-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, CIz2EtDAOJzYmMj2DSTUdVWvblwIJyv806aBp2GBYC5vVhO/OW5p5sVzeshvxent slBYitrMfPJjjI0ApIAP7w== 0001275287-06-001707.txt : 20060403 0001275287-06-001707.hdr.sgml : 20060403 20060403071943 ACCESSION NUMBER: 0001275287-06-001707 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 5 CONFORMED PERIOD OF REPORT: 20060331 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060403 DATE AS OF CHANGE: 20060403 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIBERSTARS INC /CA/ CENTRAL INDEX KEY: 0000924168 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC LIGHTING & WIRING EQUIPMENT [3640] IRS NUMBER: 943021850 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-24230 FILM NUMBER: 06731143 BUSINESS ADDRESS: STREET 1: 44259 NOBEL DRIVE CITY: FREMONT STATE: CA ZIP: 94538 BUSINESS PHONE: 5104900719 MAIL ADDRESS: STREET 1: 44259 NOBEL DRIVE CITY: FREMONT STATE: CA ZIP: 94538 8-K 1 fi5300.txt FORM 8-K ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of Earliest Event Reported): March 31, 2006 FIBERSTARS, INC. (Exact name of registrant as specified in its charter) California 0-24230 94-3021850 (State or Other Jurisdiction of (Commission File Number) (I.R.S. Employer Incorporation) Identification Number) 32000 Aurora Road Solon, Ohio 44139 (Address of principal executive offices) (Zip Code) (440) 715-1300 (Registrant's telephone number, including area code) N/A (Former name or former address, if changed since last report.) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240-13e-4(c)) ================================================================================ Item 2.02. Results of Operations and Financial Condition The information in this Current Report is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing. On March 31, 2006, Fiberstars, Inc. issued a press release announcing its results for the year and quarter ended December 31, 2005. A copy of the earnings release is furnished herewith as Exhibit 99.1. Item 8.01. Other Events The information in this Current Report is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing. On March 31, 2006, Fiberstars, Inc. issued a press release announcing the award of $2.1 million in funding from DARPA for development and installation of lighting systems on three U.S. Navy ships. A copy of the release is furnished herewith as Exhibit 99.2. On March 31, 2006, Fiberstars, Inc. issued a press release announcing the award of a new patent covering its new Cloverleaf(TM) Optical Coupler. A copy of the release is furnished herewith as Exhibit 99.3. On March 31, 2006, Fiberstars, Inc. issued a press release announcing an agreement with National Elevator Cab and Corp. relating to installation of EFO(R)products in the elevator retrofit market. A copy of the earnings release is furnished herewith as Exhibit 99.4. Item 9.01 Financial Statements and Exhibits (d) Exhibits EXHIBIT NO. DESCRIPTION -------- ------------------------------------------------------- 99.1 Press Release dated March 31, 2006 regarding 2005 Results. 99.2 Press Release dated March 31, 2006 regarding Installation of Lighting on Navy Ships. 99.3 Press Release dated March 31, 2006 regarding Award of Patent covering Cloverleaf(TM)Coupler. 99.4 Press Release dated March 31, 2006 regarding Agreement with National Elevator Cab and Door Corp. 2 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: March 31, 2006 FIBERSTARS, INC. By /s/ Robert A. Connors ---------------------------- Name: Robert A. Connors Title: Chief Financial Officer 3 EXHIBIT INDEX EXHIBIT NUMBER DESCRIPTION - -------- ---------------------------------------------------------------------- 99.1 Press Release dated March 31, 2006 regarding 2005 Results. 99.2 Press Release dated March 31, 2006 regarding Installation of Lighting on Navy Ships. 99.3 Press Release dated March 31, 2006 regarding Award of Patent covering Cloverleaf(TM)Coupler. 