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As a continuation of its strategic agreement with SGI Japan, Silicon Graphics (OTC: SGID) announced today that it has reached a preliminary agreement to spin off Silicon Graphics Broadcast Europe which has served as a dedicated broadcast business unit in EMEA since 2004. The European broadcast group will become an independent SGI reseller through a 100-percent investment by SGI Japan Ltd.
In November 2001, SGI entered into a long-term exclusive distribution agreement with SGI Japan to supply SGI equipment, services and solutions in Japan. SGI Japan is jointly owned by SGI, NEC and NEC Soft. Under the agreement, Silicon Graphics Broadcast Europe will be named Silex Media and continue to provide SGI-based solutions to broadcast customers throughout Europe. Silex Media will become an asset of SGI Japan.
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