<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1997
----------------------------
OLICOM A/S
(Translation of registrant's name into English)
Nybrovej 114
DK-2800 Lyngby
Denmark
(Address of principal executive offices)
-----------------------------
[Indicate by check mark whether the registrant files
or will file annual reports under cover of
Form 20-F or Form 40-F
Form 20-F [X] Form 40-F [ ]
[Indicate by check mark whether the registrant by finishing the
information contained in this Form is also thereby furnishing
the information to the Commission pursuant to Rule 13g3-2(b)
under the Securities Exchange Act of 1934.
Yes [ ] No [X]
[If "Yes" is marked, indicate below the file number assigned to
the registrant in connection with Rule 13g3-2(b): Not Applicable
This Form 6-K shall be incorporated by reference to
the registrant's registration statement on Form F-4
under the Securities Act of 1933, as amended, registration
no. 333-24655.
<PAGE> 2
OLICOM A/S
FORM 6-K
TABLE OF CONTENTS
<TABLE>
<CAPTION>
Page
----
ITEM 1. FINANCIAL INFORMATION
<S> <C>
Consolidated Balance Sheets as of
December 31, 1996 and September 30, 1997 3
Consolidated Statements of Income
for the three months ended September 30, 1996
and September 30, 1997 4
Consolidated Statements of Cash Flows for the nine months
ended September 30, 1996
and September 30, 1997 5
Notes to Consolidated Financial Statements 6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS 8
ITEM 4. EXHIBITS
Exhibit No. Description
99.1 Press Release dated October 15, 1997, relating 13
to Financial Results for Third Quarter 1997
</TABLE>
<PAGE> 3
OLICOM A/S
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
DECEMBER 31, 1996 SEPTEMBER 30, 1997
----------------- ------------------
(UNAUDITED)
ASSETS (IN THOUSANDS)
<S> <C> <C>
Current assets:
Cash and cash equivalents $ 41,663 $ 32,920
Short term investments 9,887 12,351
Accounts receivable, less allowance of
$1,055 in 1996 and $2,164 in 1997 37,712 56,703
Inventories 22,252 23,717
Deferred tax 945 3,941
Prepaid expenses and other 3,682 2,756
--------- ---------
Total current assets 116,141 132,388
Property and equipment 11,032 14,482
Purchased intangibles 751 9,673
Investment in affiliated companies 0 527
--------- ---------
Total assets $ 127,924 $ 157,070
========= =========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 21,083 $ 15,080
Accrued payroll and related expenses 3,424 3,795
Accrued product warranty expense 823 2,302
Other accrued expenses 1,834 15,518
Income taxes payable 2,570 1,314
--------- ---------
Total current liabilities 29,734 38,008
Minority interests 681 876
Shareholders' equity:
Common shares, DKK 0.25 nominal value
authorized and issued -
15,938 in 1996, 18,475 in 1997 614 711
Additional paid - in capital 52,348 97,901
Retained earnings 56,849 32,020
Treasury stock - 1,255 in 1996 and 1,057 in 1997 (11,831) (12,820)
Unrealized gains/losses on securities (471) 374
--------- ---------
Total shareholders' equity 97,509 118,186
--------- ---------
Total liabilities and shareholders' equity $ 127,924 $ 157,070
========= =========
</TABLE>
See accompanying notes
<PAGE> 4
OLICOM A/S
CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
<CAPTION>
NINE MONTHS ENDED THREE MONTHS ENDED
SEPTEMBER 30, SEPTEMBER 30,
----------------------- -----------------------
1996 1997 1996 1997
--------- --------- --------- ---------
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
(UNAUDITED)
<S> <C> <C> <C> <C>
Net Sales $ 117,917 $ 165,742 $ 45,453 $ 64,035
Cost of Sales 67,384 85,515 25,180 31,676
--------- --------- --------- ---------
Gross profit 50,533 80,227 20,273 32,359
--------- --------- --------- ---------
Operating expenses:
Sales and marketing 29,790 37,229 9,080 14,760
Research and development 9,571 12,011 3,183 5,592
General and administrative 5,071 7,896 1,738 3,073
Acquisition related expenses 3,787 40,917 0 0
Special charge re. management 1,402 0 0 0
change
--------- --------- --------- ---------
Total operating expenses 49,621 98,053 14,001 23,425
--------- --------- --------- ---------
Income from operations 912 (17,826) 6,272 8,934
Sale of minority interest in related 2,878 0 0 0
party
Interest income (expense) and other, net 1,687 840 220 (11)
--------- --------- --------- ---------
Income before income taxes 5,477 (16,986) 6,492 8,923
Income taxes 2,094 7,649 2,343 2,785