99.4 Press Release dated March 31, 2006 regarding Agreement with National Elevator Cab and Door Corp. 4 EX-99.1 2 fi5300ex991.txt EXHIBIT 99.1 EXHIBIT 99.1 ------------ Contact: John Davenport or Bob Connors, CFO, 440-715-1300 FIBERSTARS REPORTS 2005 RESULTS SOLON, Ohio, March 31, 2006--Fiberstars, Inc. (Nasdaq: FBST) today announced fourth quarter and year 2005 results. Revenues for the year were $28,337,000, a decrease of 5% over sales for the year 2004. The loss for the year was $7,423,000 ($0.90 per share), vs. a loss of $704,000 ($0.10 per share) in 2004. Fourth quarter revenues were $6,234,000, a decrease of 20% over sales in the fourth quarter of 2004 of $7,840,000. The net loss in the quarter was $3,535,000 ($0.37 per share), vs. a net loss of $341,000 ($0.05 per share) in the fourth quarter of 2004. EFO(R) sales for the quarter were $307,000 compared to $298,000 for the same quarter a year ago. EFO sales for the year 2005 were $1,527,000 compared to $582,000 for the year 2004. The Company finished the year with a strong balance sheet with cash and short-term securities totaling $23,578,000 and total net assets of $38,184,000. The balance sheet was strengthened in the fourth quarter through a follow-on offering of common stock which raised $22.2 million after expenses. John Davenport, Fiberstars President and CEO, said, "There was a continued downward trend in "early buy" purchases by pool lighting customers in the fourth quarter, along with a small decrease in the traditional fiber optic business, causing a sales decline in the quarter. EFO sales for the quarter were flat on last year as the two large orders which had been anticipated for fourth quarter of 2005 were delayed until the second quarter of 2006. This has also impacted sales in the first quarter of 2006, as discussed below." "For the year, sales of EFO were $1,527,000, an increase of 2.6 times 2004 EFO sales and 5% of total sales which was at the lower end of our projections of 5-10% of total sales. As announced earlier and discussed below, EFO technology has improved ahead of our projections. Although for a variety of marketplace reasons the timing of customer orders on EFO is slower than we anticipated, we continue to believe that EFO will be as successful as we originally envisioned in 2006 and in the years to come." Davenport also noted, "Our move and restructuring of the company is nearly complete. Through the end of 2005 we have spent $3.1 million on restructuring and we expect our total costs to be in line with our budget of $3.5 million. While substantial cost savings from the restructuring have already been realized, further savings are expected as we complete moving the manufacturing of products offshore." "EFO prospects remain very positive. We are pleased by the recently announced signing of a $2.1 million DOD contract to supply lighting for three US Navy ships, which is primarily EFO business. We continue to make progress with Whole Foods Markets, with the latest single EFO store order our largest yet with that company. Albertsons recently gave us the order to light the first of six of their seafood sections with EFO. The recently announced National Elevator Cab and Door alliance is also expected to produce EFO revenue in 2006. We remain encouraged by our Gensler partnership and their continued support of EFO, including installation of EFO systems at their New York offices." "We are pleased with the progress of the customer testing of the new EFO ICE(TM) freezer case lighting system by a number of grocery store and mass merchandiser chains," continued Davenport. "Stores have traditionally had difficulty lighting freezer cases in a way which is both energy efficient and easy to maintain. With EFO ICE, we feel we have a solution which will give store owners better lighting using substantially less energy and saving maintenance costs. However, it is difficult to determine when these tests will translate into sizeable sales orders." Davenport also noted, "We have seen several potential store chain sales delayed as their decision processes and in some cases, construction cycles, have taken longer than expected. These delays, along with the late-in-the-quarter signing of the Navy ship install agreement, have resulted in our first quarter 2006 sales of EFO being about flat on first quarter sales in 2005. Our overall sales for the first quarter of 2006 will also be impacted by continued softness in the pool lighting and traditional fiber optic lighting markets. However, given the large amount of customer activity currently taking place, we still expect EFO sales for the year to be in the range of 15 to 25% of total sales, our original projection." R&D projects funded under both DOD and DOE contracts and grants continue to lead toward significant improvements in lamp performance. As a result of the work done in 2005, Fiberstars achieved efficiencies exceeding 50 lumens per watt for both