NORTHBROOK Ill. -- April 9, 1996 -- href="chap11.dauphin.html">Dauphin
Technology Inc. today announced that on April 4, 1996, the U.S.
Bankruptcy Court approved the adequacy of the Disclosure Statement
Relating to Debtor's Third Amended Plan of Reorganization
("Disclosure Statement") filed with the Court on April 1, 1996.
Dauphin is now authorized to disseminate the Plan of
Reorganization ("Plan") and Disclosure Statement to its creditors
and shareholders and to solicit acceptance of the Plan, which
Dauphin hopes will lead to its emergence from its Chapter 11 Case.
The packages containing the necessary documentation will be mailed
to Dauphin's creditors, shareholders and other parties of interest
by April 11, 1996. May 6, 1996, is the deadline set by the Court
for the casting of votes by shareholders and creditors for
acceptance or rejection of the Plan, which is set for confirmation
on May 9, 1996.
Dauphin's management is hopeful that its Plan will be approved
by its creditors and shareholders. Management looks forward to
implementing the Plan, which is focused on product and technology
diversification, including the development of industrial controls
and related technology through its recently acquired Intercon
Division. In addition, the company is planning to start production
of its DTR-2, a 2.5 pound palm-top computer capable of wireless
communication, voice, pen, and keyboard input.
Dauphin stock is publicly traded on the Over-the-Counter
Bulletin Board under the symbol DNTKQ.
CONTACT: Dauphin Technology Inc., Northbrook
Sheila A. Trendel, 847/559-8443, ext. 206
WOODLAND HILLS, Calif., April 9, - Spatializer Audio
Laboratories, Inc. (Nasdaq: SPAZ) announced today that it has signed
an agreement in principle to acquire from href="chap11.hometheater.html">Home Theater Products
International, Inc. certain intellectual property and other
related to its compact disc changer technology for an undisclosed
sum in a cash transaction. The closing is scheduled for early May
and is subject to completion of documentation, and regulatory and
Bankruptcy Court approvals. Home Theater Products has recently
filed for protection under Chapter 11 of the Bankruptcy Code.
Currently in the development stage, the technology is based on
proprietary hardware and software designs which allow for expandable
storage, rapid access and replay of any audio, video or data format
5-1/4 inch compact disc from a common storage device. Spatializer
said that future products incorporating the technology, if
successfully developed, should be adaptable to markets for home
entertainment, personal computers, audio and video on-demand,
network-based on-line data storage and retrieval applications, and
Spatializer Audio Laboratories, Inc. is a leading developer and
licensor of next generation audio technologies for entertainment,
consumer electronics and multimedia computing. The company's
patented 3-D audio processing technology is now incorporated in over
100 products in more than 20 markets around the globe from brand
name manufacturers such as Compaq, Hewlett-Packard, Seiko-Epson,
Samsung, Panasonic, Hitachi and Sharp. In addition, the company is
actively engaged in identifying, acquiring and developing other
audio, video and related technologies synergistic with its licensing
and business strategy.
CONTACT: Wendy Marie Guerrero, CFO of Spatializer, 818-227-3370,
E-Mail: firstname.lastname@example.org, href="http://www.spatializer.com" target=_new>http://www.spatializer.com">http://www.spatializer.com
SALT LAKE CITY, April 9, 1996 - href="chap11.bonneville.html">Bonneville Pacific
Corporation, through its Chapter 11 Bankruptcy Trustee (Roger G.
Segal), announces today that a settlement has been reached with
another defendant (of numerous remaining defendants) in the civil
action entitled Segal v. Portland General, et al. now pending in the
United States District Court for the District of Utah, Case No. 92-C-
364J. The settlement is with Robert L. Wood who at various times
was Bonneville Pacific's Chief Financial Officer, Chief Executive
Officer, President, Managing Director and Chairman of the Board.
The Settlement provides for payment to Bonneville Pacific
Corporation of the total sum of six hundred sixty-five thousand and
no/100 dollars ($665,000.00) plus other consideration. Mr. Wood has
also agreed to meet with the Trustee and his counsel in order to
disclose his knowledge about all matters related to Bonneville
The settlement is conditioned upon approval by the United States
Bankruptcy Court (the Honorable John H. Allen) and by the United
States District Court (the Honorable Bruce S. Jenkins).
