South Mountain Technologies (SMT)
How will SMT impact InFocus?
Engine revenues go away over the course of first half of 2005 and will be transferred to SMT
Projector and thin display product revenues will go up as we sell more cost competitive product
Royalty revenues will grow over time (as SMT sales volumes increase) supporting our gross margins
OPEX will go down by about $4M a year, but will be reinvested into new innovative CPSI engineering competencies and demand generation
We will recognize 50% of SMT’s operating results in other income