Practical Peripherals’ Parent Improves Finances

The parent company of Practical Peripherals Inc., a Thousand Oaks producer of high-speed modems, says it’s making progress in working its way out of Chapter 11 bankruptcy.

The parent, Hayes Microcomputer Products Inc., based in Norcross, Ga., an Atlanta suburb, reported net profits of $442,000 in the final three months of 1994. The privately held company did not provide comparable year-earlier figures, but said it had a net loss of $13 million in its fiscal year 1994 that ended Sept. 30.

Hayes, also a modem producer, reportedly was having trouble paying suppliers prior to its bankruptcy filing in November. The company said sales in the latest quarter came to $68.9 million, up nearly 20% from $57.6 million a year earlier.

Prior to the Chapter 11 filing, Practical Peripherals operated as an independent concern. It was merged into Hayes in November and now receives court protection along with its parent.

At the time of the merger, Practical’s president, Jack Murphy, and two vice presidents departed. Murphy is now president of Prometheus Products Inc., a modem and software company in Tualatin, Ore.

A source at Practical says 200 of its 500 jobs are to be eliminated.