AremisSoft Announces Acquisition of Rio Systems International.Business Editors NEW YORK--(BUSINESS WIRE)--Feb. 26, 2001 -- Acquisition Expands Enterprise Hospitality Product Offerings -- Strong U.S. Customer Base of Top Hotels and Resorts AremisSoft Corporation (Nasdaq:AREM AREM All-Random Easy Mode (gaming, Dota Allstars) AREM Avian Richness Evaluation Method ) an international supplier of enterprise-wide software and Internet-enabled solutions for the manufacturing, hospitality, healthcare and construction industries, today announced the acquisition of Rio Systems International, a supplier of an integrated hospitality suite of applications that serve the spa, resort, and premium hotel markets. This acquisition reflects AremisSoft's plan to serve the entire hospitality market with leading edge enterprise applications. With this acquisition, AremisSoft intends to further broaden its enterprise product offering to include comprehensive spa management, retail point of sale (POS (1) See point of sale and packet over SONET. (2) "Parent over shoulder." See digispeak. POS - point of sale ), restaurant, fine dinning, golf/tennis scheduling and other hospitality related applications. The acquisition brings to AremisSoft over 100 customers, primarily located in the U.S. The Rio system has been proven in such prestigious properties as the Boca Raton Boca Raton (bō`kə rətōn`), city (1990 pop. 61,492), Palm Beach co., SE Fla., on the Atlantic; inc. 1925. Boca Raton is a popular resort and retirement community that experienced significant industrial development in the 1970s and 80s. Club and Resort and numerous Ritz Carlton Hotels Carlton Hotel can refer to:
Roys Poyiadjis, Co-CEO and President of the US Group of AremisSoft, stated, "The acquisition of Rio Systems International represents a further step in advancing AremisSoft's strategy to create the premier supplier of enterprise class hospitality systems worldwide. Rio Systems International will enable us to add substantially to our product portfolio with proven applications that have already been well received in major resorts and high end hotels. Commencing immediately, our worldwide hospitality sales teams will be able to benefit from the opportunity to cross sell the AREMIS and Rio Hospitality Suite of products to our growing customer base." Under terms of the agreement, AremisSoft acquired the assets and certain liabilities of Rio Systems International for $2.44 million in an all cash transaction. In addition, Rio Systems International shareholders could earn additional cash consideration based upon an earn-out formula, over the next 15 months. The Company projects the acquisition will add approximately $4 million in revenue and $0.01 to pro forma earnings pro forma earnings Income not necessarily calculated in accordance with generally accepted accounting principles. For example, a company might report pro forma earnings that exclude depreciation expense and nonrecurring expenses such as restructuring costs. per share in 2001. Pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma net income and earnings per share for 2001 excludes amortization of goodwill and purchased intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. , and non recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. related to recent acquisitions. Dr Lycourgos Kyrpianou, Founder, Chairman of the Board and Co-CEO of AremisSoft, commented, "Rio has a unique product offering that can materially enhance both AremisSoft's presence in the spa, resort and high-end hotel market segments and our longer term business potential. Rio has built a fully integrated system that can support all of a hotel's venues and activities in a single integrated solution. Many resorts and luxury hotels need a system that offers full retail-restaurant POS system support along with sophisticated spa/health club and other activity scheduling and management. "Rio Systems will give AremisSoft a beach head in many major chains, giving us the opportunity to show our proven next generation AREMIS Hospitality solutions. Rio can also help AremisSoft target some of the major resort hotels, which are dramatically expanding the number of retail shops, sports, and fitness amenities. The Rio system has been demonstrated to be highly scalable, supporting over 300 devices at the Boca Raton Resort and Club as well as multiple properties from the same database. We believe that hoteliers around the world will be increasingly looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. proven solutions from suppliers such as AremisSoft that can address all of their enterprise information technology requirements. AremisSoft intends to cross sell to its 3100 hotel customers the Rio suite of products." About Rio Systems International Rio Systems is a leading supplier of resort and retail management systems for the hospitality industry. Rio has developed one of the most comprehensive systems for management of large hotel/resort activities including spa, retail, food and beverage F&B is a common abbreviation in the United States and