CONTACT: Roger G. Segal for Bonneville Pacific, 801-532-2666
SANTA MONICA, Calif. -- April 9, 1996 -- L.A. Gear
Inc. (NYSE:LA) Tuesday announced its financial results for the first
quarter ended Feb. 29, 1996.
For the three months ended Feb. 29, 1996, the company reported
net income of $1.1 million (5 cents per share) and a loss applicable
to common stock of $900,000 (4 cents per share), compared with a
1995 first-quarter net loss and a loss applicable to common stock of
$11.6 million (51 cents per share) and $13.5 million (59 cents per
Net sales for the 1996 first quarter increased by 13.4 percent
to $78.7 million, compared with $69.4 million in the prior-year
Domestic net sales in the first quarter of 1996 increased by 48
percent compared with the same period in 1995.
The increase in domestic net sales resulted principally from
sales of $30.2 million (2.4 million pairs) to Wal-Mart to fulfill
substantially all of the remaining balance of Wal-Mart's $80 million
minimum purchase commitment for fiscal 1995, as compared with $4.6
million in sales to Wal-Mart in the first quarter of fiscal 1995.
International net sales, which accounted for approximately 24.8
percent of the company's total net sales in the first quarter of
1996, decreased by 33.7 percent compared with the same period in
This was due primarily to a decrease in demand for lighted shoes
in Europe, the negative impact of poor economic conditions in Mexico
and Central and South America, and a decrease of $1.41 in the
average selling price per pair internationally.
The gross profit margin for the first quarter of 1996 increased
to 31.2 percent from 29.9 percent for the same period in the prior
year, primarily because of improved margins on sales of the
company's spring 1996 product lines.
Total selling, general and administrative expenses decreased by
$9.3 million, or 28.4 percent, to $23.4 million in the first quarter
of 1996, compared with $32.7 million for the comparable prior-year
In the first quarter of 1996, domestic selling, general and
administrative expenses decreased by $6.7 million (27.8 percent)
from the comparable prior-year period, primarily because of expense
reductions realized from the implementation of the company's 1995
corporate reorganization plan.
International operating expenses decreased by $2.6 million (30.2
percent) in the first quarter of 1996 compared with the prior- year
period, primarily because of lower sales volume at the company's
European and Mexican subsidiaries.
Cash and cash-equivalent balances declined by $8.6 million from
Nov. 30, 1995, to a balance of $27.3 million at Feb. 28, 1996,
primarily because of $7.1 million in net cash used for operating
During the first quarter of 1995, inventory decreased from $51.7
million (5.3 million pairs) at Nov. 30, 1995, to $39 million (4.2
million pairs) at Feb. 28, 1996, primarily because of delivery of
substantially all of the balance of Wal-Mart's 1995 minimum purchase
commitment in the first quarter of 1996.
At March 31, 1996, the combined domestic and international
backlog of orders for shipments scheduled primarily during the April-
through- August 1996 period was $64.2 million, which represents
``future orders'' for the new Back-To-School product scheduled to
ship during the company's 1996 second and third fiscal quarters.
The backlog at March 31, 1996, includes $2.4 million, which
represents the balance of Wal-Mart's $80 million minimum purchase
commitment for fiscal 1995. Wal-Mart is not subject to any minimum
purchase commitment for fiscal 1996. The combined backlog at March
31, 1995, for the comparable prior-year shipping period was $166.2
The lower backlog at March 31, 1996, was due primarily to (i)
the inclusion in the March 31, 1995, backlog of $73.5 million of the
$80 million 1995 minimum purchase commitment under the company's
agreement with Wal-Mart and (ii) an approximate $21.2 million
decrease in orders for children's lighted product.
Stanley P. Gold, chairman of the board, and William L. Benford,
president, said: ``While we are encouraged by the company's first
operating profit in its first quarter since 1990, we recognize that
there is much work yet to be done.
