Artel Video Systems Acquires Utah Scientific; Agreement Combines Switching and Transmission Technologies

Business Wire, April 1, 1997

MARLBOROUGH, Mass.--(BUSINESS WIRE)--April 1, 1997--Artel Video Systems, Inc., a leading provider of fiber optic transmission equipment, has acquired the assets of Utah Scientific from Dynatech Corporation (NYSE: DYT), of Burlington, MA. Utah Scientific is well recognized as a global leader in the development and manufacturing of broadcast quality equipment for the routing and distribution of television signals.

Artel, with its new Utah Scientific division, is now able to provide its broadcast, production, post production, cable TV and telecommunications customers with both fiber optic transmission systems and switching technology. With the addition of Utah Scientific, Artel will be the first company to offer a common switch and transmission platform that is totally digital but includes the capability to transport and route analog signals as well.

"As the industry invests in digital video," said Harold E."Hal" Charnley, President and CEO, Artel Video Systems, "it becomes increasingly important to provide user-friendly routing and transmission systems for both analog and digital video with one purchase.

"The marriage of Artel Video Systems and Utah Scientific is a natural progression toward an all digital era, where transmission and switching will have to be seamless," continued Charnley, "and we're extremely pleased to have such a successful and well respected company join us in making this vision a reality."

"Artel's leadership with fiber transmission technology and its presence in the telecommunications industry, coupled with Utah Scientific's switching expertise and strength in the broadcast/post-production industry, will make an excellent match," said Craig Soderquist, President, Utah Scientific. "We're looking forward to leveraging off our respective strengths and jointly becoming the leading supplier of video switching and transmission equipment."

Since 1977, Utah Scientific has been a constant performer in the field of video routing and distribution. Today, broadcasters, satellite facilities, cable networks, post production houses and telecommunications providers use Utah Scientific equipment. The company's customer base includes major U.S. broadcast and cable networks, as well as a considerable cross-section of European and Asian facilities. Utah Scientific will continue to operate from its Salt Lake City headquarters and will function as a division of Artel.

According to Charnley, the reaction from Artel's major customers has been extremely positive. "We've been asking for a combined switching and transmission system, particularly in the local loop with gateways to wide area networks," said Del Bothof, President of Vyvx, Inc.., a leading international provider of integrated fiber-optic, satellite and teleport video transmission services. "The business agreement with Utah Scientific is a natural fit for Artel and will be beneficial to us and our customers."

Utah Scientific and Artel will hold a joint press conference at NAB 97 where they will discuss plans for moving forward together, melding Artel's fiber optic transmission systems with Utah Scientific's video routing systems. Artel Video Systems, Inc.

Headquartered in Marlborough, MA, Artel Video Systems, with its Utah Scientific division in Salt Lake City, UT, designs, manufactures and sells broadcast quality video transmission, switching, distribution, character generation, format conversion and control equipment. Artel's products offer global solutions for a wide range of applications for broadcast, carrier, post production and video campus applications.

Artel currently lists among its global customers television broadcasters and networks, national and regional common carriers, cable television systems operators, PTTs, higher education, medical and government facilities as well as a world wide network of dealers and value-added resellers.

CONTACT: Paula Goldstein

Geltzer & Company, Inc.

(212) 575-1976