its 4+4 and new 3+3 EFO system designs. Typical incandescent and halogen downlights range from 7 to 15 lumens per watt. A key element in achieving the improvements was the creation of the Cloverleaf(TM), a new, innovative light collector configuration for which Fiberstars recently received a patent. Further product developments from R&D work including further efficiency improvements are expected in 2006. Fiberstars management will host a conference call on Monday, April 3, 2006 at 9:30 a.m. EDT (6:30 a.m. PDT) to review the fourth quarter financial results and other corporate events, followed by a Q & A session. Dialing 1-800-507-9434 (US Canada) or 1-706-634-5544 (International/Local) can access the call. The conference ID number is 6902008. Participants are asked to call the assigned number approximately 10 minutes before the conference call begins. The conference call will also be available over the Internet at http://www.fiberstars.com in the Investor Relations area of the site or by going to http://www.mkr-group.com. A replay of the conference call will be available two hours after the call for the following 7 days by dialing 1-800-642-1687 and entering the following pass code: 4092677. Also, an instant replay of the conference call will be available over the Internet at http://www.fiberstars.com as of April 4, 2006 and will remain available for 1 year in the Investor Relations area of the site or by going to http://www.mkr-group.com. 2 ABOUT FIBERSTARS Fiberstars designs, develops, manufactures and markets fiber optic lighting systems for wide-ranging uses in both the general commercial and the pool and spa lighting markets. Fiberstars' EFO system, introduced in 2004, offers energy savings, heat dissipation and maintenance cost benefits over conventional lighting for multiple applications. The Company's headquarters are located at 32000 Aurora Rd., Solon, Ohio. The Company has additional offices in California, New York City, England and Germany. Telephone: 440-715-1300. Web site: http://www.fiberstars.com. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements regarding the goals and business outlook for 2006 and thereafter, future pool market sales, the expected growth of and percentage of the company to be represented by EFO, expected product development and introductions, expected overall sales growth and profitability, and expected benefits, revenues and products from the DARPA Navy contract and other DARPA and Department of Energy R&D work. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Actual results may differ materially from the results predicted. Risk factors that could affect the Company's future include, but are not limited to, a slowing of the U.S. and world economy and its effects on Fiberstars' markets, failure to develop marketable products from new technologies, failure of EFO or other new products to meet performance expectations, unanticipated costs of integrating acquisitions into the Fiberstars operation, delays in manufacturing of products, increased competition, other adverse sales and distribution factors and greater than anticipated costs and/or warranty expenses. For more information about potential factors which could affect Fiberstars financial results, please refer to Fiberstars' SEC reports, including its Annual Report on Form 10-K for the year ended December 31, 2005, and its quarterly reports on Form 10-Q. These forward-looking statements speak only as of the date hereof. Fiberstars disclaims any intention or obligation to update or revise any forward-looking statements. 3 FIBERSTARS, INC. CONSOLIDATED BALANCE SHEETS (amounts in thousands) December 31, December 31, 2005 2004 -------------- -------------- ASSETS Current assets: Cash and cash equivalents $ 5,554 $ 3,609 Short-term investments 18,024 -- Accounts receivable trade, net 6,287 7,224 Inventories, net 7,852 8,433 Prepaids and other current assets 879 607 -------------- -------------- Total current assets 38,596 19,873 Fixed assets, net 3,422 2,604 Goodwill, net 4,135 4,279 Intangibles, net -- 150 Other assets 56 112 -------------- -------------- Total assets $ 46,209 $ 27,018 ============== ============== LIABILITIES Current liabilities: Accounts payable $ 2,623 $ 2,920 Accrued expenses 3,924 2,374 Short-term bank borrowings 389 38 -------------- -------------- Total current liabilities 6,936 5,332 Long-term bank borrowings and liabilities 1,089 484 -------------- -------------- Total liabilities 8,025 5,816 -------------- -------------- SHAREHOLDERS' EQUITY Common stock 1 1 Additional paid-in capital 52,452 27,520 Unearned stock-based compensation (397) (490) Cumulative translation adjustments 41 661 Retained earnings (accumulated deficit) (13,913) (6,490) -------------- -------------- Total shareholders' equity 38,184 21,202 -------------- -------------- Total liabilities and shareholders' equity $ 46,209 $ 27,018 ============== ============== 4 FIBERSTARS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (amounts in thousands except per share amounts)
