BATM ADVANCED COMMUNICATIONS
10 September 1999
BATM announces $18.5m order from 3M
The Board of BATM, developer and manufacturer of advanced data and
tele-communications equipment, is pleased to announce a further
major order from 3M. BATM is to supply additional equipment
supporting fibre optical connections to the value of $18.5m. The
order is under the terms of an Agreement between 3M and BATM
announced on 18 February 1998 and follows earlier orders totalling
$12m.
The equipment to be supplied under this order is expected to
largely consist of BATM's new Titan range of switches. The
Company expects shipments to begin early in 2000 and the order to
be fulfilled during the course of the year.
Dr Zvi Marom, BATM's Chief Executive, said:
'We are delighted that our relationship with 3M continues to
develop so positively and with the response of 3M's customers to
the current shipments of our equipment supporting 3M's Volition
system.'
For further information please contact:
Dr Zvi Marom BATM Advanced Communications Limited 0097239386888
Graham Shore Shore Capital 0171 734 7293
Edward Macquisten Ludgate Communications 0171 253 2252
Background
In January 1998 3M (NYSE:MMM) announced the global launch of a new
fibre optic cabling system under the Volition brand, intended to
make optical fibre to the desktop affordable and practical. In
February 1998 BATM announced the signing of a major contract with
the Telecom Systems Division of 3M under which BATM agreed to
adapt its products supporting optical fibre cable to incorporate
Volition.
On 2nd June 1999 BATM and 3M announced their agreement to form a
closer working relationship focusing on mass IP traffic,
especially the Next Generation Internet, using fibre optic and
photonic networking. As a step towards such cooperation, 3M
invested $10 million in new ordinary shares in BATM, acquiring a
holding of 4.34% of the Company. In addition, 3M was granted an
option to subscribe for additional shares to increase its holding
to up to 9.99% of the Company. This option is exercisable at any
time during the 12 months following 1st June 1999 at the market
price immediately prior to the exercise date.
BATM develops and manufactures advanced communications solutions
for computer and telecommunications networks. BATM's switches and
connectivity devices allow computer users to communicate across
networks at high speed. BATM has its headquarters in Israel and
subsidiaries in the UK, Germany and the US. BATM joined the
Official List of the London Stock Exchange from AIM on 8th July
1999.
Based in Austin, Texas, the 3M Telecom Systems Division is a
global leader in products and services for the telecommunications
industry. 3M is a diversified manufacturing company with annual
sales in 1998 of more than $15 billion in continuing operations.
It has operations in more than 60 countries and employs 73,000
people worldwide. Headquartered in St. Paul, Minn., 3M is a
manufacturer of a wide variety of products that serve industrial,
commercial and consumer markets.
For more information on BATM, visit http://www.batm.com or for
more information on 3M's Volition System, visit
http://www.mmm.com/volition.