Leitch Technology Corporation ("Leitch" TSE:LTV) - a leading provider of high-quality digital video and audio solutions to the broadcasting, telecommunications, cable and Internet industries - today announced that it has closed on its investment in Path 1 Network Technologies, Inc. , a San Diego based company ("Path 1" Pink Sheets: PNWK, Berlin, Frankfurt: PNT), whereby Leitch has acquired approximately 30% of Path 1 for USD 10,000,000 plus 806,000 shares of Leitch stock issued from treasury.
In conjunction with the investment, Leitch and Path 1 also entered into a technology licensing agreement whereby Leitch will begin incorporating TrueCircuit technology into its equipment for sale on a global basis with exclusivity for the broadcast industry. Both companies intend to launch new products to be available for sale in the fall of 2000.
"We are pleased to have completed this investment expeditiously," said John MacDonald, President and Chief Executive Officer of Leitch. "The TrueCircuit technology based product line was enthusiastically received at the recent NAB show and we can now move forward on development of products which incorporate this exciting technology."
Leitch provides leading-edge solutions to store, switch, distribute, convert, and otherwise process high-quality audio and video signals. Applications for Leitch products span the broadcast, Telco, cable, post production, Internet and business-to-business markets. Leitch is headquartered in Toronto, Ontario, Canada with other key offices in Virginia, California, United Kingdom, Brazil, Japan, Hong Kong and Australia. For more information, please visit the Leitch web site at www.leitch.com
Path 1 was founded in January 1998 with the goal of becoming the world leader in providing "circuit switch" quality of service hardware and software for IP networks, including the Internet. Path 1 is developing products to allow telephony/audio/video data to travel on one homogeneous IP network. Additional information can be obtained from Path 1's Web site, www.path1.net.
TrueCircuit is a Trademark of Path 1 Network Technologies Inc.
Leitch, Inc., 920 Corporate Lane, Chesapeake, VA 23320-3641. Tel: 757-548-2300; Fax: 757-548-4088.