ATLANTA, May 24 /PRNewswire/ -- Video Display Corporation (Nasdaq: VIDE) today announced revenues and operating results for its fiscal year and for its fourth quarter ended February 28, 1999. Net revenues for the fourth quarter were at records levels at approximately $16.2 million, an increase of 6.6% or $1.0 million over $15.2 million reported for the previous year's fourth quarter. Net revenues for fiscal year ended February 28, 1999 reached $58.9 million versus $57.9 million reported for fiscal 1998. The Company reported a net loss for the fourth quarter of approximately $986,000 versus a net profit of $1,068,000 in the fourth quarter of fiscal 1998. The three primary contributing factors to the loss were the Company's decision to write off in excess of $1,000,000 in carrying value of slower moving inventory and $130,000 in probable uncollectible receivables. Secondly, the Company added approximately $225,000 to its deferred income tax provisions to offset potential income tax liability on foreign operations. The third major contributing factor to fourth quarter results was disruption of operations and costs involved by the move of Z-Axis to its newly finished headquarters and enlarged manufacturing facilities; the move of Aydin Displays to its new facilities; the start up costs of the Company's new warehousing and sales operations in Amsterdam and the relocation of Wintron into a new, highly efficient Company owned building. The Company expects that some of these relocation costs will continue to effect profits during the first quarter of fiscal year 2000 but should have little if any negative impact on the three remaining quarters of fiscal 2000. "The fine tuning in the process of integrating the newly acquired Aydin Displays and MegaScan divisions is proceeding on schedule. Full integration of engineering, manufacturing and marketing with other Company operations should be positively reflected in our fiscal 2000 full year results," said Ron Ordway, Chief Executive Officer of Video Display Corporation. About Video Display Corporation Video Display Corporation is a leading supplier of a complete range of Display Products and component parts for the Display industry. Its product line consists of a wide variety of electron optic parts for OEM cathode ray tube and monitor manufacturers, monochrome and color CRTs for medical, military, industrial and television applications, high and low end monochrome and color CRT and AMLCD monitor displays for specialty high performance and ruggedized requirements and a complete array of replacement parts for the consumer electronics industry. Video Display is a publicly held Company headquartered in Tucker, Georgia with 16 manufacturing and 7 warehousing and sales facilities in the United States, Mexico, United Kingdom and mainland Europe. This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described herein. 3 mos. Ended 12 mos. Ended 2/28/99 2/28/98 2/28/99 2/28/98 Net sales $16,229,000 $15,194,000 $58,889,000 $57,913,000 Cost of goods sold 12,057,000 9,209,000 38,897,000 35,951,000 Gross profit 4,172,000 5,985,000 19,992,000 21,962,000 Operating expenses 4,634,000 3,941,000 16,398,000 15,021,000 Operating profit (462,000) 2,044,000 3,594,000 6,941,000 Net income $ (986,000) $ 1,068,000 $ 1,122,000 $ 3,540,000 Basic EPS $ (0.25) $ 0.27 $ 0.28 $ 0.90 Diluted EPS $ (0.21) $ 0.24 $ 0.27 $ 0.82 Average basic shares outstanding 3,920,000 3,921,000 3,941,000 3,921,000 Average diluted shares outstanding 4,381,000 4,469,000 4,448,000 4,455,000  