E-centives, Inc. Prepares to Take Restructuring Charge; Sets Date to Discuss Second Quarter 2002 Financial Results; Wednesday, August 7, 2002, at 6:00 PM Zurich Time -12:00 PM ET-.Business Editors & Technology Writers BETHESDA, Md.--(BUSINESS WIRE)--July 23, 2002 E-centives, Inc. (SWX SWX Swiss Exchange (trademark of SWX Swiss Exchange) SWX SolidWorks (3D solid modeling CAD software) SWX Splitter / Wave Division Multiplexer :ECEN ECEN European Chemistry Exchange Network ), a leading provider of interactive direct marketing technologies and services for global marketers, today announced that it will take a second quarter restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. associated with the elimination of certain non-core assets as the company continues to refine its strategic growth focus on its successful IDBM (Interactive Database Marketing) system. These actions will lessen the company's dependence on its cash resources (reduce cash outlays), and drive the company closer to achieving its goal of positive EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become . The restructuring charge will include costs associated with various lease terminations, fixed asset write-offs and severance payments to former associates. The Company will host a live telephone conference call and audio Webcast at 6:00PM Zurich Time (12:00PM Eastern Time) on Wednesday, August 7, 2002 to review earnings results for the second quarter. The Webcast can be accessed by visiting www.e-centives.com/corp/investor. As an alternative, participants can dial 1.630.395.0035 (International callers) or toll free 1.888.577.8992 (US callers) to hear the live audio portion of the presentation. After dialing in, please wait for the conference coordinator and reference the password "E-centives." The conference leader will be E-centives, Inc.'s Chief Financial Officer, David Samuels. The telephone conference will be available for replay until August 14 by dialing 1.402.998.1838 (International callers) and 1.888.567.0483 (US callers). About E-centives, Inc. Founded in 1996, E-centives is a leader in interactive direct marketing technologies and services for global marketers. E-centives provides a complete suite of patented and unique technologies that enable leading global businesses to acquire, retain and forge stronger, more valuable relationships with their audiences. Clients include Nestle USA, Reckitt Benckiser, and AOL (A division of Time Warner, Inc., New York, NY, www.aol.com) The world's largest online information service with access to the Internet, e-mail, chat rooms and a variety of databases and services. . Headquartered in Bethesda, MD, with offices in San Francisco, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , and London, E-centives, Inc. is traded on the SWX New Market of the SWX Swiss Exchange SWX Swiss Exchange An all-electronic securities exchange formed from the 1995 merger of exchanges in Geneva, Basel, and Zurich. The exchange offers trading in equity securities, investment funds, exchange-traded funds, bonds, Eurobonds, and options. under the symbol "ECEN." Under 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, E-centives cautions investors that any forward-looking statements or projections made by the company, including those that may be made in this press release, are based on management's expectations at the time they are made, but they are subject to risks and uncertainties that may cause actual results to differ materially from those projected. Specifically, E-centives forecasts of revenue growth, customer growth and EBITDA are forward looking in nature, and could differ materially from current expectations. E-centives' future results may be impacted by factors such as technological changes, market acceptance of the company's services, E-centives' ability to grow its customer base, and competitive market pressures. E-centives' future results also may be impacted by other risk factors listed in its prospectuses dated October 2, 2000, July 3, 2001, November 21, 2001 and January 29, 2002, and Forms 10-K and 10-Q filed with the Securities and Exchange Commission. By making these forward-looking statements, E-centives undertakes no obligation or intention to update these statements after the date of this release. |
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