Unico Corrects and Replaces Previous Acquisition Announcement, BW 66, UNICO-INC.

FREMONT, Calif.--(BUSINESS WIRE)--Oct. 28, 1998--

Unico's Announces Acquisition of Singapore Technology Company

Multiwave Innovation Pte. Ltd., a

High-Performance Developer of Multimedia Solutions

Unico Inc. (Nasdaq: UNRC) Wednesday announced that it has signed a definitive agreement to acquire 100 percent of the outstanding stock of privately held Multiwave Innovation Pte. Ltd. The agreement calls for Unico to issue $5 million worth of common shares to the current shareholders of Multiwave. In addition, this acquisition will boost Unico's net assets to close to $5 million.

Multiwave is an engineering company with a focus on research and development. This will provide Unico's distribution company, Paradise Innovation, with rapid access to new and exciting products. Multiwave is a pioneer in the design, development, production and marketing of high-performance multimedia and Internet-related products for brand name sales or OEM contracts.

Their products are modem cards, sound cards, Web-TV and various other multimedia upgrade kits and accessories. Multiwave markets products on a transcontinental scale with sales in Japan, Australia, Malaysia, Korea, Hong Kong, most major European countries, North America and Latin America.

Multiwave's largest shareholders are NatSteel Electronics Ltd. -- a publicly listed company on the Singapore Stock Exchange with contract manufacturing operations in Singapore, Malaysia, Indonesia, Hungary, China and Mexico -- and Uraco Holdings Ltd., a publicly listed company on the Singapore Stock Exchange that is a precision manufacturer of disk drives and semiconductor equipment components.

NatSteel and Uraco will become significant owners of Unico's common shares following the completion of the merger.

John Hwang, the president of Unico, who is in Singapore, finalized the definitive agreement and stated: "The completion of the Multiwave acquisition is the continuation of Unico's plan to optimize growth by acquiring compatible technology companies. The acquisition of Multiwave will allow Unico to access low-cost global manufacturing strengths of NatSteel and Uraco.

"We believe the merger will be a contributing factor for increasing current profit margins. Furthermore, it will provide additional worldwide distribution channels for Unico and the Paradise family of products (www.paradisemmp.com).

"Multiwave will have the benefit of marketing their products (www.multiwave.com) through Unico's subsidiary company, Paradise Innovations. The Paradise brand is registered throughout the world with established brand name recognition. We are in the process of dramatically increasing our product line with instant access to new distribution channels," concluded Hwang.

Paradise Innovations, a Unico subsidiary, markets computer components. In addition, the company markets a proprietary line of computer peripherals, including modems, video adapter cards, multimedia and Internet-related products.

Paradise has existing Distribution Agreements with Ingram, Tech Data, Comark, SED, D&H Distributing and Almo Distributing. Hwang stated: "The combined revenues will generate more than $50 million for the next 12 months of operations. Additionally, Unico is actively seeking acquisitions of product and product-related companies."

Except for historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risk and uncertainties. The forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially due to a variety of factors, including without limitation the presence of competitors with broader product lines and greater financial resources, intellectual property rights and litigation, needs for liquidity, and other risks detailed from time to time in the company's reports filed with the Securities and Exchange Commission.