``We hope to rekindle the excitement for our children's lighted
product through our introduction of NEONZ, the next generation of
lighted footwear featuring lighted panels on the shoes' uppers, in
the second quarter of 1996.
``For the back-to-school season, we will launch GRAf/x, a new
temperature-sensitive collection that allows children to change the
color of the upper, reveal a pattern or personalize their footwear
by `writing' on their shoes.
``Through these innovative new products and our ongoing
worldwide print campaign supporting our women's product line, we
hope to consistently communicate the L.A. attitude of fun, fashion
and fitness to women and children everywhere.''
L.A. Gear designs, develops and markets a broad range of quality
athletic and lifestyle footwear for adults and children.
L.A. GEAR INC. AND SUBSIDIARIES
Consolidated Condensed Statements of Operations
(In thousands, except per-share amounts)
Three months ended
Feb. 29 and 28,
Net sales $ 78,666 $ 69,392
Cost of sales 54,112 48,652
Gross profit 24,554 20,740
Selling, general and administrative
expenses 23,396 32,744
Interest expense, net 613 328
Income (loss) before income taxes
and minority interest 545 (12,332)
Income taxes -- --
Minority interest 554 690
Net income (loss) 1,099 (11,642)
Dividends on mandatorily
redeemable preferred stock (2,042) (1,875)
Loss applicable to common stock (943) (13,517)
Income (loss) per common share
before preferred dividends 5 cents (51 cents)
Loss per common share (4 cents) (59 cents)
Weighted average common shares
outstanding 22,937 22,937
L.A. GEAR INC. AND SUBSIDIARIES
Selected Consolidated Balance Sheet Data
Feb. 29, Nov. 30,
Cash and cash equivalents $ 27,341 $ 35,956
Accounts receivable, net 62,231 46,630
Inventories 38,979 51,677
Working capital 106,087 103,999
Convertible subordinated debentures 50,000 50,000
Mandatorily redeemable preferred stock
plus accrued and unpaid dividend 109,788 107,746
Accumulated deficit (170,223) (169,281)
Shareholders' deficit (41,791) (40,627)
ATLANTA, GA - April 9, 1996 - Hayes
Inc. announced today that it has obtained the new capital funding
sufficient to fully implement its Court-approved Plan of
Reorganization. Seeking an expeditious implementation of its Plan,
which provides for payment of creditors' claims in full plus
interest, Hayes filed a motion with the U.S. Bankruptcy Court
seeking approval of the new capital funding transactions.
"Our positive financial performance over the past quarter proved
enormously attractive to several prospective investors, allowing
Hayes to quickly secure the funding commitments to implement the
company's Plan of Reorganization in accordance with our confirmation
schedule," said Dennis Hayes, Chairman, Hayes Microcomputer
ACMA Limited, working in close cooperation with Hayes after
Northern Telecom Inc. ("Nortel") withdrew its plans to invest in
Hayes, recruited several Singapore-based companies to replace half
the funding needed. These investors include Rinzai Limited and other
Singapore investors led by ACMA. Hayes independently secured the
balance of the funding from two Hong Kong investors, including Kaifa
Technology Holdings Limited and Rolling Profits Holdings Limited, a
subsidiary of Wongs Limited. Some of the new investors had
previously sought to invest in the company before Hayes negotiated
definitive agreements with Nortel and ACMA in October 1995.
"The response from potential investors after Nortel withdrew was
quick, strong and positive," said Dennis Hayes. "We're very
grateful to ACMA for working so intensely with us over the last 10
days to secure the required funding and make the modifications to
the definitive agreements to implement the new capital funding
transactions. We are especially pleased by the manufacturing and
cost reduction expertise our new investors bring to Hayes."
Each of Hayes new investors has agreed to execute documents to
finalize the funding transactions for the Hayes Plan on or before
April 15, 1996. In addition, each investor has or will deposit
their respective investment into US-based escrow accounts in
preparation for a final closing on or around April 15. It is
expected creditors will be paid within a few days after the closing
of the funding of Hayes Plan. As previously announced, the CIT
Group/Credit Finance, Inc. will provide credit facilities totaling
$70 million, on which the company expects to initially draw only $20
Recognizing the specific objectives of the new investors,
several modifications were made to the previous investment plan
negotiated with Nortel and ACMA. Under these new capital funding
transactions, Hayes may proceed with a target initial public
offering when it reaches a $150 million market capitalization rather
than $250 million as previously planned. The Board of Directors
will consist of seven rather than six directors which will include
the new President/CEO of Hayes. Hayes plans to announce the
appointment of the new President/CEO within the next few weeks.
