Cash Systems Comments On Prior Guidance And Timing Of IGS Acquisition.LAS VEGAS Las Vegas (läs vā`gəs), city (1990 pop. 258,295), seat of Clark co., S Nev.; inc. 1911. It is the largest city in Nevada and the center of one of the fastest-growing urban areas in the United States. -- Cash Systems, 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 : CKNN), a provider of cash access solutions for the gaming industry, today commented on prior financial guidance as well as the timing of the IGS IGS - Internet Go Server. acquisition. Cash Systems previously expected revenue of approximately $62-$63 million and diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. loss per share of ($0.10) in fiscal 2005. The Company now expects revenue at the high end of that range. However, the Company believes that the diluted loss per share in 2005 will be greater than expected due to higher than expected Sarbanes-Oxley compliance costs and compensation expense related in part to the acceleration of certain stock option vesting Vesting The process by which employees accrue non-forfeitable rights over employer contributions that are made to the employee's qualified retirement plan account. Notes: . The Company previously issued financial guidance for revenue of $88-$92 million and diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of , excluding options expense, of $0.18-$0.22. The Company expects some of the costs that impacted the fourth quarter, particularly Sarbanes-Oxley compliance costs, will have a continuing impact on 2006 financial results. The Company's guidance also assumed the acquisition of IGS would be completed in January January: see month. . While the Company currently expects to close the IGS acquisition by the end of the first quarter, the delay in closing the acquisition will reduce IGS's contribution to the Company's 2006 financial results. The Company currently believes that higher than previously expected Sarbanes-Oxley compliance costs as well as the IGS closing delay will have a material effect on 2006 previously issued financial guidance. The Company will offer updated 2006 financial guidance on its fourth quarter earnings conference call. Management will hold a conference call today at 6:00 PM ET. The dial in number is 888-695-7895 and the passcode is 5835367. About Cash Systems, Inc. Cash Systems, Inc., located in Las Vegas and Minneapolis Minneapolis (mĭn'ēăp`əlĭs), city (1990 pop. 368,383), seat of Hennepin co., E Minn., at the head of navigation on the Mississippi River, at St. Anthony Falls; inc. 1856. , is a provider of cash access and related services to the retail and gaming industries. Cash Systems' products include its proprietary cash advance systems, ATMs and check cashing solutions. Please visit http://www.cashsystemsinc.com for more information. 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. This press release may contain forward-looking statements, including the Company's beliefs about its business prospects and future results of operations. These statements involve risks and uncertainties. Among the important additional factors that could cause actual results to differ materially from those forward-looking statements are risks associated with the overall economic environment, the successful execution of the Company's plan of operation, changes in the Company's anticipated earnings, continuation of current contracts, gaming and other applicable regulations, and other factors detailed in the Company's filings with the Securities and Exchange Commission, including its most recent Forms 10-KSB and 10-Q. In addition, the factors underlying Company forecasts are dynamic and subject to change and therefore those forecasts speak only as of the date they are given. The Company does not undertake to update any forecasts that it may make available to the investing public. |
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