Stockport, UK, 24 November 2004 — VXL Instruments, one of the worlds leading manufacturers of terminal and thin client devices, today announced the completion of a $5 million inward investment in their manufacturing processes, logistics and supply chain management that will provide VXL with the capacity and potential to more than double their total market share of the thin client market in the next three years. The investment has been made by Priya plc, India’s leading IT component and chemicals distributor who have enjoyed a twenty five year old trading relationship with VXL.

In a report conducted by analysts IDC the current thin client market is estimated at 2 million units for 2004 with predicted growth to 3.7 million units for 2007 of which VXL are aiming for a 25% market share.

Frank Noon, VP Sales, VXL UK comments: “After experiencing supply issues during the early summer and a backlog in orders to be shipped to our distributors, the decision was made to invest in our supply chain management and logistics processes. Following the investment, our order backlog has been completely shipped to our distributors who have now restocked with our products, in particular the fast selling Itona series. We are now meeting all of our distributor stocking orders on a maximum five-week lead time.”

As a result of the inward investment VXL has renewed supply agreements with all of its European distributors, including Avnet of the UK and Germany, Risc of France and Sphinx of Germany, some of the Europe’s largest distributors of thin client solutions.

David Morris, Data Solutions Manager, Avnet comments: “VXL has shown dedication and commitment to their distributors by working to address their supply chain management issues. Their thin client solution Itona remains a firm favourite amongst our customers and we look forward to a long and successful relationship with them.”

With the new investment in place, VXL are looking to experience growth rates similar to 2003 and with more and more organisations moving applications to web servers, thin clients provide a much better business opportunity from a support and capital investment basis.

“These market dynamics combined with the added investment gives us every confidence that the Itona will continue to take market share,” added Noon.

VXL are the world's premier providers of Windows-based terminals and thin clients worldwide. VXL have been a Citrix Premier Partner since 1996 and have also attained Windows Embedded Partner status from Microsoft. VXL offers a complete range of WBT and thin client solutions spanning a range of customer requirements and applications. VXL is headquartered in Bangalore India.