QMS Sells Ink Roll Business to IIMAK

Business Wire, Sept 25, 1995

MOBILE, Ala.--(BUSINESS WIRE)--Sept. 25, 1995--QMS, Inc. (NYSE:AQM) today announced that it is selling a portion of its consumables business to International Imaging Materials, Inc. (also known as IIMAK).

Under the agreement, IIMAK will have the right to sell to QMS customers in North and South America color thermal printer ribbons, paper, and transparencies which are used with the QMS ColorScript(R) line of printers. QMS will retain all of its other consumable business relating to its monochrome and color laser printer models. Although terms and conditions of the sale were not disclosed, proceeds to QMS will be in excess of $5 million.

Previously, IIMAK has supplied QMS with thermal transfer ribbons which QMS in turn resold to its customers. This agreement will allow IIMAK to sell the QMS branded transfer ribbons, paper, and transparencies directly to QMS customers.

"This agreement truly is a win-win arrangement," commented James L. Busby, Chief Executive Officer of QMS. "IIMAK is a leading manufacturer of color thermal ribbons and will benefit from the increased opportunities of selling to QMS customers. QMS is no longer selling volumes of its color thermal transfer printers. We believe that the sale of thermal printers and consumables will not be a part of the company's future strategy. Our emphasis in the color market will be to focus on color laser technology. For this reason, it makes sense to concentrate our resources on the color laser related business." Busby further commented that proceeds from the sale would be used to retire bank debt.

QMS is a leading producer of print systems and integrated office systems with products sold through direct, reseller, and distributors in 68 countries. The Company's print systems fit seamlessly into a variety of computer networks and include color and monochrome laser printers.

QMS, the QMS logo, and ColorScript are registered trademarks of QMS, Inc.

CONTACT: QMS, Inc., Mobile

James L. Busby, 334/633-4300