Computer Support Associates: Court Approves Chapter 7 Status, Proxity Debt Relieved.Business Editors/High-Tech Writers NEW ORLEANS--(BUSINESS WIRE)--March 7, 2003 Proxity Digital Networks Inc. (Pink Sheets:PDNW) announces the bankruptcy court has approved subsidiary Computer Support Associates, Inc., (CSA (1) (Canadian Standards Association, Toronto, Ontario, www.csa.ca) A standards-defining organization founded in 1919. It is involved in many industries, including electronics, communications and information technology. ) move from Chapter 11 protection to Chapter 7 status. Proxity Digital 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. Billy Robinson notes, "The Chapter 11 reorganization plan CSA filed in August called for a 100% payout to creditors in the form of a convertible preferred stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". and a negotiated settlement with the IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. . The loss of the GSA (1) (Global mobile Suppliers Association, Sawbridgeworth, U.K., www.gsacom.com) A membership organization of suppliers of GSM products and services. Its goal is to promote GSM as the worldwide mobile communications standard. See GSM Association and GSM. 1 contract eliminated the financial viability of moving forward with this plan. This week's Chapter 7 decision by the court will remove approximately $1.5 million of CSA related debt from the balance sheet of Proxity. Revised financials have been posted on our web site www.proxity.com. Since Computer Support Associates, Inc. is no longer an operating subsidiary every Proxity resource has now been allocated to the development and launch of On Alert GDS(TM) and getting it to market as quickly as possible." About Proxity Proxity Digital Networks, Inc. is a New Orleans based development company with additional marketing, sales and business offices in Tulsa, Irvine, and Washington D.C. The Company's divisions specialize in the deployment and integration of security protection technology, government contract fulfillment, high-speed Internet access and Internet web applications. Proxity is acquiring security technology that will support a full line of interoperable protection disciplines. Proxity has the exclusive global license on the patent-pending On Alert Gunshot Detection System (GDS)(TM) being developed by Synchros Technologies, Inc. First stage development and testing is taking place in Oklahoma. Second-generation prototypes are set for beta testing deployment in early 2003. www.proxity.com Statement Under 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 : With the exception of the historical information contained in this release, the matters described herein contain forward-looking statements that involve risk and uncertainties that may individually or mutually impact the matters herein described including, but not limited to, product acceptance, economic, competitive, governmental, results of litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. , technological and/or other factors which are outside the control of the Company. |
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