EXHIBIT 99.01
FOR IMMEDIATE RELEASE
DEL GLOBAL TECHNOLOGIES DELAYS FILING OF FORM 10-Q
VALHALLA, NY - June 18, 2003 -- Del Global Technologies Corp. (DGTC)
("Del Global" or "the Company") today announced that it has filed with the
Securities and Exchange Commission a Notification of Late Filing on Form 12b-25
for its Quarterly Report on Form 10-Q for its third fiscal quarter ended May 3,
2003. This filing provides for a 5 calendar day extension of the Company's
filing date for its Form 10-Q. The Company expects to be able to file its
Quarterly Report on or before Monday, June 23, 2003, which would be within this
extension period.
As a separate matter and as previously announced, Del Global has
entered into negotiations regarding a comprehensive settlement of the Department
of Defense's investigation into the Company's RFI Corporation subsidiary. Prior
to preliminary discussions with the U.S. Government in June 2003, Del Global had
no basis to estimate the financial impact of this investigation. Based on
preliminary settlement discussions with the U.S. Government, discussions with
the Company's legal advisors, consideration of settlements reached by other
parties in investigations of this nature, and consideration of Del Global's
capital resources, management has now developed an estimate of the low end of
the potential range of the financial impact. Accordingly, Del Global expects to
report a charge in its third quarter of fiscal 2003 of $2,347,000, which
represents its estimate of the low end of a range of potential fines and related
legal and professional fees in connection with this potential comprehensive
settlement.
Subsequent to the filing of its 10-Q, the Company will hold an
investor conference call on a date to be announced.
Del Global Technologies Corp. is primarily engaged in the design,
manufacture and marketing of cost-effective medical imaging and diagnostic
systems consisting of stationary and portable x-ray systems,
radiographic/fluoroscopic systems, dental imaging systems and proprietary
high-voltage power conversion subsystems for medical and other critical
industrial applications. Industrial applications for which Del Global supplies
power subsystems include airport explosives detection, analytical
instrumentation, semiconductor capital equipment and energy exploration.
Statements about future results made in this release may constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements are based on current
expectations and the current economic environment. The Company cautions that
these statements are not guarantees of future performance. They involve a number
of risks and uncertainties that are difficult to predict including, but not
limited to, the ability of the Company to implement its business plan, retention
of management, changing industry and competitive conditions, obtaining
anticipated operating efficiencies, securing necessary capital facilities,
favorable determinations in various legal and regulatory matters, including a
settlement of the Department of Defense investigation on terms that the Company
can afford and that does not include a debarment from doing business with the US
Government, and favorable general economic conditions. Actual results could
differ materially from those expressed or implied in the forward-looking
statements. Important assumptions and other important factors that could cause
actual results to differ materially from those in the forward-looking statements
are specified in the Company's filings with the Securities and Exchange
Commission.
CONTACT: INVESTOR RELATIONS:
Del Global Technologies Corp. The Equity Group Inc.
Samuel E. Park, President & Chief Executive Officer Devin Sullivan (212) 836-9608
Thomas V. Gilboy, Chief Financial Officer Adam Prior (212) 836-9606
(914) 686-3600