--------- --------- --------- ---------
Income before minority interests 3,383 (24,635) 4,149 6,138
Minority interests 440 195 7 36
--------- --------- --------- ---------
Net income $ 2,943 $ (24,830) $ 4,142 $ 6,102
========= ========= ========= =========
Net income (loss) per share $ 0.20 $ (1.58) $ 0.28 $ 0.34
========= ========= ========= =========
Weighted average shares outstanding 14,793 15,745 14,849 18,203
========= ========= ========= =========
</TABLE>
See accompanying notes
<PAGE> 5
OLICOM A/S
CONSOLIDATED STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
NINE MONTHS ENDED
SEPTEMBER 30,
1996 1997
--------- ---------
(UNAUDITED)
(IN THOUSANDS)
<S> <C> <C>
Operating activities:
Net income $ 2,943 $ (24,830)
Adjustments to reconcile net income to net
cash provided by (used in) operating activities:
Depreciation and amortization 2,547 3,929
Gain on sale of affiliate (2,878) 0
Minority interest in earnings (58) 195
Deferred income taxes (490) (846)
Purchased research and development 2,431 40,917
Change in operating assets and liabilities:
Accounts receivable 81 (14,684)
Other receivables 328 1,913
Inventories 9,774 2,292
Prepaid expenses 384 (2,530)
Accounts payable (12,531) (8,492)
Accrued payroll and related expenses (3,367) (56)
Accrued product warranty expense 20 298
Other accrued liabilities 2,206 11,071
Income taxes payable 1,010 (1,252)
--------- ---------
Net cash provided by (used in)
operating activities 2,400 7,925
Investing activities:
Capital expenditures (6,798) (4,611)
Proceeds from sale of property and affiliated company 7,193 0
Investment in affiliated company Digianswer 0 (527)
Proceeds from sale of short-term investments 0 30,786
Acquisition of CrossComm net of cash acquired 0 (39,634)
Acquisition of Lasat net of cash acquired (3,509) 0
--------- ---------
Net cash provided by (used in)
investing activities (3,114) (13,986)
Financing activities:
Borrowings (repayments) (6,389) (0)
Proceeds from warrants/options exercised 675 2,983
Sale (purchase) of treasury stock (28) (4,750)
--------- ---------
Net cash used in financing activities (5,742) (1,767)
Effect of exchange rate changes on cash (767) (915)
--------- ---------
Net increase (decrease) in cash and cash equivalents (7,223) (8,743)
Cash and cash equivalents at beginning of period 34,029 41,663
--------- ---------
Cash and cash equivalents at end of period $ 26,806 $ 32,920
========= =========
Interest paid during the period $ 196 $ 33
========= =========
Tax paid during the period $ 1,740 $ 8,260
========= =========
</TABLE>
See accompanying notes
<PAGE> 6
OLICOM A/S
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The Consolidated Financial Statements as of September 30, 1996 and 1997, are
unaudited. In the opinion of the management of Olicom A/S (the "Company"), such
unaudited financial statements include only such normally recurring adjustments
necessary for a fair presentation of the results of operations for the interim
periods presented and of the financial position of the Company at the date of
the interim balance sheet. The results for such interim periods are not
necessarily indicative of the results for the entire year.
It is recommended that this financial data be read in conjunction with the
audited consolidated financial statements and notes thereto included in the 1996
Annual Report.
1. NET INCOME PER SHARE
Net income per share is computed based on the weighted average number of
common shares and common stock equivalents outstanding during each period.
Common stock equivalents are determined under the assumption that
outstanding warrants and options are exercised. Outstanding warrants and
options have been included in earnings per share computations based on the
treasury stock method.
2. INVESTMENTS IN FINANCIAL INSTRUMENTS
The Company invests cash resources not required for current operations in
various financial instruments. The Company considers highly liquid
investments with maturities of three months or less from the acquisition
date of the instrument to be cash equivalents. Short-term investments
consist primarily of shares in a U.S. mutual fund. The fund's investment
policy is that a major part of its assets is invested in US Government bonds
and other securities rated AAA by Standard & Poor's. The expected average
maturity is approximately three to five years.