Three months ended Twelve months ended December 31, December 31, --------------------- --------------------- 2005 2004 2005 2004 --------- --------- --------- --------- Net sales $ 6,234 $ 7,840 $ 28,337 $ 29,731 Cost of sales 4,031 4,742 17,711 18,220 --------- --------- --------- --------- Gross profit 2,203 3,098 10,626 11,511 --------- --------- --------- --------- Operating expenses: Gross research and development 1,336 1,051 4,485 3,670 Deduct credits from government contracts (662) (466) (2,295) (2,482) Net research and development 674 585 2,190 1,188 Sales and marketing 2,276 2,341 9,595 8,595 General and administrative 811 590 3,135 2,459 Restructuring expense 2,017 -- 3,120 --------- --------- --------- --------- Total operating expenses 5,778 3,517 18,040 12,242 --------- --------- --------- --------- Loss from operations (3,575) (418) (7,414) (731) Other income (expense): Interest and other income (expense), net 86 32 100 (31) --------- --------- --------- --------- Loss before income tax (3,489) (386) (7,314) (762) Benefit from (provision for) income taxes (46) 45 (109) 58 --------- --------- --------- --------- Net Loss $ (3,535) $ (341) $ (7,423) $ (704) ========= ========= ========= ========= Net loss per share - basic and diluted $ (0.37) $ (0.05) $ (0.90) $ (0.10) ========= ========= ========= ========= Shares used in computing net income per share - basic and diluted 9,651 7,446 8,223 7,269 ========= ========= ========= =========
5 EX-99.2 3 fi5300ex992.txt EXHIBIT 99.2 EXHIBIT 99.2 ------------ Contact: John Davenport, CEO, or Bob Connors, CFO, 440-715-1300 FIBERSTARS, INC. AWARDED $2.1 MILLION TO INSTALL LIGHTING ON NAVY SHIPS Solon, OH, March 31, 2006 - John M. Davenport, CEO, announced today that Fiberstars, Inc. (Nasdaq: FBST) has received $2.1 million in funding from DARPA to develop and install high efficiency distributed lighting (HEDLight) systems on three U.S. Navy ships, a destroyer, an LHS amphibious ship and one other ship. This is the culmination of a DARPA's high efficiency distributed lighting (HEDLight) program - the installations will be temporary and will allow DARPA and the Navy to evaluate the new lighting technology. Initially funded in 2003, HEDLight mandated development, based on Fiberstars' EFO(R), of a highly efficient lighting system which would decrease maintenance costs and increase reliability of shipboard lighting. The Defense Advanced Research Projects Agency (DARPA) is the central research and development organization for the Department of Defense (DoD). It manages and directs selected basic and applied research and development projects for DoD, and pursues research and technology where risk and payoff are both very high and where success may provide dramatic advances for traditional military roles and missions. According to the contract, Fiberstars will install HEDLight systems in engineering control rooms, hangar bays, berths, welldecks and weatherdeck locations of the three ships. The current fluorescent and incandescent lighting will be replaced by HEDLight systems, which employ highly efficient metal halide high intensity discharge (HID) and light emitting diode (LED) sources that are efficiently coupled to large core plastic optical fiber and / or linear acrylic rods for distribution. Once installed, 9-month sea trials will commence which are expected to demonstrate HEDLight's benefits of lower maintenance costs, increased lifetime, efficiency and safety, and improved lighting. John M. Davenport expressed that, "Successfully completing the HEDLight program and moving into an installation stage on Navy ships is an exciting accomplishment for Fiberstars and for Fiberstars EFO. We are looking forward to this new challenge and the benefits our systems will bring to the Navy and our commercial customers. We expect