Imation Celebrates 10-Year Anniversary

OAKDALE, Minn., July 10 /PRNewswire-FirstCall/ -- Ten years ago, on July 1, 1996, Imation Corp , "born of 3M innovation," set out on its own as one of the largest technology spin-offs in that pre-dot-com era. The new, publicly traded company started as a collection of unconnected businesses -- from commercial printing and proofing products and medical imaging systems to photo film and microfilm -- while continuing its deep legacy in data storage, reaching back nearly 50 years to the creation of the first reel-to-reel data storage tape products. Now entering its second decade, Imation has become a worldwide leader in removable data storage.

Building on its data storage legacy and a tradition of innovation and invention, Imation is the only company in the world solely focused on the development, manufacture, and supply of removable data storage products that span the four pillars of magnetic, optical, flash, and removable hard disk storage, having divested its non-data storage businesses along the way. Since 2001, when the company became more focused on removable data storage media, revenue growth has averaged 9.5 percent compounded annually. Over the decade since spin, the underlying data storage revenue growth has averaged a healthy 6.2 percent compound annual growth rate. Now, with the recent acquisition of Memorex, the company adds a strong consumer brand to its solid position in data center and business-to-business data storage products as well as a significant growth engine.

"Having spun out from such a well known company as 3M, Imation faced the challenge of establishing a solid brand and stable business as it rationalized the portfolio. We continued to build on our history of innovation and technology leadership by introducing new products and getting into new storage formats, while maintaining our market position in the company's critical baseline products," said Bruce Henderson, Imation chairman and CEO.

With steady top-line growth in the core data storage business, operating margins more than doubled from under four percent in the early years to 8.7 percent last quarter -- demonstrating that Imation's first decade has been a record of success, growth, and improvement. Imation continues to innovate and lead the data storage industry into the company's second decade by manufacturing new products such as optical storage based on blue laser technology, introducing the Odyssey(TM) solution, a new removable hard disk drive technology for small-to-mid-sized businesses, and planning to jointly develop and launch the fourth generation to the successful Sun StorageTek T9840 drive platform, the T9840D.

"As we enter our second decade, I believe we are in the strongest position in the company's history -- with the broadest product portfolio, focused business strategy, global footprint, leading technology, and deep patent portfolio. In addition, we have an experienced, dedicated, and passionate team of more than 2,000 Imation colleagues around the world," continued Henderson. "It's been my privilege to share in this proud history and the excitement of the next decade. To the Imation team, our customers, partners, and shareholders, I'd like to say, 'Thanks for 10 great years.'"

Proud of its global reach and industry leadership, Imation is equally proud of its Minnesota roots and its role in Minnesota's high-tech community. In the late 1990s, Imation opened its state-of-the-art "Discovery Technology Center" in Oakdale, Minn., where today more than 200 scientists work, continuing to lead the industry with technology breakthroughs and invention. Since 1996, Imation has invested nearly $800 million in research and development as well as capital spending.

The company has planned a series of events around the world to celebrate its anniversary year, from anniversary packaging to local celebrations at its different plant and office locations. The company will host an annual family day picnic at its Oakdale headquarters and has invited former Imation employees and special guests to the July 11 event.

