CECO Shareholders Committee commences proxy solicitation to replace CECO board

Business Wire, March 29, 1995

NEW YORK--(BUSINESS WIRE)--March 29, 1995--The CECO Shareholders Committee announced today that it had begun its proxy solicitation campaign to elect its slate to the board of directors of Communications and Entertainment Corp. (NASDAQ: CECO) at its upcoming annual meeting, scheduled for April 12, 1995 (to be adjourned to April 24, 1995).

Through its subsidiary, Odyssey Entertainment Ltd., CECO has been engaged in the distribution of motion pictures. In addition, it holds an interest in Global Intellicom Inc., a distributor of computer and wireless data transmission equipment.

"We look forward to giving CECO shareholders a meaningful choice between current management and our slate," said Lawrence Schneider, chairman of the CECO Shareholders Committee, "especially since CECO has not held a meeting of its shareholders for three years."

In February 1995, CECO's shares were de-listed from the NASDAQ National Market System for this reason.

Schneider continued, "The CECO Shareholders Committee will be soliciting CECO shareholders to vote for its nominees, who are committed to using their best efforts to reverse CECO's virtual abandonment of the film distribution business, and to express disapproval for CECO's venture into the computer distribution business."

CECO's Chairman and Chief Executive Officer, N. Norman Muller, has previously disclosed that he does not intend to seek re-election to the board. Two other directors, Thomas Smith and David Mortman, are also not seeking re-election.

"Despite the decisions by Norman Muller and two other directors not to stand for re-election," Schneider concluded, "the Committee believes it's essential that CECO's new board be completely independent of Muller and his board."

As stated in the Committee's proxy materials, CECO's outside auditors had previously called into question the expense reimbursement practices of Muller and Smith and the current board's lack of diligence in looking into these practices.

CONTACT: MacKenzie Partners Inc., New York

Stanley J. Kay, 212/929-5940