to begin recognizing revenue in the second quarter with milestone payments to be completed within 18 months." Fiberstars systems offer reduced maintenance, improved safety and space-savings. It is the perfect solution for shipboard lighting as it removes voltage, glass and hazardous materials from the direct workspace. As compared to the Navy's current fluorescent fixtures (typically 50 Watts), Fiberstars metal halide HEDLight systems provide the same level of directed light (more light on task) for half the power. For the Navy's 10 Watt berth lights, state of the art LEDs will be used for the first time in efficient fiber optics systems to provide a robust, efficient replacement. As a direct result of its DARPA funded projects, Fiberstars has successfully developed and launched several products in the commercial lighting market. Fiberstars EFO ICE(TM) (illuminating cold environments) freezer case lighting system is the latest lighting application developed from research funded by DARPA. This is a perfect example of a successful public/private partnership culminating in a technology that works for the Department of Defense and may revolutionize the lighting used by the grocery industry. ABOUT FIBERSTARS Fiberstars is the world's leading supplier of fiber optic lighting. Fiberstars products are designed, manufactured and marketed in the commercial lighting, sign and swimming pool and spa markets. Fiber optic lighting provides aesthetic, safety, energy savings and maintenance cost benefits over conventional lighting. Fiberstars has 41 patents on its technologies for fiber optic lighting. Customers include fast food restaurant chains, theme parks and casinos, hotels, retail stores, swimming pool builders, spa manufacturers and many others. Company headquarters are located at 32000 Aurora Road, Solon, Ohio. The Company has additional offices in Pleasanton, CA, New York City, England and Germany. Web site: www.fiberstars.com. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements regarding the future benefits of the DARPA Navy ship lighting contract, goals and business outlook for 2006 and thereafter, the expected growth of expected product development and introductions, expected overall sales growth and profitability, and expected benefits of DARPA, Department of Energy and other R&D work. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Actual results may differ materially from the results predicted. Risk factors that could affect the Company's future include, but are not limited to, a slowing of the U.S. and world economy and its effects on Fiberstars' markets, failure to develop marketable products from new technologies, failure of EFO or other new products to meet performance expectations, unanticipated costs of integrating acquisitions into the Fiberstars operation, delays in manufacturing of products, increased competition, other adverse sales and distribution factors and greater than anticipated costs and/or warranty expenses. For more information about potential factors which could affect Fiberstars financial results, please refer to Fiberstars' SEC reports, including its Annual Report on Form 10-K for the year ended December 31, 2005, and its quarterly reports on Form 10-Q. These forward-looking statements speak only as of the date hereof. Fiberstars disclaims any intention or obligation to update or revise any forward-looking statements. 2 EX-99.3 4 fi5300ex993.txt EXHIBIT 99.3 EXHIBIT 99.3 ------------ Contact: CEO John Davenport, CFO Bob Connors at Fiberstars, 404-715-1300 FIBERSTARS INC. AWARDED NEW PATENT THAT IMPROVES EFO(R)ENERGY EFFICIENT LIGHTING TO 50 LUMENS PER WATT Solon, OH, March 31, 2006--Fiberstars, Inc. (Nasdaq: FBST) today announced the award of a patent for its new Cloverleaf(TM) optical coupler that raises the efficiency of the Fiberstars EFO lighting system to 50 lumens per watt. Typical halogen and incandescent down lights deliver 7 to 15 lumens per watt. The Cloverleaf optic, shaped like a three or four leaf clover, increases the coupling efficiency of light exiting the EFO illuminator and entering the EFO large core optical fibers. The Cloverleaf optical coupler was designed with the assistance of Optical Research Laboratory, the company that worked on fixing the optics of the Hubble telescope, under a research project award from DARPA (Defense Advanced Research Programs Agency). "This is more than a 15% improvement in