FOR IMMEDIATE RELEASE
Mississauga, Ontario, Canada.
The WideCom Group Inc. announces OEM Alliance with Imtec.
The WideCom Group Inc. (NASDAQ: WIDEF, WIDWF) (BSE: WDE, WDEW) announced today the establishment of an OEM (original equipment manufacturer) alliance with the Imtec Group Ltd. of Stanmore, U.K.
The two companies have executed a memorandum of understanding to facilitate Imtec's initial purchases from WideCom, with the comprehensive marketing plan and supply agreement to be detailed in the final contract. First year revenue under this contract would exceed U.S. $3 million.
The memorandum relates to Imtec's digital scanner and products, and the supply by WideCom of components and sub-assemblies for these products. These Imtec scanners have been designed to use WideCom's Single Line Contact (SLC) scanning technology. The products were exhibited by Imtec at the CeBIT '96 trade fair in Hannover, Germany on March 14-20, 1996 and are scheduled for full scale introduction to the European markets at the IMC (Image Management) Conference in Paris, France on June 4-6, 1996.
WideCom's SLC technology is a breakthrough in the large-document scanner market, as it replaces multiple-CCD-camera scanners. Developed originally in the mid-1970s, multiple-CCD-camera scanners are prone to alignment problems and have a higher cost of manufacture. "WideCom's SLC technology was chosen by Imtec because of the outstanding quality of the scanned images," said Peter Saint, Technical Director of Imtec.
The Imtec products designed to use WideCom's technology include the Imtec model 3520, which is a stand-alone scanner with one of the highest speeds and image qualities available in the market, along with unique features such as back-lighting (for semi-translucent or film-type originals) not found elsewhere. The other Imtec product designed to use WideCom's technology is the James Camera/Scanner, which combines WideCom's digital scanning technology with Imtec's microfilming technology to create a product that provides both a digital scan and microfilm with a single pass scan.
"We are pleased to announce this first major OEM agreement. With the many uses for WideCom's wide-document scanning technology, we are confident that other potential OEM agreements for both our scanner and plotter technologies can be secured," said Raja S. Tuli, Chief Executive Officer of the WideCom Group, Inc. "While the first year of sales by an OEM allows it to introduce the product line to its distribution channels, subsequent years are expected to provide substantial sales growth as the new products get established."
The Imtec Group Ltd. has a 30-year history in the field of micrographics with the development, manufacturing and marketing of 35mm microfilm cameras and printers.
The WideCom Group Inc. develops, assembles and markets high-speed, high-performance wide-format document management systems. The Company's product lines include its WIDEfax (TM) machines, engineering scanners and direct imaging plotters. WideCom distributes its products directly through its sales offices as well as distributors internationally.
CONTACT: The WideCom Group, Mississauga
Raja S. Tuli, President
905/566-0180
or
Manning, Selvage & Lee
Andrew Komendantov
212/213-7147
About WideCOM Group
The WIDECOM Group Inc. designs, manufactures and markets, high-speed, high performance, wide format scanners, printers and digital copiers. WIDECOM has created an industry standard for innovative, wide format document scanning, printing and copying. Our vision is to maintain being the world’s most successful manufacturer of Single Line Contact - SLC scanning equipment for handling wide format documents. Our goal is to provide total satisfaction for our customers, opportunities for our team to grow and to deliver superior returns on investment for our stakeholders.
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