3. INVENTORIES
Inventories are stated as the lower of cost or market with cost determined
on the basis of the first-in, first-out method. Raw materials inventories
are sold at the Company's cost to subcontractors who assemble products to
the Company's specifications. Finished goods inventories include completed
products purchased from subcontractors. Inventories consist of:
<TABLE>
<CAPTION>
DECEMBER 31, 1996 SEPTEMBER 30, 1997
----------------- ------------------
(UNAUDITED)
(in thousands)
<S> <C> <C>
Finished goods $ 13,967 $ 15,437
Raw materials 8,285 8,280
--------- ---------
Total inventories $ 22,252 $ 23,717
========= =========
</TABLE>
4. LEASEHOLD IMPROVEMENTS AND EQUIPMENT
Leasehold improvements and equipment are carried at cost. Depreciation is
charged on a straight-line basis to cost and expensed over the expected
useful lives of the assets. Equipment is depreciated over four years, and
leasehold improvements are amortized over the shorter of their estimated
lives or non-cancelable term of the lease. Leasehold improvements and
equipment consist of:
<PAGE> 7
OLICOM A/S
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
<TABLE>
<CAPTION>
DECEMBER 31, 1996 SEPTEMBER 30, 1997
----------------- ------------------
(UNAUDITED)
(in thousands)
<S> <C> <C>
Leasehold improvements $ 2,280 $ 2,551
Equipment 17,740 29,197
--------- ---------
20,020 31,748
Accumulated depreciation 8,988 17,266
--------- ---------
Total property and equipment $ 11,032 $ 14,482
========= =========
</TABLE>
5. REPORTING CURRENCY
Although the Company and its Danish subsidiaries maintain their books and
records in Danish kroner, as required by Danish law, the Consolidated
Financial Statements have been prepared in U.S. dollars because the U.S.
dollar is the currency of the primary economic environment in which the
Company and its subsidiaries conduct their operations.
The majority of the Company's sales are billed and collected in U.S.
dollars, and the majority of the Company's purchases of raw materials and
finished goods inventories are invoiced and paid in U.S.
dollars.
6. RESEARCH AND DEVELOPMENT COSTS
Research and development costs, including costs of developing software
products, are expensed as incurred. Application of Statement of Financial
Accounting Standards No. 86, "Accounting for the Costs of Computer Software
to Be Sold, Leased, or Otherwise Marketed," has not had any material effect
on the Company's consolidated financial position or results of operations.
As of September 30, 1997, research and development costs are net of a
$1,170,000 subsidy received from a Danish Government agency in support of
ATM and LAN switching activities. The subsidy will be repaid in the form of
a royalty if and when revenue from such switching products is realized.
<PAGE> 8
OLICOM A/S
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1996 AND 1997.
The following discussion should be read in conjunction with the information
contained in the Company's Annual Report on Form 20-F for the fiscal year ended
December 31, 1996, and the consolidated financial statements and related notes
included elsewhere herein.
RESULTS OF OPERATIONS
Net sales increased $18.6 million, or 40.9%, from the three months ended
September 30, 1996, to the comparable period of 1997. The Company believes that
the increase in net sales during such period was due to several factors,
including the revenues attributable to the former CrossComm Corporation
(CrossComm), which was acquired on June 12, 1997, increased sales in the U.S. in
general, and continued strength in the Company's traditional lines of business
(especially, growth in sales of Token-Ring PCI adapters). Net sales during the
third quarter of 1997 also benefitted from the introduction in mid-September,
1997 of the Company's Token-Ring and ATM switch products.
Gross profit increased $12.1 million, or 59.6%, from the three months ended
September 30, 1996, to the comparable period of 1997, and increased as a
percentage of net sales from 44.6% to 50.5%. The increase in gross margins was
primarily due to a favorable change in product mix and the inclusion of revenue
from CrossComm's operations, which typically operates at a higher average gross
margin than the Company has historically experienced.
