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EXHIBIT 99.2
[ISCO LOGO]
NEWS
RELEASE
CONTACT: Maureen Murnane
PHONE: 847-391-9492
INTERNET: [email protected]
ILLINOIS SUPERCONDUCTOR ANNOUNCES CONVERSION OF SENIOR CONVERTIBLE NOTES
Mt. Prospect, IL (January 4, 2001) - ILLINOIS SUPERCONDUCTOR CORPORATION (OTC
Bulletin Board: ISCO), a leading supplier of interference-management solutions
for the wireless telecommunications industry, announced that all of its Senior
Convertible Notes have been converted into common stock in accordance with their
terms. The conversion eliminates all of the company's outstanding debt. After
conversion of the notes the total number of common shares outstanding is
107,719,307 as of December 31, 2000.
Charles F. Willes, Chief Financial Officer of ISCO, said: "This conversion
represents another important step toward strengthening ISCO's balance sheet. Our
capital structure is now free of debt and preferred stock. The conversion was
made in accordance with the terms agreed upon in 1999 and previously disclosed
on many occasions since then."
Illinois Superconductor Corporation is a leader supplier of interference
management solutions for the wireless telecommunications industry and the
industry leader in the commercialization of high temperature superconducting
technology for the wireless telecommunication applications. The Company
develops, manufactures and markets radio frequency (RF) products to enhance the
quality and capacity of cellular telephone, personal communications services and
other wireless telecommunications services. More information about Illinois
Superconductor Corporation is available on the Company's internet web site at
http://www.ilsc.com.
ISCO offers the broadest range of interference management solutions in the
industry. It offers the only patented product in the world that suppresses
in-band interference within 20 milliseconds. The company offers the widest range
of configurations for HTS out-of-band interference solutions that support
cellular, PCS and 3G systems. Its products include the smallest HTS filter
systems on the market today, as well as the only failure-proof all-temperature
HTS filter architecture, our patented ATP(TM) system. ISCO has sold more than
300 systems worldwide and has on-going field trials with domestic and
international service providers. ISCO is also developing ultra-high-performance
superconducting front-end products, including both transmitter and receiver
products for emerging
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third generation (3G) wireless systems. 3G systems are expected to replace
current wireless systems over the next several years.
Because the Company wants to provide investors with more meaningful and useful
information, this news release contains, and incorporates by reference, certain
"forward-looking statements" that reflect the Company's current expectations
regarding the future results of operations, performance and achievements of the
Company. The Company has tried, wherever possible, to identify these
forward-looking statements by using words such as "anticipates," "believes,"
"estimates," "expects," "plans," "intends" and similar expressions. These
statements reflect the Company's current beliefs and are based on information
currently available to it. Accordingly, these statements are subject to certain
risks, uncertainties and contingencies, which could cause the Company's actual
results, performance or achievements to differ materially from those expressed
in, or implied by, such statements. These factors include, among others, the
following: the Company's ability to obtain additional financing in the near
future; the Company's history of net losses and the lack of assurance that the
Company's earnings will be sufficient to cover fixed charges in the future; all
of which may adversely affect the Company's ability to finance its future
operations; and acceptance of, the Company's products; the timing and receipt of
customer orders; the Company's ability to attract and retain key personnel; and
the effects of legal proceedings. A more complete description of these risks,
uncertainties and assumptions is included in the Company's filings with the
Securities and Exchange Commission, including those described under the heading
"Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year
ended December 31, 1999. The Company undertakes no obligation to release
publicly the results of any revisions to any such forward-looking statements
that may be made to reflect events or circumstances after the date of this
Report or to reflect the occurrence of unanticipated events