Fiberstars EFO efficiency," said Roger Buelow, Fiberstars CTO, "and is an example of Fiberstars' continuing commitment to develop and perfect energy efficient lighting systems. This raises accent down lighting to a new level in efficiency, and also increases the efficiency of our fluorescent tube-like luminaires designed for Navy ships and refrigerated cases at retail." The Cloverleaf(TM) optical coupler, when used in Fiberstars' new EFO-ICE(TM) system which lights frozen food cases in supermarkets, will generate efficiency gains over standard and high output fluorescent lighting. And because EFO ICE generates no heat in the freezer case, the energy load requirements to keep the case cold are reduced, saving additional energy. Fiberstars estimates that, in a typical supermarket, as much as 80,000 kilowatt hours of energy will be saved annually by converting freezer case lighting from fluorescent to EFO ICE. Additionally, EFO ICE improves the lighting within freezer cases, with a bright white color and an evenly distributed light pattern. It is expected to be more reliable than fluorescent lamps, which often have problems in cold environments. One EFO ICE lamp lights three cases, and the lamps are not located inside the cases, helping reduce maintenance costs to change lamps. The Cloverleaf(TM) optical coupler in Fiberstars EFO down lighting systems is believed to result in the most energy efficient recessed accent lighting solution available. Typically one 70 watt EFO lamp can reduce energy consumption by more than 80% when compared to incandescent or halogen solutions. Fiberstars EFO also substantially lowers maintenance costs. One EFO lamp replaces up to eight halogen downlights and EFO light sources can last up to 12,000 hours vs. 2,000 to 3,000 for incandescent lamps. Fiberstars EFO can also help customers achieve LEED energy efficiency certifications and meet ASHRAE/IESNA 90.1 regulations restricting watts per square foot in commercial buildings without sacrificing light levels. Approximately 30% of electricity consumed in US buildings is used for lighting with most existing bulbs creating more heat than light. If Fiberstars EFO lighting were installed throughout the U.S., the potential reduction of energy consumption would be 50 Billion kilowatt hours which would lead to 5 million fewer tons of coal burned each year, and result in far less greenhouse gases being created. ABOUT FIBERSTARS Fiberstars designs, develops, manufactures and markets fiber optic lighting systems for wide-ranging uses in both the general commercial and the pool and spa lighting markets. Fiberstars' EFO system, introduced in 2004, offers energy savings, heat dissipation and maintenance cost benefits over conventional lighting for multiple applications. The Company's headquarters are located at 32000 Aurora Rd., Solon, Ohio. The Company has additional offices in California, New York City, England and Germany. Telephone: 440-715-1300. Web site: http://www.fiberstars.com. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements regarding the business outlook for EFO systems with Cloverleaf optics, and the benefits and customer expansion potential involving EFO. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Actual results may differ materially from the results predicted. Risk factors that could affect the Company's future include, but are not limited to, the slowing U.S. and world economy and its effects on Fiberstars' markets, failure to develop marketable products from new technologies, failure of EFO or other new products to meet performance expectations, unanticipated costs of integrating acquisitions into the Fiberstars operation, delays in manufacturing of products, increased competition, other adverse sales and distribution factors and greater than anticipated costs and/or warranty expenses. For more information about potential factors which could affect Fiberstars financial results, please refer to Fiberstars' SEC reports, including its Annual Report on Form 10-K for the year ended December 31, 2005, and its quarterly reports on Form 10-Q. These forward-looking statements speak only as of the date hereof. Fiberstars disclaims any intention or obligation to update or revise any forward-looking statements. 