LONGMONT, Colo. -- May 22, 1996 -- The former Rexon
Inc. Wednesday unveiled a new corporate name -- Tecmar Technologies
Inc. -- designed to provide a consistent, recognizable identity for
the company across its broad product lines and multiple sales
channels, to make it as easy as possible for customers to locate and
purchase Tecmar products.
"There have been many changes at Tecmar Technologies Inc. over
the past few months and that leaves us with a lot of explaining to
do," said Ernest Wassmann, president and CEO.
The new corporate identity is just one part of the business
strategy instituted by the new corporate management team. This
management team is headed up by Wassmann, who joined the company
after an extremely successful term as vice president, worldwide
marketing at Exabyte. Wassmann recruited a group of experienced
storage industry veterans who are working on turning Tecmar
Technologies Inc. around.
Jeff Platon now serves as vice president worldwide marketing;
Doug Smith is vice president worldwide sales; Bill Chappell is chief
financial officer; Joe Daiutolo serves as vice president engineering
and operations; and Scott Sheehan is the director of customer
These changes follow the successful acquisition of Rexon Inc. by
Toronto-based Legacy Storage Systems International Inc. in March of
Wassmann and his team of executives began engineering a
turnaround at Tecmar Technologies Inc. after the company fell into
bankruptcy last year under previous management. "The company exited
bankruptcy on March 5, 1996, with new ownership and is now in
stability mode," said Wassmann. "With a solid financial foundation,
a trend towards profitable operations and no debt, this new
structure gives us the resources required to begin growing Tecmar
Technologies Inc. in the tape storage industry."
"The name change signals a renewed commitment to making Tecmar
Technologies Inc. the easiest tape storage company to do business
with," said Wassmann. "With a consistent company identity we are
ensuring that our customers will easily recognize our superior
products and services regardless of the tape technology or the
Tecmar Technologies will continue to sell its line of data
storage products under the existing brand names -- Wangtek for data
cartridge and Travan tape drives, WangDAT 4mm Digital Audio Tape
drives and ProLine for complete bundled solutions -- while
transitioning to the new corporate Tecmar Technologies Inc. name.
According to Robert C. Abraham, vice president of Freeman
Associates Inc., Santa Barbara-based analysts and publishers: "We
are supportive of the direction Tecmar Technologies' new management
is taking in tightly focusing on tape storage products and tape
technologies. Such a strategy will charge all of the company's
resources with a single purpose. This is a necessary step in making
Tecmar a viable participant in the highly competitive tape storage
Fara Yale, director and principal analyst at Dataquest, a
leading industry analyst and consulting organization in San Jose,
said: "Too many companies try to cover too much ground without
focusing on their strengths. This is not the new business strategy
of Tecmar Technologies Inc. They are wrapping their business around
the tape products and channels where they are known to excel."
Platon added: "The name change is another positive step in a
comprehensive program aimed at delivering a consistent high level of
customer support and service. The company's goal is to ensure that
once a reseller buys a product from Tecmar Technologies Inc., they
will become a long-term partner, and we've put every possible
resource in place to make that a reality." Wassmann said to achieve
that goal Tecmar Technologies Inc. is focusing on its strengths: a
consistency in product offerings, and a commonality in product
design to reduce the cost of ownership for its customers.
"While other companies have cut back on product offerings,
technical service operations and eliminated support for discontinued
products, Tecmar Technologies is heading in the opposite direction,"
said Wassmann. "With enhanced customer ordering capabilities and
other programs designed to drastically reduce the complexity and
time involved in making a purchase decision."
"Change is good," concluded Wassmann. "Customers are clearly
responding to the company's efforts, with new orders from major OEMs
Tecmar Technologies Inc. provides a comprehensive line of tape
backup storage solutions for the LAN and workstation markets. The
company's product line features Wangtek data cartridge, Travan mini
cartridge and WangDAT 4mm DAT tape products ranging from a capacity
of 525 megabytes to 8 gigabytes(a) of storage capacity. The ProLine
Series includes complete packaged solutions, including advanced
client/server backup software applications for LANs and workstation
Tecmar Technologies Inc. is a subsidiary of Legacy Storage
Systems International Inc. (TSE:LEG). Legacy Storage Systems
International designs and develops data storage systems for
client/server and enterprise wide computing environments, which
includes near-on-line storage network appliances and RAID
Note (a): Assumes 2-to-1 hardware compression ratio.
CONTACT: Tecmar Technologies Inc., Longmont
Jeff Platon, 303/682-4572
Judy Smith, 818/992-8867
FT. LAUDERDALE, Fla. -- May 22, 1996 -- href="chap11.zone.html">Discovery
Zone Inc. (NASDAQ:ZONEQ) announced that its common stock and Liquid
Yield Option Notes due 2013 (LYONs) have been deleted from the
Nasdaq Stock Market as of today.
The company said that a Nasdaq Listing Qualifications Panel
informed Discovery Zone that its request for an exception to the net
tangible assets and bid price requirements set forth in the NASD By-
Laws was denied and that, as a result, its stock and notes would be
delisted as of May 23, 1996. It has come to the company's attention
that the stock and notes were instead delisted today.