Sales and marketing expenses increased $5.7 million, or 62.6%, from the three
months ended September 30, 1996, to the comparable period of 1997, and increased
as a percentage of net sales from 20.0% to 23.0%. The increase in the amount of
such expenses during such period was primarily due to increased marketing
activities both in the United States and Europe, including higher costs
associated with personnel expenses and promotional expenditures and the
inclusion of expenses associated with CrossComm's operations. The Company
expects that increased levels of sales activity will continue to require the
commitment of additional resources to the sales and marketing of the Company's
products. Accordingly, marketing expenses are expected to continue to be a
significant percentage of net sales as a result of the planned continued
investment in the Company's sales and support organization.
Research and development expenses increased $2.4 million, or 75.7%, from the
three months ended September 30, 1996, to the comparable period of 1997, and
increased as a percentage of net sales from 7.0% to 8.7%. The increase primarily
reflects the research and development activities that were acquired as part of
the CrossComm transaction and the hiring of additional personnel required to
support enhancements of current products and expenditures for new product
development. All of the Company's research and development costs have been
expensed as incurred.
General and administrative expenses increased $1.3 million, or 76.8%, from the
three months ended September 30, 1996, to the comparable period of 1997, and
increased as a percentage of net sales from 3.8% to 4.8%. The increase in the
amount of such expenses during such period primarily reflected the inclusion of
expenses associated with CrossComm's operations and additional personnel and
costs associated with the generally higher level of business activity.
The Company's operating income for the third quarter of 1997 was $8.9 million,
compared to operating income of $6.3 million for the third quarter of 1996.
LIQUIDITY AND CAPITAL RESOURCES
The Company has two unsecured line of credit facilities for an aggregate amount
of DKK 15.0 million ($2.2 million) and, in addition, a USD-denominated line of
credit facility for $8.5 million, of which $10.7 million
<PAGE> 9
was unused at September 30, 1997. Under prevailing banking practice in Denmark,
these lines of credit are terminable by the lender on 14 days prior notice (even
if the Company is not in breach of the general conditions for such facilities)
and are terminable without notice in the event of a breach thereof by the
Company (subject to any applicable cure period).
On September 30, 1997, the Company's inventory levels had increased 6.6% from
that recorded at December 31, 1996. The increase of inventory was due to the
increased business volume following the acquisition of CrossComm.
Trade accounts receivable at September 30, 1997, increased 50.4% to $56.7
million, from that recorded at December 31, 1996. The increase during such
period was primarily attributable to the increased levels of net sales.
BUSINESS ENVIRONMENT AND RISK FACTORS
Certain statements included in this Report are forward-looking. Such
forward-looking statements, in addition to other information included in this
Report, are based on current expectations and are subject to a number of risks
and uncertainties that could cause actual results in the future to differ
significantly from results expressed or implied in any forward-looking
statements by, or on behalf of the Company. Further, the Company's future
operating results may be affected by various trends and factors which the
Company must successfully manage in order to achieve favorable operating
results. In addition, there are trends and factors that are beyond the Company's
control that may affect its business, financial condition or results of
operations.
Such trends and factors include, without limitation, the following: overall
demand for communications and networking products, economic and other
considerations specific to the computer and networking industries, and general
economic conditions; rapid technological change, frequent new product
introductions, changes in customer requirements, continued emergence of industry
standards, and evolving methods of building and operating networks, which
require that the Company identify, develop, manufacture and market, on a
cost-effective and timely basis, new products and enhancements to existing
products that meet changing customer requirements and emerging industry
standards, and take advantage of technological advances; difficulties or delays
in the development, production and marketing of products, including, without
limitation, any failure to ship new products and technologies when anticipated,
the failure of manufacturing economies to develop when planned, customer delays
in purchasing products in anticipation of new product introductions or for other
reasons, and the activities of parties with whom the Company has joint
development projects; continued compatibility and interoperability of the
Company's products with products and architectures offered by various vendors;
fluctuations in the Company's revenues and operating results from quarter to
quarter, due to a variety of factors, including, without limitation, increased
competition, capital spending patterns of end-users, the timing and amount of
significant orders from distributors, value-added resellers ("VARs") and
original equipment manufacturer customers ("OEMs") (including decisions by such
customers as to the quantity of products to be maintained in inventories), the
mix of distribution channels and products, and pricing, purchasing, operational
and promotional decisions by distributors, VARs and OEMs (which could affect
their supply of, or end-user demand for, the Company's products); the absence of
long-term obligations on the part of distributors, VARs and OEMs to purchase
products from the Company (and the implicit risk of any unanticipated declines
in sales to any of the Company's material customers for competitive reasons or
because of the internalization of production of products purchased from the
