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Anaheim Firm Signs Pact for Its Computers

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Times Staff Writer

General Automation Inc., the struggling Anaheim manufacturer of computer systems, announced Wednesday that it has signed a “significant” agreement that could hook its latest small-business computer system with a sizable number of the nation’s 2,000 McDonald’s franchises.

The company, which is banking on its 2-year-old “Zebra” system for much of its growth, said R-Computer Co. Inc. of Palatine, Ill., will use Zebras in the computer systems it installs for the nation’s largest fast-food restaurant chain.

“It’s a significant piece of potential business for us,” said Rene Caron, General Automation’s vice president for marketing and sales. “It’s an important endorsement for the product.”

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Caron declined to estimate the potential value of the contract. But company officials estimated that as many as 45% of the 2,000 franchises could be considered potential users of the systems, which sell for $25,000 to $30,000 apiece.

The contract with R-Computer represents the first use of the Zebra system in fast-food restaurants. The system, which collects and processes information sent from several satellite terminals, has been used in retail outlets, construction operations and health care businesses.

General Automation has been a victim of a tight, competitive computer market and some nagging production problems that have knocked it from its once-lofty position among mini-computer makers. After a few profitable quarters, General Automation has resumed its money-losing ways, reporting a net loss of $974,000 on $13.5 million in revenues for its most recent quarter.

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