 /PRNewswire/ -- SymTek Systems Inc. (NASDAQ: SYMK) announced that it has reached an agreement with its bank regarding the extension of its $3,000,000 revolving credit facility to July 31, 1993, extending the previous termination date of July 1, 1993. Ray Twigg, president, also announced the company expects to report a substantial loss for its 1992-93 fiscal year.
 Twigg said the bank has agreed to make advances to SymTek based on the amount of eligible accounts receivable. The company continues to engage in discussions with various lenders to provide financing to replace the company's existing bank line and to pursue alternative financing arrangements and additional capital resources, but no definitive agreements have been reached to date.
 SymTek has been delayed in its filing of its annual report on Form 10-K with the Securities and Exchange Commission. Twigg said this delay has been caused in part by the company's continued review of excess inventory. Revenue for the fiscal year ended March 31, 1993, will be approximately $27,000,000, as compared with revenue for the prior year of $42,133,000. Losses are expected to be substantially higher for fiscal 1993 as compared with the net loss of $1,873,000 ($1.24 per share) for the prior fiscal year attributable, in part, to the inventory write-down and excess costs associated with the company's research and development activities.
 The company also has received Notice of Default on its 7 percent convertible subordinated debenture held by State Farm. SymTek has not paid the $300,000 sinking fund payment due April 1, 1993, nor the $84,000 interest due the same date. Discussions are being held with State Farm to attempt to restructure the amounts due.
 Twigg said the backlog is currently in excess of $11,000,000 compared to $5,600,000 as of July 1992.
 During the last six months, the company has accomplished substantial reductions in its payroll and operating expenses, Twigg said. In addition, interest expense has been reduced substantially, and the amount outstanding against the bank's line of credit has been reduced from $5,000,000 as of Dec. 31 to $2,500,000 currently.
 The company anticipates a return to modest profitability for its first quarter, which ended June 30, 1993, and as a result of the increased activity in bookings anticipates significantly larger revenues during the second fiscal quarter.
 SymTek 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- 7/7/93
 /CONTACT: Ray Twigg, president, or Lowell W. Giffhorn, VP-finance, of SymTek Systems, 619-674-6800; or Tom Gable of The Gable Group, 619-234-1300, for SymTek Systems/
 (SYMK) CO: SymTek Systems Inc. ST: California IN: CPR SU:


MF-LS -- SD003 -- 9150 07/07/93 15:08 EDT
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Date:Jul 7, 1993
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