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Issue: 1980 June 01 - Vol 6 Num 10

NAMA
On the move
pulls high
Attendance at the 1980 Western
Convention -Exhibit of Vending and
Foodservice Management totaled
3,348 persons , the second highest
total since 1975, according to G.
Richard Schreiber, president of the
sponsoring National Automatic Mer-
chandising Association ( NAMA).
Held at the Anaheim, California
Convention Center , March 14
through 16 , the trade show attracted
a record number of 145 exhibitors
who occupied 32 ,000 square feet of
booth space . Of these, 31 companies
exhibited for the first time at the 1980
show .
A variety of new food products for
distribution through vending ma-
chines and in employee cafeterias,
several companies offering computer
services for vending firms and
electronic monitoring systems for
speedy reporting of sales and
machine inventory were notable
among the exhibits.
"Vending is still a growth industry
but its net profits are not growing fast
enough," Allan P. Lucht, president
of Servomation Corporation , told the
audience in a keynote address . He
urged vending companies to keep
track of the profitability of individual
accounts and all aspects of their
operations .
In another keynote speech, Pat-
rick L. O 'Malley, chairman of
Canteen Corporation , described ex-
cessive government regulations and
campaigns by consumer activists as a
threat to the free enterprise system .
Energy conservation, employee mo-
tivation , and security measures were
other convention discussion topics.
The 1980 NAMA national con -
vention will be held in Kansas City
from October 23 to 26.
Suzo's ready
Suzo Trading Company of Rotter-
dam, The Netherlands , has available
its general price list and sub-catalog
for solid state electronic equipment.
The supplies and parts catalogs
are available from Suzo Trading Co.,
85/ 89 Schonebergerweg, 3023 ZJ
Rotterdam , The Netherlands.
Watner In slot
Petit
Sayers
Atarl names two
regional chiefs
Tom Petit and Lenore Sayers have
been named regional sales managers
for the coin -operated games division
of Atari, according to Frank Ballouz ,
marketing director of the company.
Petit , who joined Atari part-time in
1977 , has held various positions with
the company in manufacturing , sales
order processing , and most recently
as sales representative.
Ms . Sayers returns to Atari after
serving as vice president of marketing
for the previous nine months at
Cinematronics .
Ballouz commented , "She brings
six years of experience in all phases
of sales and marketing , which is of
value to both herself and Atari."
Ms . Sayers will have territorial re -
sponsibility in the northeast , north -
west , and upper midwest.
In Petit's new post , he will be re-
sponsible for all sales in the
southwest , southeast, and lower
midwest , along with the responsibility
for the introduction and sales of
products planned for new markets .
He and Ms . Sayers will report directly
to Don Osborne , national sales
rnanager.
"Tom's rapport with our custom-
ers and his success in our marketing
programs have contributed greatly to
our sales efforts ," said Ballouz in
commenting on this promotion . "His
enthusiasm and thorough industry
knowledge make him ideal for this
job , and enhances our ability to serve
our distributors more efficientlv. "
Data East Inc., has established offices
in Palo Alto , California. In doing so
Deco has appointed Hal Watner as
Director of Marketing for U . S . and
European markets .
Deco , one of Japan 's top video
game manufacturers enters the world
wide market with great designs and
technical expertise . Originally called
Nomura Electronics, they supplied
the automotive , semiconductor and
computer industries with test and
measuring equipment. In 1976 Mr.
T . Fukuda , President/Managing Di -
rector of Nomura started Data East
Incorporated.
After establishing themselves in
Japan , Mr . Fukuda appointed Mr. K.
Iwamoto , formerly international mar-
keting manager of NEC and ITT , to
head the U. S. A . headquarters as
executive vice president.
Deco is currently seeking larger
facilities on both coasts and plan to
service all distributors from these
locations .
Watner
Brier
Brier picked by
Loewen·America
Mac Brier is the newly appointed vice
president and general manager for
Loev~~en - America , Inc .
Brier, a thirty -year veteran of the
coin machine industry who has
experience in all facets of the coin
machine industry , will be working
closely with Loewen -America Presi -
dent Bert Davidson to strengthen
that firm's sales force distributor
network .
