EXHIBIT 99.1







                        Travelers Group Makes Investment

                              in FOCUS Enhancements

                     7% Equity Position Secured by Travelers


SUDBURY,  MASS.,  September 26, 1997 - FOCUS Enhancements,  Inc. (NASDAQ:  FCSE,
FCSEW) announced today that Travelers Group (NYSE:  TRV),  through an affiliated
entity,  purchased 1 million  shares of the Company's  common stock in a private
placement pursuant to Regulation D promulgated under the Securities Act of 1933.

The common stock was sold on September  10, 1997 and provides the company  total
net proceeds of $3,620,000 which will be used to retire certain  short-term debt
as well as for  general  working  capital  purposes.  Pursuant  to the Act,  the
Company has agreed to register the common stock issued to the  purchaser  within
90 days of the closing.

"We value Wall Street's recognition of the accomplishments we have achieved this
year, and are especially  pleased that Travelers Group has  acknowledged  FOCUS'
performance  and future  prospects with its substantial  investment,"  commented
Thomas L. Massie, chairman and chief executive officer of FOCUS.

                                    - more -


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FOCUS Enhancements, Travelers Group Makes Investment                    Page 2

Travelers Group is one of the nation's largest  diversified  financial  services
companies,  with  approximately  $159 billion in assets.  Through its  operating
subsidiaries  - Smith  Barney,  Travelers  Life & Annuity,  Primerica  Financial
Services,  Travelers  Property  Casualty Corp. (NYSE: TAP) and Commercial Credit
Company - the company provides investment and consumer finance services, as well
as a broad range of life and property and casualty insurance.

FOCUS Enhancements,  Inc. is an industry leader in the development and marketing
of  advanced,  proprietary  video  scan  conversion  products  for  the  rapidly
converging,   multi-billion  dollar  computer  and  television  industries.  The
Company's   products,   which  are  sold  globally  through  Original  Equipment
Manufacturers  (OEMs)  and  resellers,  merge  computer-generated  graphics  and
television   displays   for   presentations,    training,    education,    video
teleconferencing,  internet viewing,  and home gaming markets. In addition,  the
Company  is  developing  a family of  products  that  will  enable  the  current
installed base of  televisions,  VCRs,  and  camcorders to remain  functional in
upcoming HDTV environments.

Forward-looking  statements  in this  release  are made  pursuant  to the  "safe
harbor"  provisions  of the Private  Securities  Litigation  Reform Act of 1995.
Investors are cautioned that such  forward-looking  statements involve risks and
uncertainties  including,  without  limitation,   continued  acceptance  of  the
Company's  products,  increased  levels  of  competition  for the  Company;  new
products and technological  changes,  the Company's  dependence upon third-party
suppliers,  intellectual  property  rights and other risks detailed from time to
time in the Company's  periodic  reports filed with the  Securities and Exchange
Commission.

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