WAVO Announces Plan To Sell Business Lines.Business Editors/High-Tech Writers PHOENIX--(BUSINESS WIRE)--Jan. 17, 2001 Digital media services provider WAVO WAVO Association of Women Against Violence Corporation (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : WAVO) announced that is has signed a memorandum of understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. in anticipation of the sale of its VBI See vertical blanking interval. data transport technology. The identity of the buyer and the terms of the deal are being withheld at the request of the buyer pending completion of due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. and the signing of a definitive agreement. The transaction is anticipated to close in March 2001. Since October 2000, the Company has been actively seeking a strategic partner to support the growth of its flagship digital media service, MediaXpress. WAVO Corporation 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. Michael Coffin said that efforts to secure partners and capital have not been successful due to volatile market conditions and a shrinking private equity market, and that additional expense reductions would be necessary, including a layoff Layoff 1. When a company eliminates jobs regardless of how good the employees' performance. 2. A risk reduction, made by investment bankers, that minimizes the potential downside associated with a commitment to purchase and sell a stock issue unsubscribed by stockholders holding affecting the majority of the company's employees. Coffin also announced plans to sell MediaXpress, indicating that WAVO had identified prospective qualified buyers and anticipated that a transaction would be announced within 45 days. To ensure that customers continue to receive uninterrupted service during the period preceding the sale, WAVO has outsourced operations to an independent service provider employing former WAVO technical staff, who will use WAVO's technology systems and assets to continue service for WAVO customers until new owners assume operating control. About WAVO WAVO Corporation (OTCBB: WAVO) is in the business of moving media. As a digital media services company, WAVO partners with the foremost providers of news, business data, consumer content and multimedia programming. WAVO provides value-added content management and electronic commerce services to media providers over the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the , delivering quality content to an information dependent society. WAVO's products include MediaXpress, the industry's leading solution for delivering real-time rich media and content to Web servers worldwide. Certain of the above statements regarding WAVO constitute 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. that involve risks and uncertainties, including the anticipated sale of WAVO's VBI technology and MediaXpress, and the anticipated timing for completion of these potential sales. Actual results could differ materially from such forward-looking statements as a result of a variety of factors, including, but not limited to, the inability to complete either or both of the proposed sales, the inability to proceed to the execution of a definitive agreement with respect to the proposed sale of WAVO's VBI technology, the inability to secure a qualified buyer for WAVO's MediaXpress service, delays in completing the proposed sales if definitive agreements are reached, and other risk factors described from time to time in WAVO's SEC filings. Even if the proposed sales are completed on a timely basis, there can be no assurance that these sales will raise enough cash to fully satisfy any amounts owed to WAVO's existing creditors and preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. holders or whether, after satisfying these obligations, there will be any funds left to distribute to holders of WAVO's common stock. (c) Copyright WAVO Corporation, 2000. All rights reserved. WAVO and MediaXpress are trademarks of Wavo Corporation. All other trademarks or service marks mentioned herein are those of WAVO Corporation or their respective owners. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion