eMagin Company Release
eMagin Announces Completion of $2.5 Million Private Placement
Hopewell Junction, NY--March 19, 2002 -- eMagin Corporation (AMEX: EMA) today
announced the completion and receipt of approximately $2.5 million private
placement of common stock with several institutional and individual investors.
The financing consisted of approximately 3.6 million shares of eMagin common
stock and warrants to purchase up to approximately 1.4 million additional
shares. The common stock investment was completed at 110% of the prior 5-day
average market price on the determination date of February 27, 2002, which was
$0.6913 per share of common stock. Warrants were issued at 12O% of the above
market price, or $0.7542 per share. The three-year warrants provided these
investors with the future right to purchase 0.4 shares of eMagin common stock
for every share of Common stock purchased in this transaction.
Commenting on this financing transaction, Gary Jones, president and chief
executive officer, stated, "This investment and investment commitment enables us
to continue to move our manufacturing ramp forward and generate increased cash
flow from sales in the near term. We will carefully control expenditures as we
begin to fulfill order backlogs and increasing rate of sales. We plan to
increase our supply inventories and add staff, mostly to increase off-shift
production. The high level of automation of our microdisplay production
equipment should permit large production gains from relatively small staffing
increases."
The company stated that it expects to use the net proceeds of the offering for
working capital and general corporate purposes, and to help execute
manufacturing goals for production of both consumer and military products.
Further details on the terms will be available in the Company's forthcoming form
8-K to be filed with the Securities and Exchange Commission.
About eMagin Corporation
eMagin Corporation (AMEX:EMA) designs, develops, and markets virtual imaging
system-on-a-chip solutions to enable the visual display of information, data,
video, and games through a wide variety of mobile electronic devices and the
next-generation of interactive virtual reality systems. The world leader in
organic light emitting diode (OLED)-on-silicon technology, eMagin combines
integrated circuits, microdisplays, and optics to create a virtual image similar
to the real image of a computer monitor or large screen TV. eMagin invented the
award-winning SVGA+ and SVGA-3D OLED microdisplays, the worlds' first and only
single-chip color video OLED microdisplay and embedded controller for advanced
virtual imaging. eMagin's microdisplay systems are expected to enable new mass
markets for wearable personal computers, wireless Internet appliances, portable
DVD-viewers, digital cameras, and other emerging applications for consumer,
industrial, and military applications. OLED microdisplays demonstrate
performance characteristics important to military and other demanding commercial
and industrial applications including low power consumption, high brightness and
resolution, wide dimming range, wider temperature operating ranges, shock and
vibration resistance, and insensitivity to high G-forces. eMagin's intellectual
property portfolio of more than 100 patents issued or filed is leveraged by key
OLED technology licensed from Eastman Kodak. eMagin's corporate headquarters and
microdisplay operations are co-located with IBM on its campus in East Fishkill,
N.Y. Optics and system design facilities are located at its wholly owned
subsidiary, Virtual Vision, Inc., in Redmond, WA. Additional information is
available at www.emagin.com.
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Forward Looking Statements
This release contains forward-looking statements within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934. These statements relate to future events or our future financial
performance. In some cases, you can identify forward-looking statements by
terminology such as "may," "will," "should," "expect," "plan," "anticipate,"
"believe," "estimate," "predict," "potential" or "continue," the negative of
such terms, or other comparable terminology. These statements are only
predictions. Actual events or results may differ materially from those in the
forward-looking statements as a result of various important factors, including
those described in the Company's most recent filings with the SEC. Although we
believe that the expectations reflected in the forward-looking statements are
reasonable, such statements should not be regarded as a representation by the
Company, or any other person, that such forward-looking statements will be
achieved. The business and operations of the Company are subject to substantial
risks which increase the uncertainty inherent in forward-looking statements. We
undertake no duty to update any of the forward-looking statements, whether as a
result of new information, future events or otherwise. In light of the
foregoing, readers are cautioned not to place undue reliance on such
forward-looking statements.
Contacts:
Edward Flynn, 845-892-1900, eflynn@emagin.com
Susan Jones, 845-892-1900, sjones@emagin.com
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