ATEC Group Further Clarifies Proposed Purchase of IntelleSale.com.Business Editors HAUPPAUGE, NY--(BUSINESS WIRE)--April 25, 2000 ATEC ATEC Army Test and Evaluation Command (US Army; formerly OPTEC, Operational Test & Evaluation Command) ATEC Australian Tourism Export Council ATEC Advanced Technologies (Hamburg, Germany) Group, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : ATEC), a major system integrator and provider of a full line of information technology products and services, today provided further clarification of its proposed purchase of IntelleSale.com, Inc., a subsidiary of Applied Digital Solutions, Inc. (NASDAQ: ADSX ADSX Applied Digital Solutions, Inc. (stock symbol) ), originally announced on April 12, 2000. Commenting on the proposed transaction, Surinder Rametra, chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of ATEC Group, Inc., said, "The proposed purchase of IntelleSale.com offers substantial benefits for our company and our shareholders. First, IntelleSale.com enjoys a dominant presence in the refurbished computer marketplace, one that is highly profitable and offers considerable growth opportunities. The company has built a solid reputation on purchasing computers at the end of their lease periods, then selling them over the Internet or reselling the hard-to-find spare parts Spare parts, also referred to as Service Parts is a term used to indicate extra parts available and in proximity to the mechanical item, such as a automobile, boat, engine, for which they might be used. Spare parts are also called “spares. . Certainly, these capabilities provide a natural complement to our Nexar(R) PC manufacturing division, allowing us to offer both businesses and consumers a broader array of products and services, and enabling us to capture higher sales and profit margins. "Further, and perhaps even more important, IntelleSale.com's strong Internet-based distribution capabilities, through alliances with leading portals such as C/Net, Ubid, Egghead+Onsale, Amazon.com and others, will considerably enhance our visibility in the e-commerce arena, including our atecone.com Internet Service Provider Internet service provider (ISP) Company that provides Internet connections and services to individuals and organizations. For a monthly fee, ISPs provide computer users with a connection to their site (see data transmission), as well as a log-in name and password. business. IntelleSale.com also is involved in other IT businesses - such as systems integration, memory and software development - that will further extend our capabilities in these areas as well. Ultimately, we will be better positioned as a large business-to-business and business-to-consumer Internet company." Concluded Rametra, "We believe our stock is currently substantially undervalued Undervalued A stock or other security that is trading below its true value. Notes: The difficulty is knowing what the "true" value actually is. Analysts will usually recommend an undervalued stock with a strong buy rating. in the market, and our proposed combination with IntelleSale.com should only increase its value, thereby benefiting our shareholders." Key ATEC Group management would remain with the combined company and assume different roles. The proposed purchase is subject to numerous terms and conditions, including a due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. review, Hart-Scott-Rodino antitrust approval, a fairness opinion Fairness Opinion A report put together by qualified analysts or advisors providing to key decision makers an evaluation of and facts about a merger or acquisition. Notes: A fairness opinion serves as a document used for guidance in a merger, takeover, or acquisition. by an independent investment banker Investment Banker A person representing a financial institution that is in the business of raising capital for corporations and municipalities. Notes: An investment banker may not accept deposits or make commercial loans. and shareholder approval, among others. The transaction is expected to close by the end of the second quarter 2000. About IntelleSale.com, Inc. A subsidiary of Applied Digital Solutions, Inc., IntelleSale.com, Inc., is the leading provider of open-box, overstock, off-lease, new and refurbished computer equipment and related products at deeply discounted prices. The company sells products online through www.intellesale.com and other Internet portals, such as C/Net, Amazon.com, Egghead+Onsale and Ubid. In addition, the company sells products through traditional distribution channels, including the IntelleSale.com sales force and advertising via catalogs and other conventional media. About Applied Digital Solutions, Inc. Applied Digital Solutions is a leading-edge, single-source provider of e-business solutions. The company differentiates itself in the marketplace by enabling e-business through Computer Telephony Internet Integration (CTII CTII Comprehensive Technologies International, Inc. (TM)). With its five-year revenue growth (from 1994 to 1998), Applied Digital Solutions was ranked as the fifth fastest-growing technology company by Deloitte & Touche in its 1999 Technology Fast 500 listing. For more information, visit the company's web site at www.adsx.com. About ATEC Group, Inc. Based in Hauppauge, New York Hauppauge (pronounced /hɔpɔg/) is a hamlet in the Town of Islip and the Town of Smithtown in Suffolk County, New York, United States. , ATEC Group, Inc., is a leading system integrator and provider of a full line of information technology products and services. As a one-stop company for the computer needs of businesses, government agencies and educational institutions, ATEC Group offers computer hardware and software, system integration networking, graphic arts, Internet and Intranet. The company is positioned for growth through its capabilities as a PC manufacturer of Nexar technology, in software development and e-commerce. For more information, visit the company's web site at www.atecgroup.com. Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. Reform Act of 1995. The Company intends that such forward-looking statements involve risks and uncertainties, and are subject to change at any time, and the Company's actual results could differ materially from expected results. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances. |
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