CirTran Obtains $20 Million in Equity Financing.SALT LAKE CITY -- New Financing Package with Cornell Capital Significantly Lowers CIRT CIRT Computer Incident Response Team CIRT Critical Incident Response Team CIRT Camara Nacional de La Industria de Radio y Television (Mexican Association of Broadcasters) CIRT Central Institute of Road Transport Cost of Capital, Providing Funding for Aggressive Acquisition and Expansion Program CirTran Corp. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :CIRT), an international full-service contract electronics manufacturer of printed circuit board assemblies, cables and harnesses, today announced the company has obtained $20 million in committed equity capital in the form of a Standby Equity Distribution Agreement In Finance, SEDA stands for a Standby Equity Distribution Agreement. This is an agreement whereby a small publicly-traded company arranges to raise additional capital by selling new stock without making a formal Secondary Market Offering to the market. (SEDA SEDA Staff and Educational Development Association SEDA Sustainable Energy Development Authority (Australia) SEDA Social and Economic Data Analysis SEDA Special Ed Assistant SEDA South East Drift Association ) with Cornell Capital Partners, L.P. The SEDA is larger and, in the opinion of CirTran's management, provides substantially better terms than the previous $5 million SEDA that CirTran negotiated in 2003. The sale of CirTran common stock under the SEDA will be registered with an SB-2 registration statement filed with 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. Securities and Exchange Commission. Iehab J. Hawatmeh, President 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 CirTran Corp. commented, "This funding commitment represents a watershed event for CirTran and our shareholders. We believe that we now have access to sufficient capital on better terms to build our business into a significantly larger player in the global manufacturing arena. The company is already benefiting from the recent increased sales from CirTran-Asia, its Asian manufacturing division which has required initial and ongoing investments which shall in part be used from this funding." Matt Beckman, Managing Partner of Cornell Capital commented, "CirTran has been one of Cornell's best clients, and has demonstrated the advantages of a SEDA when used properly, I have personally built a strong relationship with Iehab and trust his intentions with regards to the future growth of CirTran." About Cornell Capital Based in Jersey City, NJ, Cornell Capital Partners, L.P. began operations in January 2001 to address the financing needs of publicly traded companies publicly traded company A company whose shares of common stock are held by the public and are available for purchase by investors. The shares of publicly traded firms are bought and sold on the organized exchanges or in the over-the-counter market. that exhibit a clear business vision and to turn PIPEs into a mainstream form of financing. Since then, Cornell Capital has successfully financed numerous public companies while becoming the world's most active investor in structured private placements. At the end of 2002, the company was ranked number one both in all PIPE and structured PIPE transactions with 33 and 32 transactions, respectively. For further information about Cornell Capital, please visit the Company's website located at www.cornellcapital.com . About CirTran Corporation Founded in 1993, CirTran Corporation (OTCBB:CIRT) has established itself as a premier full-service contract electronics manufacturer by building printed circuit board assemblies, cables, and harnesses to the most exacting specifications. CirTran is headquartered in Salt Lake City, Utah For ships of the United States Navy of the same name, see . Salt Lake City is the capital and the most populous city of the U.S. state of Utah. The name of the city is often shortened to Salt Lake, or its initials, S.L.C. with a state-of-the-art 40,000 sq. ft. facility. CirTran also provides "just-in-time" inventory management techniques that minimize the OEM's investment in component inventories, personnel and, related facilities, thereby reducing costs and ensuring speedy time-to-market. For further information about CirTran, please visit the Company's website located at www.cirtran.com. 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. Statement Certain statements made herein that are not historical are forward-looking within the meaning 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 and may contain 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. , with words such as "anticipate," "believe," "expect," "future," "may," "will," "should," "plan," "projected," "intend," and similar expressions to identify forward-looking statements. These statements are based on the company's beliefs and the assumptions it made using information currently available to it. Because these statements reflect the company's current views concerning future events, these statements involve risks, uncertainties and assumptions. The actual results could differ materially from the results discussed in the forward-looking statements. In any event, undue reliance should not be placed on any forward-looking statements, which apply only as of the date of this press release. Accordingly, reference should be made to the company's periodic filings with the Securities and Exchange Commission. |
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