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EXHIBIT 99.3
PRESS RELEASE
FOCUS BEGINS APPEAL PROCESS IN CRA LITIGATION
WILMINGTON, Mass.--(BUSINESS WIRE)--Oct. 30, 2000--FOCUS Enhancements, Inc.
(NASDAQ: FCSE - news) announced that it will appeal the judgment rendered
against FOCUS in a US District Court in Texas. The court had entered a final
judgment against FOCUS and in favor of CRA Systems Inc. In May 2000, a jury
returned a verdict for CRA and awarded damages of approximately $1.8 million
plus interest and attorneys fees. FOCUS strongly denies any wrongdoing and
submitted a supersedeas bond to suspend the enforcement of the judgment pending
appeal. The Company has secured appropriate debt financing in order to post this
supersedeas bond. The appellate process could take as long as 18-24 months. As a
result of the judgment, FOCUS will take a one-time charge of approximately $2
million in its period ending September 30, 2000.
On August 31, 2000, FOCUS announced that the company has entered into a
definitive agreement to merge with Videonics, Inc. The agreement provides for
each share of Videonics common stock to be converted into 0.87 shares of FOCUS
Enhancements common stock. Completion of the merger requires, among other
things, the approval of the stockholders of Videonics and FOCUS. The merger is
expected to be completed in December of this year. FOCUS Enhancements, Inc.
develops and markets advanced, proprietary video conversion ASICs for the
converging, multi-billion dollar Internet, computer, and television industries.
The Company's technology, which is sold globally through Original Equipment
Manufacturers (OEMs) and resellers, merges computer-generated graphics and
television displays for Internet viewing, presentations, training, education,
video teleconferencing, and home gaming markets.
For More Information
FOCUS Enhancements, (978) 988-5888, 600 Research Dr., Wilmington, Mass. 01887,
www.focusinfo.com
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Investors: Please contact Steve Sheldon, FOCUS Enhancements: (978) 988-5888,
e-mail: [email protected].
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Forward-looking statements in this release are made pursuant to the "safe
harbor" provisions of the Private Securities Litigation Reform Act of 1995. The
statements contained in this release, which are not historical facts, are
forward-looking statements. Investors are cautioned that such forward-looking
statements involve risks and uncertainties including, without limitation,
continued acceptance of the companies' products, increased levels of competition
for the companies; new products and technological changes, the companies'
dependence upon third-party suppliers, intellectual property rights and other
risks detailed from time to time in the companies' periodic reports filed with
the Securities and Exchange Commission. Readers are cautioned not to put undue
reliance on any forward-looking statements contained herein, which speak only as
of the date hereof. The companies undertake no obligation to release publicly
any revisions to forward-looking statements that may be made to reflect events
after the date hereof or to reflect the occurrence of unanticipated events. In
addition, the forward-looking statements contained herein are subject to risks
and uncertainties, including the successful integration of Videonics into FOCUS,
fluctuations in operating results, the timely development and acceptance of new
products, product availability from suppliers, the impact of competitive
products and pricing, changing TV standards and other risks set forth under the
caption "Certain Factors That May Affect Future Results" in Focus and
Videonics Annual Report on Form 10-K for the year ended December 31, 1999, in
its quarterly report on Form 10-Q for the quarter ended March 31, 2000 and June
30, 2000 and other filings with the SEC by both FOCUS and Videonics.
Contact:
FOCUS Enhancements, Inc. FOCUS Enhancements, Inc.
Brett Moyer Steve Sheldon
(978) 988-5888 (978) 988-5888
http://www.focusinfo.com http://www.focusinfo.com