Discovery Zone said that it intended to file an application to
have its stock and notes quoted in the OTC Bulletin Board or, in the
alternative, in the NQB Pink Sheets, but that there could be no
assurance that such application would be approved.
Discovery Zone filed a voluntary petition under Chapter 11 of
the U.S. Bankruptcy Code on March 25, 1996 in order to facilitate
the implementation of its operational turnaround and a financial
CONTACT: Robert Mead, 212/484-6701
DENVER, CO -- May 22, 1996 -- QuestCom, a winning
bidder in the government's C Block auction for 17 wireless markets
for "Personal Communications Services" (PCS), recently missed a
payment deadline of the FCC for a $37 million payment.
The company had previously made an on-time payment of $7
million. The most recent payment deadline was missed when a bridge
loan arrangement being negotiated with a key strategic partner fell
through at the last minute.
"QuestCom is financially strong and viable," said Robert Kyle,
QuestCom's chief executive officer. "The company has a signed
agreement that covers infrastructure financing and has agreements
with Bear Stearns and Goldman Sachs to take the company public once
matters are resolved. In addition QuestCom has strategic
partnerships with US WEST and Samsung Electronics."
QuestCom filed a waiver petition with the FCC on May 15 that
detailed reasons for the delay in payment. "I believe that the FCC
has set up rules for the auction that are fair," said Kyle. "The
FCC has made it clear that the rules do not include a `no waiver'
policy for down payments.
"In our case it took an incredible set of problems, all
happening at once, to delay our financing. Even then we could have
recovered if these problems didn't happen at the last minute.
QuestCom is committed to reassembling its financing at the earliest
The management team at QuestCom includes former executives of
McCaw, Bell Atlantic and Airtouch. They have each been working on
PCS at QuestCom and its predecessor for up to four years. All have
invested their time and their personal savings in this project.
The chief executive officer of QuestCom, Robert Kyle, is one of
the pioneers of the PCS industry. He was chairman of the Small
Business PCS Association for the last three years and a major
participant in working with Congress and the FCC to incorporate
small business provisions into the PCS auction rules. Kyle was
previously chief executive officer of two communications companies
in Sunnyvale, Calif.
CONTACT: QuestCom Inc., Boulder, Co.
Robert Kyle, 303/417-9408
CHICAGO -- May 22,1996 -- Enviropur Waste Refining
and Technology, Inc. (NASDAQ: EPUR & EPURw) announced today that the
continued restrictions resulting from the California Department of
Toxic Substance Control's ("DTSC") complaint against its Enviropur
West Corporation subsidiary, and the overall shortage of working
capital have reduced revenues in the six months ended March 31,
1996, to $5,594,841, compared to $12,286,484 for the same period in
fiscal 1995. The net loss for the six months was $3,405,528, after
accounting for discontinued operations, or $0.29 per share, compared
to a net income of $360,045, or $0.03 for the same period in fiscal
Enviropur further announced that its previously announced
Agreement to sell its California subsidiaries has been rescinded.
The Company is currently positioning its Southern California
subsidiary, Enviropur West Corporation, for a sale or for a joint
venture partner. To reorganize the subsidiary's $13,641,000 of
liabilities the Southern California subsidiary has been placed under
the protection of Chapter 11 of the US Bankruptcy Code. This
reorganization will allow Enviropur West Corporation to restructure
and compromise its debts, as well as allowing a delay in compliance
with the increased deposits required by the State of California
under the DTSC's permits.
Enviropur Waste Refining and Technology, Inc., the parent
Company, also owns PRC Patterson, Inc., the Northern California
subsidiary. This subsidiary is not in reorganization, however, it
is also required to substantially increase its financial deposit
required by the DTSC.
The increased financial deposits required by the State of
California have caused Enviropur to increase its need for
subordinated debt and equity funding to approximately $5,000,000.
The Company is currently interviewing equity funds and investment
bankers to determine the proper method to structure and obtain the
needed capital, which will allow the Company to meet the financial
assurance deposits required by the DTSC, and to provide the
necessary working capital for the Mid-West refinery operations.
Enviropur is a full service resource recovery company serving
the Midwest from its refinery in Chicago, Illinois and the West
Coast market from its facilities in Signal Hill and Patterson,
Enviropur Waste Refining and Technology, Inc.
Statement of Operations
For the Six Months Ended March 31,
Revenues $5,594,841 $ 12,286,484
Gross Profit (232,386) 1,434,259
SG & A 1,918,497 2,996,746
Operating (Loss) (2,150,883) (1,562,486)
Other Income (Expense) (375,228) 1,922,531
Income (Loss) From
Continuing Operations (2,526,111) 360,045
Discontinued Operations (879,417) --
Net Income (Loss) (3,405,528) 360,045
Net Income (Loss) per Share $ (0.29) $ 0.03
Weighted Shares Outstanding 13,667,661 11,888,793