SUMMIT MEMORY SYSTEMS INC.

COMPANY BACKGROUND

Summit Memory Systems Inc. (Summit), formerly a division of Mountain
Network, was established as a wholly-owned subsidiary of NPC in July
1991. The decision to structure Summit as a separate company was
intended to focus on the minicartridge market, whilst taking advantage
of the in-house ownership of a hardware technology base and the high
rate of market growth for small form factor storage devices. It also
enabled Mountain to focus on its core business of network-based storage
systems. Corporate, administrative, and manufacturing facilities are
located in Scotts Valley, California. Summit's overall business
strategy is to maintain market focus and balanced growth through
conservative financial management.

TARGET MARKET

Single-user PC and Workstation markets.


PRODUCTS

Summit minicartridge drives are marketed under the brand name of Summit
Express

Summit Express :
 SE120 : QIC-40 compatible 120MB tape drive for entry-level PC
 SE250 : QIC-80 compatible 250MB, 305MB through Summit Accelerator
         boards.
 SE305 : QIC-40/80 compatible 305MB

The company uses Central Point (CP) Backup application software for the
Summit express line. CP Backup was the first product to integrate both
DOS and Windows support and comprehensive virus detection for tape
backup products.

All products were slated to be support - SCO Unix/Xenix, OS/2, and
NetWare 286/386 by Q3/Q4 1991.


MARKETING

Channels - Summit generates 90 percent of its revenue through retail
           distribution, with the other 10 percent coming from OEM
           sales, accessory sales, and service.

FINANCIAL

The company re-invests approximately 10 percent of its revenue in
research and development


PERSONNEL

Dr. James W. Sedin  :  President and chief executive officer
Whitney G. Lynn     :  Chief Operating Officer  (Former President of
                                     Tecmar & co-founded Wangtek )
Jay D. Baker        :  VP of Sales  (Previously held Sales positions at
                                     companies including Wangtek &
                                     Tecmar )
Richard W. Krueger  :  VP of Marketing ( Worked previously for Maxtor,
                                     Symbolics Century Data Systems,
                                     IBIS Systems, Xerox & Unisys )
A. Bruce Manildi    :  VP of Engineering ( Former Director of
                                           Engineering at
                                     Archive, and has held a variety of
                                     OM positions at Cipher, IBM,
                                     Verbatim, and Memorex, and was co-
                                     founder of Pragma Data Systems )
Jim Brashers        :  VP of Operations ( Has served in positions at
                                     Xidex, Pragma Data Systems,
                                     Verbatim, and Memorex)