Ten Years of Innovation -- Milestones and Accomplishments 1996 -- In late 1995, 3M announces its plans to spin off its computer data storage and imaging divisions. Bill Monahan is named chairman and CEO of "NewCo." -- "Imation" -- derived from imagination, innovation, imaging, and information -- is revealed as the new name of 3M's "NewCo" spin-off. -- Imation Corp starts as a new international company on July 1, 1996. -- Imation's brand name hits the store shelves as Imation Scotch(TM) Brand 35 mm film and Imation diskettes begin to ship in their new packaging. -- Ground is broken for the Pioneer Building at Imation World Headquarters. -- The first Imation Corp patent is issued for developments in Travan(TM) technology, providing high performance linear recording backup at lower cost per gigabyte. 1997 -- Construction begins on the 423,000 square-foot Discovery Technology Center at Imation World Headquarters. -- Imation SuperDisk(TM) diskettes are launched. -- Imation and StorageTek announce a joint development agreement for a next-generation tape cartridge technology. 1998 -- Imation announces worldwide restructuring to improve time-to-market performance and to focus on high value customer opportunities. -- The Discovery Technology Center opens. -- More than eight million tape drives based on Travan(TM) technology have been shipped to the marketplace. -- Eastman Kodak acquires most of Imation's worldwide Medical Imaging business. 1999 -- Imation launches STK-Imation co-developed 9840 tape cartridge with the fastest tape access ever in the half-inch tape market. -- Imation introduces DVD-RAM to its portfolio. -- Imation's Wahpeton, N.D., plant opens a new manufacturing services center and installs a "phase-change" CD-RW optical line, the first in North America. -- Schroder Ventures acquires Imation's worldwide Photo Color Systems business. 2000 -- IBM selects Imation to develop the extended-length 3590 cartridge. -- Imation's new brand strategy and logo are unveiled. -- Imation and Sun Microsystems announce a partnership agreement where Imation will develop storage software using Sun's Jiro technology platform. -- Imation announces sponsorship of the Jordan Grand Prix Formula One racing team in Europe. 2001 -- Black Watch(TM) LTO Ultrium(TM) Generation 1 tape cartridges are launched. -- Imation rolls out new IP storage and storage virtualization consulting services. -- Imation announces DataPlay agreement. -- Imation-branded Black Watch(TM) Digital Linear Tape IV is introduced. -- Imation becomes IBM's global media distributor. 2002 -- Imation awarded a grant from the National Institute of Standards and Technology to advance the storage density capabilities of magnetic tape. -- DecisionOne purchases Imation's Document Solutions and Services business. -- Quantum qualification for Imation DLTtape(TM) IV is achieved. 2003 -- Imation celebrates 50 years of tape leadership. -- Imation forms a joint venture with India-based Moser Baer for optical products. -- Bill Monahan announces plans to retire by the end of 2004. -- Imation acquires assets of EMTEC Magnetics. -- Five billionth Imation diskette is produced. -- Imation becomes exclusive worldwide distributor of Exabyte brand media products. -- Imation plays a key role in Space Shuttle Columbia onboard data recovery. 2004 -- Imation introduces LTO3 with 400 gigabytes of native tape capacity. -- Imation opens its Technical Center in Beijing, the first of its kind in China. -- Imation enters the global USB flash drive market. -- Imation introduces Tera Angstrom(TM) technology, the path to multi terabytes of storage capacity. -- Bruce A. Henderson is named Imation chairman and chief executive officer. 2005 -- Imation is selected to manufacture Sun StorageTek T10000 media using "N Pattern" Servo technology. -- Imation launches the Micro Hard Drive, its first hard disk based product with the world's smallest hard drive from Toshiba. -- Imation's Ulysses(TM) technology, the first "disk-as-tape" media cartridge is brought to the market. -- Imation introduces CDs and DVDs with ForceField(TM) scratch resistant coating, a proprietary layer of "memory protection" to resist scratches and smudges. -- First VXA and LTO-enabled ComplianceVault(TM) System for Email Archiving is launched by Imation. 2006 -- Imation unveils AquaGuard(TM) technology, the world's first water- resistant and smear-resistant surface for inkjet printable CDs and DVDs. -- Imation begins manufacture of high-capacity Blu-ray and HD DVD optical media. -- Odyssey(TM) technology, a removable hard disk drive technology for small-to-mid-sized businesses, is announced. -- Imation sponsors the Target car for both the Indy Racing League (IRL) and the National Association for Stock Car Auto Racing (NASCAR). -- Imation acquires Memorex. About Imation Corp

Imation Corp is the only company in the world solely focused on the development, manufacture and supply of removable data storage products spanning the four pillars of magnetic, optical, flash and removable hard disk storage. With more than 50 years of data storage leadership beginning with the development of the world's first computer tape, in 2006 Imation proudly marks its tenth anniversary as an independent company. In addition to the Imation brand, Imation Corp's global brand portfolio includes the Memorex brand, one of the most widely recognized names in the consumer electronics industry, famous for the slogan, "Is it live or is it Memorex?" Additional information about Imation is available at http://www.imation.com/ or by calling 1-888-466-3456.

Imation, the Imation logo, Memorex, "Is it live or is it Memorex?" AquaGuard, Black Watch, ForceField, Odyssey, SuperDisk, Tera Angstrom, Travan and Ulysses are trademarks of Imation Corp and its subsidiaries. All other trademarks are property of their respective owners.