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EXHIBIT 99
PRESS RELEASE
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FOCUS
ENHANCEMENTS PRESS RELEASE
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FOCUS Enhancements, Inc. . 600 Research Drive . Wilmington, MA 01887 .
(978) 988-5888
FOR IMMEDIATE RELEASE
Contact:
Brett Moyer Steve Sheldon
Executive Vice President Communications Manager
& Chief Operating Officer FOCUS Enhancements, Inc.
FOCUS Enhancements, Inc. (978) 988-5888
(978) 988-5888 www.FOCUSinfo.com
www.FOCUSinfo.com -----------------
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FOCUS ENHANCEMENTS COMPLETES ACQUISITION OF VIDEONICS
WILMINGTON, MASS. JANUARY 16, 2001 - Focus Enhancements (NASDAQ: FCSE) announced
it has completed the acquisition of Videonics, Inc (NASDAQ: VDNX). The
acquisition will be complete at the close of business on January 16, 2001 in a
stock-for-stock transaction. The acquisition will be accounted for as a
purchase.
On August 31, 2000, FOCUS Enhancements announced a definitive agreement to
acquire Videonics. Under the terms of the agreement, each outstanding share of
Videonics common stock now represents the right to receive .87 shares of FOCUS
Enhancements common stock. In addition, FOCUS will assume all outstanding
options to purchase Videonics common stock. Based on the number of Videonics
shares as of the close of the acquisition, FOCUS will issue a total of
approximately 5.1 million shares of its common stock. Videonics common stock
will cease trading on the Nasdaq SmallCap Market at the close of market on
January 16, 2001.
Page 5 of 6 pages
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ABOUT VIDEONICS
Videonics is a leading designer of affordable, high quality, digital-video
equipment for the broadcast, cable, business, industrial, presentation,
Internet, and home video production markets. Videonics products include
application controllers, edit controllers, mixers, character generators, and
video editing software solutions. More information on Videonics may be obtained
from the company's SEC filings, or by visiting the Videonics home page at
http://www.videonics.com.
ABOUT FOCUS ENHANCEMENTS
FOCUS Enhancements, Inc. (NASDAQ: FCSE) 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.
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, June 30,
2000, September 30, 2000 and other filings with the SEC by both FOCUS and
Videonics.
Page 6 of 6 pages
