Blackwood, New Jersey - May 2, 2002 -- Metrologic Instruments, Inc. (NASDAQ-NMS: MTLGE), a leading manufacturer of sophisticated imaging systems using laser, holographic, vision-based technologies; high-speed automated data capture solutions and bar code scanners, today refuted claims that it is in material breach of its cross-license agreement with Symbol Technologies, Inc. (NYSE: SBL) as announced earlier today by Symbol. The Company said that although it had not yet been served, it had obtained a copy of the complaint.
Metrologic has withheld its payment for royalties for the fourth quarter of 2001 pending the resolution of a dispute between the parties with respect to which products are covered by the license agreement and the actual amount of royalties owed by each party. Metrologic has been in discussions with Symbol since late last year over several disputed issues regarding the Agreement. Metrologic previously offered to pay Symbol those royalties that are currently owed under the Agreement by May 28, 2002, within the cure period set forth in the Agreement. Symbol has refused to accept this payment and claims that additional royalties are owed. Metrologic has disclosed in its Annual Report on Form 10-K that it had previously received notice of this suit.
"We are somewhat surprised by Symbol's initiation of this suit because until May 28, 2002 it is premature," said C. Harry Knowles, Metrologic's Chairman and CEO. "The actual amount in dispute under this lawsuit is under $500,000. The real issue between the parties is what royalties are owed by each party under the Agreement. We have tried unsuccessfully to discuss the issues with Symbol outside of litigation."
About Metrologic
Metrologic designs, manufactures and markets bar code scanning and high-speed automated data capture systems solutions using laser, holographic and vision-based technologies. Metrologic offers expertise in 1D and 2D bar code reading, portable data collection, optical character recognition, image lift, and parcel dimensioning and singulation detection for customers in retail, commercial, manufacturing, transportation and logistics, and postal and parcel delivery industries. In addition to its extensive line of bar code scanning and vision system equipment, the company also provides laser beam delivery and control systems to semi-conductor and fiber optic manufacturers, as well as a variety of highly sophisticated optical systems. Metrologic products are sold in more than 100 countries worldwide through Metrologic's sales, service and distribution offices located in North and South America, Europe and Asia. For more information please visit www.metrologic.com.
Forward-Looking Statement
Forward-looking statements contained in this release are highly dependent upon a variety of important factors which would cause actual results to differ materially from those reflected in such forward looking statements. Specifically, the factors that could cause actual results to differ from expectations include: the resolution or outcome of litigation; foreign currency fluctuations with the US dollar; the timing, introduction and market acceptance of Metrologic's new products; pricing pressures; competitive factors; sales cycles of Metrologic's products; Metrologic's ability to control manufacturing and operating costs which affect future profitability; technological changes in the scanner industry, specifically vision-based technologies; availability of patent protection for Metrologic's vision-based technologies, and other products; general economic conditions, and the disposition of legal issues. When used in this release and documents referenced, the words "believes", "expects", "may", "should", "seeks", or "anticipates", and similar expressions as they relate to Metrologic or its management are intended to identify such forward-looking statements. For additional factors, please see Metrologic's reports filed with the Securities and Exchange Commission.
Metrologic's Contact for Investor Relations:
Dale Fischer - Vice President
Phone: (856)228-8100
Email: Investor@metrologic.com