Printer Friendly
The Free Library
19,585,946 articles and books
Member login
User name  
Password 
 
Join us Forgot password?

Advanced Biotherapy, Inc., Repurchases Common Stock of CEO, Enabling Compliance with Sarbanes-Oxley Act.


Business Editors/Health/Medical Writers

WOODLAND HILLS, Calif.--(BUSINESS WIRE)--March 5, 2003

This week it was reported by a wire service that Edmond Buccellato, 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 Advanced Biotherapy biotherapy /bio·ther·a·py/ (-ther´ah-pe) biological therapy.

bi·o·ther·a·py
n.
Treatment of disease with biologicals, such as vaccines.
, Inc. (OTCBB OTCBB

See OTC Bulletin Board (OTCBB).
:ADVB ADVB Associação dos Dirigentes de Vendas e Marketing do Brasil ), sold 601,421 shares of Company's common stock. For purposes of clarification, the Company reports today that it is complying with the Sarbanes-Oxley Act See SOX.  of 2002, which now prohibits loans to directors and executive officers. The Company repurchased from Mr. Buccellato 601,421 shares which Mr. Buccellato acquired from the Company on January 11, 2000, at $0.05 per share, the estimated fair market value of the shares of stock at that time, under the Company's Stock Bonus Plan, which payment obligation was evidenced by a two-year promissory note promissory note, unconditional written promise to pay a certain sum of money at a definite time to bearer or to a specified person on his order. Promissory notes are generally used as evidence of debt.  (Note) issued by Mr. Buccellato to the Company. The shares have been repurchased by the Company in full satisfaction of the indebtedness evidenced by the Note in the aggregate amount of $90,213.08, including accrued interest Accrued Interest

The interest that has accumulated on a bond since the last interest payment up to but not including the settlement date.

There are two methods for calculating accrued interest:
1) 360-day year method, used for corporate and municipal bonds.
 as of February 25, 2003. Mr. Buccellato is required to report the repurchase of the shares of stock by the Company at $0.15 per share as a sale. While it was the intent of the Company's Board of Directors to extend the Note that matured on December 31, 2002, such Note could not be extended under provisions of federal legislation enacted during 2002 known as the Sarbanes-Oxley Act. The Board of Directors determined that the Note should be repaid and the disinterested directors determined the share repurchase Share Repurchase

A program by which a company buys back its own shares from the marketplace, reducing the number of outstanding shares. This is usually an indication that the company's management thinks the shares are undervalued.
 price. The result of this action will reduce the number of issued and outstanding shares of the Company's common stock by 601,421 shares. Two other directors of the Company are similarly indebted to the Company for payment of promissory notes (Notes) in the aggregate amount of $150,355.13, which amount includes accrued interest through February 25, 2003, in connection with the sale to them of common stock under the Company's Stock Bonus Plan on January 11, 2000. The Board of Directors has authorized the repurchase of approximately 1,002,368 shares of common stock from those two directors in full satisfaction of those Notes, subject to completion of a formal agreement between the Company and the two directors, which action would further reduce the number of issued and outstanding shares of the Company's common stock by 1,002,368 shares.

Statements made in this news release, other than statements of historical fact, are forward-looking statements and are subject to a number of uncertainties that could cause actual results to differ materially from the statements made, including risks associated with the success of clinical trials, the progress of research and product development programs, the regulatory approval process, competitive products, future capital requirements Capital requirements

Financing required for the operation of a business, composed of long-term and working capital plus fixed assets.
 and the extent and breadth of the Company's patent portfolio. See the Company's public filings with the Securities and Exchange Commission for information about risks that may affect the Company.
COPYRIGHT 2003 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2003, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

 Reader Opinion

Title:

Comment:



 

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Mar 5, 2003
Words:479
Previous Article:EnerLook Healthcare Solutions and TVR Communications to Install Health iTV at CentraState HealthCare System; Robert Wood Johnson Health Network...
Next Article:PMA Capital Responds to Moody's Ratings Announcement.



Related Articles
Risk management. (Technology Tools).
Legislation, regulation, and the role of the AMC: as illustrated with the Sarbanes-Oxley Act, AMCs play a key role in informing and protecting their...
Sarbanes-Oxley one year later: the Sarbanes-Oxley Act has had a far-reaching impact on global business, yet there are still more questions than...
Compliance.
Advantage: Sarbanes-Oxley.
Revisiting Sarbanes-Oxley: was the well-intentioned landmark legislation slapped together too quickly?
PCAOB issues internal control standards ED.
Ask FERF (financial executives research foundation) about ... private company compliance with section 404.
Regulatory compliance.
The value proposition: there's more to Sarbanes-Oxley compliance than meets the eye.

Terms of use | Copyright © 2012 Farlex, Inc. | Feedback | For webmasters | Submit articles