In 2002 MicroTel decided to discontinue the sale of test instruments in Europe and has subsequently centered all of its manufacturing and sales responsibility for network access and transmission products with its CXR SAS (France) subsidiary. CXR SAS (France) had previously used CXR Anderson Jacobson as a trade name for its network access and transmission products. As previously announced, CXR SAS (France) is no longer in the test instruments business in Europe, therefore the decision has been made to formally change the name to CXR Anderson Jacobson, reflecting MicroTel's subsidiary's total concentration of effort on network access and transmission products.
Commenting on the name change, Graham Jefferies, MicroTel's EVP and chief operating officer, stated, "MicroTel is implementing a broad strategy to penetrate the United States market with our French designed and manufactured product. The Anderson Jacobson name is a powerful brand name in the United States and we are seeking to capitalize on it as we seek broader penetration for our French subsidiary's products in the United States market."
Carmine T. Oliva, chairman, president and chief executive officer, stated, "This name change is part of a broader strategy that includes planned acquisitions meant to provide CXR Anderson Jacobson with a much expanded market presence for their products here in the United States."
MicroTel International Inc. is an international manufacturer of defense and aerospace electronic components and subsystems and communication equipment. Our electronic components group, which includes XET Corp. and its international subsidiaries, provides custom power conversion products, digital and rotary switches and subsystem assemblies to the global electronic components market and are primarily used for defense, aerospace and industrial applications. Our communications group, consisting of CXR Telcom Corp. and CXR, S.A.S. (France), provides network access, transmission and test equipment to the North American and European communications industry. Founded in 1983, MicroTel operates out of facilities in the United States, France, the United Kingdom and Japan. As of Sept. 30, 2003, we had a total of 188 employees in our various subsidiaries and divisions.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
With the exception of historical information, the matters discussed in this press release are forward looking statements that involve a number of risks and uncertainties. The actual future results of MicroTel could differ from those statements. Factors that could cause or contribute to such differences include, but are not limited to the ability of the name change from CXR to CXR Anderson Jacobson to improve its penetration of the United States market, the ability of MicroTel's strategy, that includes acquisitions, to expand its United States market presence for its CXR Anderson Jacobson French produced products and those factors contained in the "Risk Factors" Section of the company's Form 10-K for the year ended Dec. 31, 2002.