Full Press Release Details
CONTACT: INVESTOR RELATIONS
Henry R. Mandell, Chairman
Spatializer Audio Laboratories, Inc.
SPATIALIZER AUDIO LABORATORIES CONSUMATES
Los Angeles, Calif., July 2, 2007- Spatializer Audio Laboratories, Inc. (OTC Bulletin Board:
SPAZ) (the Company ) announced that on July 2, 2007, the Company and its wholly-owned subsidiary,
Desper Products, Inc., a California corporation ( Desper ), consummated the sale of substantially
all of their assets pursuant to a certain Asset Purchase Agreement, dated September 18, 2006 (the
Asset Purchase Agreement ), with DTS, Inc., a Delaware corporation ( DTS ), and DTS BVI Limited, a
British Virgin Islands corporation and a wholly owned subsidiary of DTS ( BVI ), for an aggregate
cash purchase price of $1,000,000. DTS and BVI have also agreed to assume and to pay, perform and
discharge when due, all liabilities, obligations and commitments under certain specified contracts
(the Assumed Contracts ) to the extent arising or relating to performance by the Company or Desper
after the date of closing, other than any liabilities arising due to any breach of any such Assumed
Contract by the Company or Desper. Prior to the closing, DTS and BVI assigned their respective
rights and obligations under the Asset Purchase Agreement to an indirect subsidiary of DTS, DTS
Licensing Limited, a company organized under the laws of Ireland and the parties to the Asset
Purchase Agreement extended the termination date of the Asset Purchase Agreement from June 30, 2007
The Asset Purchase Agreement and the transactions contemplated therein were approved by the
stockholders of the Company at a special meeting on June 15, 2007. Upon the conclusion of a nine
month indemnification period, the Company plans to distribute substantially all of its remaining
cash assets to its stockholders.
Spatializer Audio Laboratories Inc. was a developer, licensor and marketer of next-generation
audio technologies for the consumer electronics, computing and mobile communication markets. The
company s advanced audio technology has been incorporated into consumer electronics audio and video
products, PC and mobile phone handsets from several global brand leaders. The Company has ceased
operations. Spatializer stock is
traded on the OTC Bulletin Board under the symbol: SPAZ. The company is headquartered in Thousand
Oaks, CA. Further information may be obtained from Spatializer s SEC filings, and by contacting the
company s Investor Relations Department at spatializeraudiolabs@yahoo.com.
Safe Harbor Act Statement Under the Private Securities Litigation Reform Act of 1995: Certain
information in this press release are forward looking statements that are based on management s
belief, as well as assumptions made by, and information currently available to management. While
the company believes that its expectations are based upon reasonable assumptions, there can be no
assurances that the company s financial goals will be realized. Numerous uncertainties and risk
factors may affect the company s actual results and may cause results to differ materially from
those expressed in forward-looking statements made by or on behalf of the company. These
uncertainties and risk factors include, but are not limited to the continued need for additional
capital, loss of key personnel, dependence on new technology and intellectual property, dependence
on the PC and consumer electronics industries, dependence on product shipments of third-party
licensees, dependence on third-party technology integrators or chip suppliers, competition and
pricing pressures, and other risks detailed from time to time in the company s periodic reports
filed with the Securities and Exchange Commission.
NOTE: Desper Products Inc. is a wholly owned subsidiary of Spatializer Audio Laboratories Inc.
Spatializer is a registered trademark of Desper Products Inc. All other trademarks are the
property of their respective owners.