ISG postpones release of financials

September 25, 1996

ISG Technologies postponed the release of its year-end financialresults this month, citing a lawsuit filed against the Mississauga,Ontario, PACS developer by its former president and CEO ThomasCafarella. ISG said it needs time to determine whether it

ISG Technologies postponed the release of its year-end financialresults this month, citing a lawsuit filed against the Mississauga,Ontario, PACS developer by its former president and CEO ThomasCafarella. ISG said it needs time to determine whether it shouldtake a charge as a provision for the litigation.

Cafarella filed suit against ISG last month, charging the companywith breach of contract when it dismissed him on Aug. 8 (SCAN8/28/96). Cafarella is claiming damages of $1.5 million (Canadian).

In addition to Cafarella, two other executives associated withthe former Siemens executive have left ISG. They are Denis O'Connor,a Loral veteran who was vice president of sales and marketing,and Gary Hepworth, director of human resources. Both had beenhired by Cafarella, according to ISG's CFO, Gerry McDonald.