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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): May 1, 1997
Illinois Superconductor Corporation
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(Exact Name of Registrant as Specified in Charter)
Delaware 0-22302 36-3688459
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(State or Other Jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.
451 Kingston Court, Mount Prospect, Illinois 60056
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (847) 391-9400
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ITEM 5. OTHER EVENTS.
On May 1, 1997, the Registrant issued the press release attached as Exhibit
99.1 announcing its earnings for the quarter ended March 31, 1997. The
information contained in this press release is incorporated herein by
reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) Exhibits.
99.1 Press Release of Registrant dated May 1, 1997
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Illinois Superconductor Corporation
Dated: May 1, 1997 By: /s/ ORA E. SMITH
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Ora E. Smith
President and Chief Executive Officer
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Exhibit Index
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Exhibit # Item
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99.1 Press Release
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Exhibit - 99.1
[ILLINOIS SUPERCONDUCTOR CORPORATION LETTERHEAD]
FOR IMMEDIATE RELEASE
CONTACT: Stephen G. Wasko
PHONE: (847) 391-9400
INTERNET: [email protected]
ILLINOIS SUPERCONDUCTOR REPORTS FIRST QUARTER RESULTS
POSTS SIGNIFICANT REVENUE GAIN
Expanded Product Line Offering Contributes to Sale Rise
Mount Prospect, IL, May 1, 1997 -- Illinois Superconductor Corporation
(Nasdaq:ISCO) today reported revenues of $450,000 during the first quarter of
1997, an eight-fold gain over revenues of $57,000 posted in last year's first
quarter.
An increase in operating costs and expenses during the first quarter
resulted in a net loss for the period of $3.14 million, or $0.62 per share,
compared with a net loss of $2.05 million, or $0.48 per share, in the first
quarter of 1996.
"We are gratified to note the strong sales growth during the first quarter
in our performance enhancing radio frequency products," said Ora E. Smith,
president and chief executive officer. "To put this growth in context, our
first quarter sales have eclipsed in three months the total revenues of the
company over the past three years."
Smith noted that all 1997 first quarter revenues resulted from sales of
the company's SpectrumMaster(TM) and RangeMaster(TM) radio frequency (RF)
products, and that revenues from product sales were more than triple those
recorded during the fourth quarter of 1996. "Additionally, we have expanded our
customer base, which now includes three of the top nine cellular operators in
the United Sates," Smith said.
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Illinois Superconductor Corp.
First Quarter 1997 Results
ADD-1-
Smith said the company was particularly pleased that first quarter results
included sales of its recently introduced RangeMaster(TM) product line, which
made its industry debut at the Cellular Telephone Industries Association's
Wireless '97 show in March. RangeMaster(TM) significantly enhances the
performance of Personal Communications Systems (PCS) as well as cellular
networks.
"Along with the introduction of our RangeMaster(TM) line, during the first
quarter we successfully completed the second field trial of the company's RF
filter products in one of our customer's Code Division Multiple Access (CDMA)
cellular networks. The CDMA market represents an additional avenue of growth
for Illinois Superconductor," Smith said.
"Also, to lead our overall sales and marketing initiative, we added Bob
Riccitelli to our management team as vice president of sales and marketing. As
a former top sales officer of Northern Telecom, Bob has the experience we need
to help us accelerate our sales and marketing efforts," he added.
Illinois Superconductor Corporation develops products for commercial
applications using high-temperature superconducting (HTS) materials and its
proprietary thick-film fabrication technology. The Company focuses primarily on
developing radio frequency (RF) components to improve and enhance signal
transmissions in the cellular telephone and other wireless communications
markets.
(more)
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Illinois Superconductor Corp.
First Quarter 1997 Results
ADD -2-
Statements contained in this news release that are not historical facts
are forward looking statements that are made pursuant to the Safe Harbor
Provisions of the Private Securities Litigation Reform Act of 1995. The
Company cautions that a number of important factors could cause the Company's
actual results for 1997 and beyond to differ materially from those expressed in
any forward looking statements made by, or on behalf of, the Company. These
important factors and other factors which could affect the Company's results
are detailed in the Company's filings with the Securities and Exchange
Commission and are included herein by reference. The Company assumes no
obligation to update the information in this press release.
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ILLINOIS SUPERCONDUCTOR CORPORATION
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
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Three Months Ended
March 31,
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1997 1996
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Revenues $ 450,000 $ 57,122
Cost and expenses:
Cost of revenues 1,175,757 50,781
Research and development 1,264,534 1,131,918
Selling and marketing 566,502 252,337
General and administrative 658,559 822,912
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Total expenses 3,665,352 2,257,948
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3,215,352 2,200,826
Other income (expense): 76,586 154,485
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Net loss $ (3,138,766) $ (2,046,341)
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Net loss per common share $ (0.62) (0.48)
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Weighted average number
of common shares outstanding 5,023,510 4,229,264
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