Mr. Schneider commented, "Del Global has a leading position in both film screen imaging and the emerging digital market. Regarding the latter, fiscal 2005 sales of Del Global's digital products surpassed those in fiscal 2004. In addition, we possess a highly regarded brand portfolio, long-standing distributor relationships, manufacturing capabilities, and intellectual capital created by over 70 years of selling medical imaging systems worldwide. The commencement of this global sales initiative represents our commitment to leveraging these core competencies to create a single, cohesive, international sales and marketing organization. Despite the brand equity that both Del Medical Imaging and Villa have built in their respective markets, Del Medical Systems Group lacked a unified global strategy. We hope to change that by, among other actions, realigning sales compensation to reflect our global product catalog and focusing on systems sales.

"Appointing Chris Japp was the last required step before advancing this plan. In addition to Chris, over the next 12 months we plan on hiring regional managers to cultivate sales opportunities in areas of the world that we believe hold significant promise. This includes estmarket for medical imaging products."


Mr. Schneider concluded, "We foresee a rising demand for lower cost medical equipment in both established markets and emerging nations around the world. Our fortified management team and the commencement of a global sales strategy should send a strong signal that Del Global is committed to strengthening its industry presence."

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