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ORANGE COUNTY EARNINGS

April 22, 1998

Rainbow Technologies Inc.: The Irvine maker of computer security products lost $3.1 million, or 40 cents a share, for the first quarter, which included charges of $6.5 million for writing off technology and other costs from the acquisition of Wyatt River. For the first quarter of 1997, the company earned $2.4 million, or 31 cents a share. Revenue advanced 20% to $25 million from $20.8 million.

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