SCL Ventures, a British Virgin Islands company, is in the process of acquiring a 51 percent interest in Guangzhou Weida Communications, a Chinese VSAT communications company in which it has already invested more than $2.2 million. As part of the acquisition, SCL has provided $805,153 to Weida for working capital and is obligated to provide an additional $15 million for shareholder equity after the issuance of all required licenses. SCL will be responsible, based upon estimated capital requirements in excess of $100 million, to provide significant operating capital to Weida.

In addition, Laser Recording Systems [OTC: LRSY] has agreed to acquire SCL in a stock swap. When the transaction is completed, SCL will become a wholly owed subsidiary of New York City-based Laser Recording.