111m
The World's Leading Amusement .Machine Trade Publication
Seeburg 'reorganization' related
XCOR reports 1979 net loss
XCOR International , Inc . reported
financial results which show that for
the year ended December 31 , 1979,
after deducting two nonrecurring
items, the company experienced a
net loss of $2 ,448 ,000 on revenues
of $139,192,000. This compares to
the Oak Brook , Illinois firm 's reve-
nues and net income of $123 ,596 ,-
000 and $5,412,000, respectively ,
th e year before.
XCOR posted a loss of 79 cents
per share in 1979 versus income of
$1.86 per share during 1978, which
includes an extraordinary credit of
$2,015,000, or 69 cents per share ,
from the utilization of tax loss
carryforwards.
In the fourth quarter XCOR
reported a loss of $2 ,122,000 on
reven ues of $32 ,720 ,000 compared
with revenue and net income during
the year ago fourth quarter of
$29 ,383,000 and $504 ,000 , respec-
tively .
The first of the non-recurring items
resulted from a tornado which struck
XCOR's Choice Vend vending ma-
chine manufacturing facility in Wind-
sor Locks , Connecticut on October
3, 1979 , substantially damaging the
facility and halting all production until
January 14, 1980 , and creating a
significant shortfall in sales and
earnings during the last quarter of the
year. The company maintains in-
surance for damage to the property
and its contents as well as business
interruption expense .
The company has reached agree-
ment on certain of its claims under its
insurance coverage for damages to
the building , equipment, and inven-
tory : however, the business inter-
ruption claim as a result of the
disruption caused by the tornado was
in the process of being filed at the
time of XCOR's April financial
reports . Since the resolution of this
claim is dependent upon agreement
with the insurance company, no
estimate of the recovery is reflected
in the 1979 financial statements .
The second item related to
XCOR 's October announcement of a
loss provision for the third quarter of
$5 .2 million relating to the full book
value of securities of the Seeburg
Corporation , the carrying value of
receivables due from it and the cost
of present and future operations of
properties leased to it . The loss
provision was established after See-
burg Corporation , the purchaser of
XCOR's coin-operated phonograph
division , became delinquent in the
payment of certain of its obligations
to the company and had filed for
re -organization under Chapter 11 of
the bankruptcy code .
James J. Hughes , president and
chief operating officer of XCOR , said
that despite the loss reported for
1979, he is "optimistic that the
company is in basically sound fiscal
health and is well positioned to take
full advantage of the various markets
in which its subsidiary companies
compete ."
"We are confident that we have
put these two distinct and nonrecur-
ring events behind us and that we
can look forward to successful
operations during the coming year,"
he said.
XCOR International , Inc . is a
diversified manufacturing and ser-
vicing company which , through its
subsidiaries, manufactures vending
machines , amusement games, mu-
sical instruments, and hearing aids . It
also operates a theater-in-the-round
near Cleveland , Ohio .
GoHiieb holds seminars on new system
Key Gottlieb distributor solid state
service personnel recently attended
the company's "Star Series 80
Technical Seminars" in Chicago at
th e O'Hare Holiday Inn .
The purpose of the two seminars
which were held on Tuesday , March
11 , and Thursday , March 13, was to
familiarize the distributor technicians
with the technical characteristics of
Gottlieb's new "System 80" solid
state electronics.
The program included welcoming
remarks by Bob Bloom and Alvin
Gottlieb as well as a video presenta-
tion centering around the company's
50-year history . A reception and
dinner was also included in each two
day affair.
The affair was hosted by Dick
Finger, Director of Engineering, and
the school conducted by George
Off shack , Gottlieb Field Service
Engineer . Members of the Gottlieb
management staff including Robert
W . Bloom , Alvin Gottlieb, Gil
Pollock , Jack Mittel , and Tom
Herrick also attended .
Gottlieb Field Service Engineer George Offshack [ right] responds to a dis-
tributor tech with an assist from Alvin Gottlieb, executive V . P.

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