Carver Corporation ("Carver" or the "Company") designs, develops, manufactures and markets high-fidelity audio/video components targeted to the mid-to high-end home entertainment audio/video systems market. Carver products are positioned in the middle and upper price range of most audio components. The Company offers technically innovative audio/video products for the home entertainment market that deliver affordable "audiophile" quality. It targets its distribution channels toward knowledgeable consumers who insist on high quality products which offer superior features and performance.

During 1997, the Company's strategy was to update its products, broaden its market...