Company on an OEM basis); declining average selling prices and short product
life cycles, both of which could adversely impact the sales and operating
margins of the Company; the Company's shipment of products shortly after receipt
of a purchase order, with the result that a substantial portion of the Company's
revenues for any quarter results from orders received during such quarter, and
minor shifts in the timing of purchase orders can have a significant effect on
net sales for any quarter; the Company's failure to accurately anticipate the
demand for its products, due to, among other things, the fact that the Company's
expectations of future net sales as well as its expenditures are based largely
on its own estimate of future demand and not on firm customer orders;
unanticipated declines in the demand for network interface cards, which
accounted for approximately 74.4% of the Company's net sales during 1996; the
effect that consolidation in the LAN industry may have on the
<PAGE> 10
competitive position of the Company and its revenues and operating results; the
acquisition of assets and businesses, including, without limitation, the making
or incurring of any expenditures and expenses in connection therewith
(including, without limitation, any research and development expenses relating
thereto) and expense attendant to the integration of personnel, operations and
products associated therewith; the Company's ability to continue to improve its
operational, management and financial systems and controls, and to integrate new
employees; any interruption in the supply of any sole or limited source
components, or the inability of the Company to procure these components from
alternate sources at acceptable prices and within a reasonable time; product
supply disruption and increased costs as a result of the subcontracting of
product assembly and aspects of component procurement, or in the event of
political unrest, unstable economic conditions or developments that are adverse
to trade in the countries in which certain of the Company's subcontractors
conduct operations; the activities of any parties with whom the Company has an
agreement or understanding, including, without limitation, issues affecting
joint development projects in which the Company is a participant; the continued
efficacy of steps taken by the Company to protect its proprietary rights, or the
independent development by competitors of technologies that are substantially
equivalent or superior to the Company's technologies; the loss of software or
other intellectual property licensed from third parties; claims from third
parties asserting that trademarks used by the Company, or technology used in the
Company's products, infringe or may infringe the rights of third parties; risks
associated with international operations, including, without limitation, longer
payment cycles, unexpected changes in regulatory requirements and tariffs,
export licenses, political instability, difficulties in staffing and managing
foreign operations, greater difficulty in accounts receivable collection,
potentially adverse tax consequences, and seasonal fluctuations resulting from
lower sales that typically occur during the summer months in Europe and other
parts of the world; the ability or inability of the Company to hedge against
foreign currency, foreign exchange rates and fluctuations in such rates; and a
change in the value of the U.S. dollar (the Company's functional currency)
relative to other currencies.
In addition, there are certain factors and risks relating to the acquisition of
CrossComm by the Company, including, without limitation, whether the integration
of the two companies' businesses is accomplished in an efficient manner, without
diversion of resources from new product development, confusion or
dissatisfaction among existing customers of the combined company, or temporary
distraction of management attention from the day-to-day business of the combined
company; the ability of the combined company to realize anticipated synergies;
the continuation by distributors, VARs and OEMs of their current buying patterns
without regard to the acquisition; the Company's success in implementing its
distribution model in connection with the sale of CrossComm products; the
incurrence of additional unanticipated expenses relating to the integration of
CrossComm into the Company's operations; the completion by the Company of
in-process technologies acquired in connection with the CrossComm transaction;
and the ability of the Company to exploit the new technologies as they are
developed. Further, unfavorable changes in the current political and economic
environment in Poland (where CrossComm has conducted and the Company presently
conducts significant research and development activities) or the imposition of
restrictions on travel or technology transfers between Poland and the United
States could have a material adverse effect on the business, financial condition
or results of operations of the combined company
In light of the foregoing factors, as well as other factors affecting the
Company's operating results, past trends should not be used by investors or
others to anticipate future trends, and prior operating performance may not be
an accurate indicator of future performance.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
With the exception of historical information, certain of the matters discussed
in this report and the press release included herewith are forward-looking
statements that involve risks and uncertainties, including, without limitation,
the risks and uncertainties described above under the caption "Business
Environment and Risk Factors", together with such risks and uncertainties as are
described in registration statements, reports and other documents filed by the
Company from time to time with the Securities and Exchange Commission pursuant
to the Securities Act of 1933, as amended, and the Securities Exchange Act of
1934, as amended. Such risks and uncertainties could cause the Company's actual
consolidated results for 1997 and beyond to differ materially from those
expressed in any forward-looking statements made by, or on behalf of, the
Company.