2 EX-99.4 5 fi5300ex994.txt EXHIBIT 99.4 EXHIBIT 99.4 ------------ Contact: CEO John Davenport, CFO Bob Connors at Fiberstars, 404-715-1300 FIBERSTARS INC. AND NATIONAL ELEVATOR CAB AND DOOR CORP. FORM ENERGY SAVING ALLIANCE FOR INSTALLING EFO(R)IN ELEVATORS Solon, OH, March 31, 2006--Fiberstars, Inc. (Nasdaq: FBST) announced today the signing of an exclusive agreement regarding the use of Fiberstars EFO energy saving down lighting in the elevator cab retrofit market with National Elevator Cab and Door Corp. National Elevator Cab and Door is a manufacturer of architectural products for the specific purpose of beautifying cabs, doors and frames of elevators. Notable clients are the Empire State Building, MetLife Building, The Trump Organization, and the famed glass elevators at the Marriott Marquis. Harold Friedman, President of National Elevator Cab, liked the story of Fiberstars EFO, and built a prototype to experience its benefits. The results, according to Friedman, were "No heat, minimal electrical wiring, simple installation and efficient light spread and color that is as good as halogens or better." Moreover, the maintenance benefits are significant - with Fiberstars EFO one light bulb will need changing once a year versus putting the elevator out of service up to 32 times a year to change traditional light bulbs. Mr. Friedman views his company as a problem solver, and lighting elevators has been one of the most problematic issues in designing an elevator cab. He noted that the choices, until he was introduced to Fiberstars EFO were, "Halogens which produce good color but bring too much heat, fluorescents which were economical but had terrible color, and incandescent bulbs that provide adequate light but do not distribute light evenly enough to enhance the beauty of the cab." Mr. Friedman's added, "Form follows function and today form is green/energy savings." A 70 watt EFO lamp can typically replace up to 400 watts of halogen lamps. John M. Davenport, CEO of Fiberstars, said he is excited about the agreement, and commented that "Fiberstars EFO is a perfect fit for this application in that it enables National Elevator Cab and Door to meet both its energy savings and aesthetic design goals." Ted des Enfants, Fiberstars VP and GM of EFO Sales and Marketing, added, "As energy regulations for commercial buildings continue to become more stringent, Fiberstars EFO becomes more and more relevant. Fiberstars EFO is designed to duplicate the light beam patterns of the most commonly used spotlights at retail, yet it delivers this light at an energy savings of up to 80% or better." ABOUT FIBERSTARS Fiberstars designs, develops, manufactures and markets fiber optic lighting systems for wide-ranging uses in both the general commercial and the pool and spa lighting markets. Fiberstars' EFO system, introduced in 2004, offers energy savings, heat dissipation and maintenance cost benefits over conventional lighting for multiple applications. The Company's headquarters are located at 32000 Aurora Rd., Solon, Ohio. The Company has additional offices in California, New York City, England and Germany. Telephone: 440-715-1300. Web site: http://www.fiberstars.com. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements regarding the business outlook for the alliance with National Elevator Cab and Door, goals and business outlook for 2006 and thereafter, and the benefits and customer expansion potential involving EFO for elevator applications. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Actual results may differ materially from the results predicted. Risk factors that could affect the Company's future include, but are not limited to, the slowing U.S. and world economy and its effects on Fiberstars' markets, failure to develop marketable products from new technologies, failure of EFO or other new products to meet performance expectations, unanticipated costs of integrating acquisitions into the Fiberstars operation, delays in manufacturing of products, increased competition, other adverse sales and distribution factors and greater than anticipated costs and/or warranty expenses. For more information about potential factors which could affect Fiberstars financial results, please refer to Fiberstars' SEC reports, including its Annual Report on Form 10-K for the year ended December 31, 2005, and its quarterly reports on Form 10-Q. These forward-looking statements speak only as of the date hereof. Fiberstars disclaims any intention or obligation to update or revise any forward-looking statements. ##### 2 -----END PRIVACY-ENHANCED MESSAGE-----