Cortech Systems Inc. in Simi Valley, formerly Golden Systems, reported sales for the third quarter ended Dec. 31 at $1.18 million, versus $5.16 million for the same period a year earlier.
The decrease was due mainly to the continuing effects of product returns in the latter half of fiscal 1995 and the subsequent loss of a newly established primary customer in fiscal 1996.
The company reported a net loss for the quarter of $829,000, or 19 cents per share, compared to a net loss of $883,000, or 20 cents per share, for the third quarter in the prior fiscal year.
Sales for the first nine months of fiscal 1997 were $2.26 million, versus $13.92 million for the first nine months of the prior year.
The net loss of $3.46 million, or 78 cents per share, compares to a net loss of $4.22 million, or 95 cents per share, a year earlier.
The Tandon family, which founded the company, and certain members of senior management have proposed a capital infusion of approximately $2.25 million.
The Tandon family is making temporary advances to the company to provide working capital until the recapitalization plan can be completed.
Cortech designs and manufactures power supplies for computer systems. The company’s manufacturing operations are in India and Sri Lanka, and its engineering staff is in Scotland and India.