KING OF PRUSSIA, Pa., Feb. 25, 2003 (PRIMEZONE) -- Neoware Systems, Inc. (Nasdaq:NWRE), the leading supplier of software, services and solutions for the Appliance Computing market, announced today that its Chairman and Chief Executive Officer, Michael Kantrowitz, has filed Forms 4 and 144 with the SEC to cover the exercise of options and the sale of stock.
On February 22, 2003, Mr. Kantrowitz exercised options to purchase 120,000 shares of Neoware common stock which were due to expire on March 3, 2003. To pay for the alternative minimum tax due on this exercise and taxes due as a result of his exercise of 150,000 options in 2002, Mr. Kantrowitz sold 100,000 shares of Neoware stock between February 20 and 24, 2003.
This sale terminates Mr. Kantrowitz's Rule 10b5-1 plan, which was announced and entered into in December 2002. As of February 22, 2003, Mr. Kantrowitz has increased his direct ownership in the Company from 155,000 shares to 175,000 shares of Neoware common stock. Mr. Kantrowitz's total equity interest in the Company, including both shares and options to purchase shares, is 515,000 shares of the Company's common stock.
"I am extremely confident about Neoware's future, and have consistently increased my direct holdings in the Company's common stock over this past year," stated Mr. Kantrowitz. "Although I believe that the Company's stock is undervalued given the growth prospects that we see through 2004, I have sold some of my holdings in order to exercise options which were about to expire, and to pay the AMT taxes that are due as a result of exercising 270,000 options in 2002 and 2003."
About Neoware
Neoware provides software, services, and solutions to enable Appliance Computing, a proven Internet-based computing architecture targeted at business customers that is designed to be simpler and easier than traditional PC-based computing. Neoware's software and management tools power and manage a new generation of smart computing appliances that utilize the benefits of open, industry-standard technologies to create new alternatives to personal computers used in business and a wide variety of proprietary business devices.
Neoware's products are designed to run local applications for specific vertical markets, plus allow access across a network to multi-user Windows servers, Linux servers, mainframes, minicomputers, and the Internet. Computing appliances that run and are managed by Neoware's software offer the cost benefits of industry-standard hardware and software, easier installation, and have lower up-front, maintenance, and administrative costs than proprietary or PC-based alternatives.
More information about Neoware can be found on the Web at www.neoware.com or via email at invest@neoware.com. Neoware is based in King of Prussia, PA.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding: our position as the leading supplier of software, products, services and solutions for the Appliance Computing market; the benefits of our business model; and the undervaluation of Neoware's stock in light of its growth prospects through 2004. These forward-looking statements involve risks and uncertainties. Factors that could cause actual results to differ materially from those predicted in any such forward-looking statement include our ability to continue to lower our costs, our timely development and customers' acceptance of our Appliance Computing products, pricing pressures, rapid technological changes in the industry, growth of the Appliance Computing market, increased competition, our ability to attract and retain qualified personnel, our ability to identify and successfully consummate future acquisitions, adverse changes in customer order patterns, adverse changes in general economic conditions in the U.S. and internationally, risks associated with foreign operations and political and economic uncertainties associated with current world events. These and other risks are detailed from time to time in Neoware's periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its report on Form 10-K for its fiscal year ended June 30, 2002 and Form 10-Q for the quarter ended December 31, 2002.
Neoware is a registered trademark of Neoware Systems, Inc. All other names products and services are trademarks or registered trademarks of their respective holders.