"With the quarterly results Hayes will release this week and the
new $150 million target IPO, our turnaround is nearly complete and
we are now on the fast track to becoming a public company," said
Dennis Hayes. "As Chairman, I look forward to working with the Board
and our strong management team, including the new President/CEO, Jim
Jones, our new Chief Financial Officer, and Dr. Alan Clark, our
Chief Technical Officer, all of whom have extensive experience as
executives in high tech companies."
Best known as the inventor of the PC modem, Hayes is recognized
around the globe as a leader in technical innovations, computer
communications standards, functional and feature-rich products, and
superior support and service. Founded in 1977, Hayes develops,
manufactures, and markets value-based computer communications
solutions for software, business, network and consumer market
segments. The company maintains an extensive global network of
authorized distributors, dealers, mass merchants, VARs, system
integrators and original equipment manufacturers. Hayes customers
include Fortune 1000 corporations, mid-size companies and corporate
branch offices, small and home office businesses, on-line and
telecommunications network providers, and millions of individual PC
users around the globe.
CONTACT: Andrew Dod, Hayes Microcomputer Products, Inc.,
770-840-9200, ext. 6365; fax, 770-441-1238; Internet Address:
email@example.com, or Hayes World Wide Site:http://www.hayes.com/" target=_new>http://www.hayes.com/">http://www.hayes.com/
CINCINNATI, April 9, 1996 - href="chap11.epi.html">Eagle-Picher Industries (OTC:
EPIHQ) today announced that a First Amended Consolidated Plan of
Reorganization was filed with the U.S. Bankruptcy Court in
Cincinnati, Ohio. The amended plan and accompanying proposed
Debtors' First Amended Joint Disclosure Statement was necessitated
by the Court's response to a motion filed by the Company in July
1995 requesting that the Bankruptcy Court estimate the Company's
aggregate liability on account of present and future asbestos-
related personal injury claims.
The Company indicated that the most significant modification to
the previous plan that was filed on February 28, 1995 as a result of
the ruling is the reallocation of distributions under the plan to
various categories of unsecured claims. Under the former plan the
estimated total amount of allowed pre-petition unsecured claims was
approximately $1.657 billion. Of this amount, $1.5 billion
(approximately 91 percent) represented an agreed to settlement for
present and future asbestos-related personal injury claims. The
remaining $157 million (approximately 9 percent) represented
anticipated allowed amounts of environmental, other pre-petition
unsecured claims and priority claims.
As a result of the Court's ruling that the Company's asbestos
liability is $2,502,511,000, the estimated total amount of allowed
pre-petition unsecured claims increases to approximately
$2,659,511,000, the percentage of cash, notes, and stock
distributable to the asbestos claimants increases to 94 percent, and
the share of such assets allocable to environmental, other pre-
petition unsecured claims and priority claims falls to 6 percent.
This is because the amount of those claims, approximately $157
million, was not changed by the decision.
Following the Court's estimation of the Company's aggregate
liability on account of present and future asbestos-related personal
injury claims at $2.5 billion, Eagle-Picher recorded an additional
$1 billion writedown on its balance sheet. This resulted in
negative net worth in excess of $2 billion, indicating that
sufficient value does not exist to allow equity security holders to
participate in a plan of reorganization. Accordingly, the Company
filed a motion on December 18, 1995 asking the Bankruptcy Court to
direct the United States Trustee to disband the Equity Security
Holders' Committee. On January 24, 1996, the Bankruptcy Court
partially granted the motion by limiting the ongoing activities of
the Equity Security Holders' Committee to the prosecution of its
appeal of the Estimation Ruling.
CONTACT: J. Rodman Nall of Eagle-Picher, 513-721-7010