Date: Monday, February 1st, 1999, 00:00
From http://www.prnewswire.com/: a press release about Mactell Corporation closing its doors:
AUSTIN, Texas, Oct. 25 /PRNewswire/ — Mactell Corporation(OTC Bulletin Board: MTLL), a leading manufacturer of performance enhancementcomputer products, today announced that it is permanently closing its doors.
Mactell has been attempting to work its way out of the problem createdwhen Apple Computer, Inc. made the decision to discontinue the licensing ofthe Macintosh operating system to clone manufacturers in August of 1997.Mactell has attempted to recover from an operating loss incurred ofapproximately $2,800,000 during the year ended June 30, 1998 and an additionalloss of approximately $1,800,000 for the year ended June 30, 1999. AlthoughMactell had a profit during the months of May and June 1999, the Company hadamassed payables in excess of $3,200,000 between many different vendors, muchof which is well beyond their payment terms. Many of these vendors haveeither filed suits against the Company or are threatening to do so. TheCompany has neither the funds to contest the litigation or pay the amounts tothe various creditors which are due them. Additionally, the Company doesn’thave large enough credit lines and cash flow to meet the demand for itsexisting product lines to enable it to continue on in a profitable manner.
The Company has attempted vigorously to obtain additional working capitalthrough additional loans, the factoring of its account’s receivable and theissuance of additional common stock of the Company, which have all beenunsuccessful. It is for these reasons that on October 22, 1999, the Board ofDirectors made the decision to permanently close the operations of the Companyeffective as of the close of business on October 22, 1999.
Headquartered in Austin, Texas, Mactell Corporation is a publicly tradedcompany, trading on the NASD electronic bulletin board, key symbol: MTLL.
SOURCE Mactell CorporationWeb Site: http://www.mactell.com/
Looks like Apple has screwed over a good Mac Company with its policy of discontinuing clone manufacturing…