Storm Technology, Inc.
Ticker: EASY 1861 Landings Drive
Exchange: NASDAQ-National Market Mountain View, California 94043
Industry: High-Tech (415) 691-6600

Type of Shares:Common Shares Filing Date:6/26/96
U.S. Shares:2,850,000 Offer Date:10/1/96
Non-U.S. Shares:0 Filing Range:$10.00 - $12.00
Primary Shares:2,000,000 Offer Price:$10.50
Secondary Shares:850,000 Gross Spread:$0.74
Offering Amount: $31,350,000 Selling:$0.40
Expenses:$750,000 Reallowance:$0.10
Shares Out After:13,319,078
Spin out parent firm: Primax Electronics Ltd.

ManagerTierPhone
Goldman, Sachs & Co.Lead Manager (212) 902-1172
Hambrecht & Quist IncorporatedCo-manager (415) 576-3423

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$5.79$2.53$0.69Assets:$10.14
Net Income:-$3.40-$6.52-$0.74Liabilities:$10.61
EPS:-$0.31-$0.59-$0.07Equity:-$0.47

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is a leading provider of digital photo solutions which enable consumers and small businesses to input, store, organize, enhance and use of photos easily on their personal computers. The company's vision is to empower consumers to use digital photos to create more personal, memorable and effective communications. The company believes that the $16 billion chemical photography market is evolving to a market which will increasingly include digital photos. This transition, coupled with the recent proliferation of powerful multimedia home PCs, is leading to the emergence of digital photos as a new and rapidly growing product category for consumers. To capitalize on this emerging market opportunity, the company develops and markets software-differentiated, consumer-branded products which are easy to use, result in high image quality and provide consumers and small businesses with a comprehensive digital photo solution.

Use of Proceeds
The proceeds from the proposed offering will be used for working capital and other general corporate purposes and repayment of accounts payable to a related party.

Last updated: 10/28/96

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