Commonwealth countries, including Hong Kong. F&B is typically the widely accepted abbreviation for "Food and Beverage," which is the sector/industry that specializes in the conceptualization, the making of, and delivery of foods. POS, golf and tennis scheduling, club membership management, etc. The Company has many well-known properties as clients including the Boca Raton Resort and Club, Ritz Carlton Hotels and Raffles Raffles leading Victorian criminal-hero. [Br. Lit.: Herman, 19–20] See : Thievery . The Rio Systems International products are installed in over 100 premium properties, primarily in the US. The Rio Hospitality Suite has demonstrated a unique capability to provide a hotel/spa/resort with a comprehensive single view of all guest activity and appointments, via an Oracle database. Besides sophisticated scheduling routines for management of activities, the Rio Hospitality Suite has a full retail POS capability, and a central reservation central reservation Noun Brit & NZ the strip that separates the two sides of a motorway or dual carriageway central reservation n (BRIT) (AUT) → mediana system oriented o·ri·ent n. 1. Orient The countries of Asia, especially of eastern Asia. 2. a. The luster characteristic of a pearl of high quality. b. A pearl having exceptional luster. 3. toward resort stay packages. Rio Systems International has a team of approximately 33 people, including direct sales, support and research and development. The Company is headquartered in Roswell, Georgia Roswell is a city located in northern Fulton County, Georgia. As of the 2000 census, the city had a total population of 79,334. Census Estimates of 2005 show a population of 98,137. Residents of Roswell are referred to as Roswellians. . The Company grew at a 38% rate in 2000 to $2.6 million in revenue. Notice of Conference Call AremisSoft will be hosting a conference today, Monday, February 26 at 4:45 p.m. EST P.M. also p.m. or p.m. abbr. post meridiem Usage Note: By definition, 12 a.m. . To participate in the conference call, local and international callers can dial 212-896-6087. Callers from the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and Canada can dial 888-214-7561. A replay will be available approximately one hour after the call until midnight on March 5. The replay number is 858-812-6440, passcode: 18115675. The call will also be available via the Internet by accessing the AremisSoft web site: www.aremissoft.com. Simply go to the Investor Relations' Press Release section to link to the audio. The call will also be available on the Vcall web site: www.vcall.com. About AremisSoft Corporation AremisSoft develops, markets, implements and supports enterprise-wide applications software targeted at mid-sized organizations in the manufacturing, hospitality, healthcare, and construction industries. The Company's software products help streamline and enhance an organization's ability to manage and execute mission-critical functions such as accounting, purchasing, manufacturing, customer service and sales and marketing. AremisSoft reported total revenue of $123.6 million for the twelve months ended December 31, 2000 and pro forma net income of $29.2 million for the same period. AremisSoft has approximately 835 employees, with sales in over 20 countries and a customer base in excess of 7,200. The Company also operates a software development and support facility in India, with over 325 employees, which provides significant organizational efficiencies and cost advantages in software development and support. Cautionary Statement for Purposes of 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: All statements, other than historical facts, included in the foregoing press release regarding the Company's financial position, business strategy, and plans of management for future operations are "forward looking statements." These statements are based on management's beliefs and assumptions, and on information currently available to management. Forward looking statements include, but are not limited to, statements in which words such as "expect," "see," "anticipate," "intend," "plan," "believe," "estimate," "consider," or similar expressions are used. Forward looking statements are not guarantees of future performance. They involve risks, uncertainties, and assumptions, including risks discussed under "Risk Factors" in the Company's annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , SEC File No. 0-25713, all of which are incorporated herein by reference. The Company's actual results and stockholder values may differ materially from those anticipated or expressed in these forward looking statements. Many of the factors that will determine these results and values are beyond the Company's ability to control or predict. Readers of this press release are cautioned not to put undue reliance on any forward looking statement. The Company undertakes no obligation to publicly update these forward looking statements, whether as a result of new information, future events or otherwise. |
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