Affinity Technology Group Signs $1 Million Financing Agreement.Business Editors COLUMBIA, S.C.--(BUSINESS WIRE)--Aug. 3, 2001 Affinity Technology Group, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : AFFI) today announced that it has entered into a $1 million financing agreement with HomeGold, Inc. Under the terms of the agreement, Affinity has received initial funding of $500,000 and will receive an additional $500,000 in equal monthly installments over the next five months. The financing arrangement included execution of a 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. bearing interest at the rate of eight percent (8%) with a maturity date of December 31, 2001. The loan is secured by the stock of the Company's mortgage subsidiary, Surety An individual who undertakes an obligation to pay a sum of money or to perform some duty or promise for another in the event that person fails to act. surety n. Mortgage, Inc. The Company has the option of tendering the stock of Surety Mortgage, Inc. in full satisfaction of the note. Joe Boyle, Chairman, President and Chief Executive Officer of Affinity, said, "We are extremely pleased to secure this financing arrangement. This agreement, coupled with the cash flow generated by our mortgage operations through our subsidiary, Surety Mortgage, Inc., and our continued reduction of expenses, will greatly improve our liquidity for the remainder of the year. Moreover, an improved working capital position will provide us a much greater degree of flexibility in evaluating strategic alternatives, especially with respect to possible patent licensing strategies." About Affinity Technology Group, Inc. Affinity's technology enables financial institutions to link their branches, call centers, Internet customers, and indirect agents electronically to their credit departments, providing fully automated au·to·mate v. au·to·mat·ed, au·to·mat·ing, au·to·mates v.tr. 1. To convert to automatic operation: automate a factory. 2. lending - and, if necessary, connectivity to a loan officer - through every channel. For financial institutions, Affinity's solutions expedite ex·pe·dite tr.v. ex·pe·dit·ed, ex·pe·dit·ing, ex·pe·dites 1. To speed up the progress of; accelerate. 2. loan decisioning and processing and increase productivity and capacity of branch personnel, call center agents, loan officers, and indirect agents, while improving the overall customer experience. Affinity is located on the World Wide Web at www.affi.net. Forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. in this news release, including those related to the Company's liquidity for the remainder of 2001, are made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Investors are cautioned that these statements involve several risks and uncertainties, including unexpected shortfalls in projected revenues, unanticipated costs and expenses, changes in economic conditions and other factors that may cause actual results to differ materially from those projected. |
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