<PAGE> 11
SIGNATURES
The registrant certifies that it meets all of the requirements for filing and
has duly caused this form to be signed on its behalf by the undersigned,
thereunto duly authorized.
Olicom A/S
Date: February 20, 1998 By: /s/ Boje Rinhart
--------------------
Boje Rinhart
Chief Financial Officer
<PAGE> 12
EXHIBIT INDEX
Exhibit Description
99.1 News Release
<PAGE> 1
Exhibit 99.1
[GRAPHIC OMITTED]
NEWS RELEASE
OLICOM REPORTS RECORD REVENUE AND EARNINGS FOR THIRD QUARTER 1997
Copenhagen, Denmark and Dallas, Texas, Oct. 15, 1997 - Olicom A/S (Nasdaq:
OLCMF), a leading global supplier of high-performance networking solutions,
today reported financial results for the third quarter ended Sept. 30, 1997.
Net sales for the third quarter were $64.0 million compared with $45.5 million
in net sales reported in the third quarter of 1996.
Net income for the third quarter of 1997 was $6.1 million compared with $4.1
million in net income reported for the third quarter of 1996. Earnings per share
were $0.34 per share on 18.2 million shares outstanding, compared with $0.28 per
share on 14.8 million shares outstanding reported for the third quarter of 1996.
"Our fifth consecutive record in quarterly earnings was noteworthy because this
was Olicom's first full quarter of integration and synergy with the former
CrossComm, which we acquired in June," said Mr. Lars Stig Nielsen, Olicom's
chief executive officer. "We have already realized some benefits from these
synergies during the September launch of our industry-leading Token-Ring and ATM
network switching products. These products continue to demonstrate Olicom's
ability to deliver price-performance leadership."
During September, Olicom launched its CrossFireTM 8600 Token-Ring switch, which
introduced a price-per-port which is half the average price of previous
generation products. Concurrently, the Company launched the CrossFireTM 9100 ATM
workgroup switch. The OC-9100 features reduced complexity for enterprises
transitioning from frame-based to cell-based backbones, and the first product
implementation of the ATM ABR/Explicit Rate (ER) standard. ABR/ER delivers the
promise of standards based flow control under ATM.
During the quarter, sales of Olicom's industry-leading Token-Ring PCI adapters
grew at a sequential rate of 15 percent. This 15 percent growth, together with
strong post-launch sales of the Company's new switching products, and other
revenue related thereto, pushed the gross margin to 50.5 percent. The gross
margin was further bolstered by lower revenues, year over year, from Lasat,
Olicom's subsidiary which produces lower margin modem products.
-more-
<PAGE> 2
On October 3, 1997 Olicom announced its intention to be listed on the Copenhagen
Stock Exchange in November.
Olicom designs, develops, manufactures and markets high-performance,
high-availability networking solutions for corporate enterprises, specializing
in providing end-to-end connectivity solutions and a migration path to
high-speed LANs. Olicom offers products utilizing Token-Ring, Ethernet, Fast
Ethernet, and ATM network technologies. This wide coverage allows customers to
engage Olicom as a single source for complete, cost-efficient networking
solutions. The products of Olicom and its subsidiary, LASAT, are distributed
worldwide by a network of strategic partners and resellers. More information on
Olicom is available from the company's SEC filings or by contacting the company.
Current Olicom news and product/service information is available at the
company's World Wide Web site at http://www.olicom.com.
###
This news release contains forward-looking statements that involve risks and
uncertainties that could cause actual results to differ from predicted results.
Further information on factors that could affect the company's results are
detailed from time to time in Olicom's periodic filings with the Securities and
Exchange Commission, specifically the most recent Annual Report on Form 20-F.
Statements of income and balance sheets follow.
CONTACT INFORMATION:
OLICOM GROUP
Boje Rinhart, CFO Michael Camp, CEO
Olicom A/S Olicom, Inc.
+45 45 27 00 77 972-423-7560
EDITORIAL CONTACTS: INVESTOR RELATIONS CONTACT:
OLICOM, INC. STAPLETON COMMUNICATIONS
Diane Weldin Tersh Barber
972-516-4698 415-988-9207
[email protected] [email protected]
