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[QUALCOMM LOGO] NEWS RELEASE
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FOR IMMEDIATE RELEASE
QUALCOMM Contacts:
James Lee
Corporate Communications
(619) 651-2381 (ph)
(619) 658-4957 (fax)
e-mail: c_jlee@qualcomm.com
or
Richard Grannis
Investor Relations
(619) 658-4817 (ph)
e-mail: rgrannis@qualcomm.com
QUALCOMM ANNOUNCES TERMS OF TRUST CONVERTIBLE PREFERRED SECURITIES
SAN DIEGO -- February 19, 1997 -- QUALCOMM Incorporated (NASDAQ: QCOM) today
announced that terms have been finalized with respect to its proposed private
placement of 5-3/4 percent Trust Convertible Preferred Securities. The size of
the offering has been increased from $450 million to $550 million in gross
proceeds (less applicable fees and expenses). The offering is expected to close
on or about February 25, 1997.
The proceeds from the private placement will be used by QUALCOMM for working and
fixed capital requirements related to the expansion of its operations, financing
of customers of its CDMA infrastructure equipment and investments in joint
ventures or other companies and assets that will support growth of its
businesses.
-more-
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6455 Lusk Boulevard, San Diego, California 92121 (619) 587-1121
FAX: (619) 452-9096
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QUALCOMM Announces Terms of Trust Convertible Preferred Securities
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The Securities will represent an undivided beneficial interest in QUALCOMM
Financial Trust I, a Delaware business trust formed by QUALCOMM. The
Securities will be convertible into shares of Common Stock of QUALCOMM, at a
conversion price of $72.6563 per share (which represents a 25% premium over
today's last bid price of $58.125), at any time at the option of the holder
beginning 60 days following the closing of the offering, subject to certain
terms and conditions. QUALCOMM may issue additional 5-3/4 percent Trust
Convertible Preferred Securities solely to cover over-allotments, if any, which
would result in additional gross proceeds of approximately $110 million (less
applicable fees and expenses).
Headquartered in San Diego, QUALCOMM develops, manufactures, markets, licenses
and operates advanced communications systems and products based on its
proprietary digital wireless technologies. The Company's primary product areas
are the OmniTRACS(R) system (a geostationary satellite-based, mobile
communications system, providing two-way data and position reporting services),
CDMA wireless communications systems and products and, in conjunction with
others, the development of the Globalstar(TM) low-earth-orbit (LEO) satellite
communications system. Other company products include the Eudora Pro(TM)
electronic mail software, ASIC products, and communications equipment and
systems for government and commercial customers worldwide. For more
information on QUALCOMM products and technologies, please visit the Company's
web site at <http://www.qualcomm.com/>.
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QUALCOMM, OmniTRACS and Eudora are registered trademarks and Eudora Pro is a
trademark of QUALCOMM Incorporated. Globalstar is a trademark of Loral Qualcomm
Satellite Services, Incorporated.
[QUALCOMM logo]