LAKE OSWEGO, Ore., Sept. 25, 2003 (PRIMEZONE) -- ICM Telecommunications, Inc. (Pink Sheets:ICMH), a rapidly growing provider of prepaid pin-based products through its Point of Sales Activation (POSA) terminals, today issued a report to shareholders from CEO Doug Hamby, updating them on the company's progress and its plans for future growth.
"While the stock's price recently has been under pressure," Hamby said, "we're taking steps to remedy that, as well as to set in motion a series of events that hopefully will help us to identify and close on new funding opportunities as quickly as possible.
"These new cash infusions, when obtained, will enable us to continue to move forward aggressively with our marketing plans, as well as to complete the preparation of our audited financial statements -- a key prerequisite to our applying for, and being listed on, the Over-the-Counter Bulletin Board as rapidly as possible," Hamby continued. "We hope to then move on to become a fully listed security on the NASDAQ Small Cap or the American Stock Exchange. Any one of these listings will enable us to secure funds for expansion more reasonably and in a timelier manner."
The CEO said ICM's opportunities for success are virtually limitless since it competes in one of the telecommunications industry's most rapidly growing segments -- the prepaid pin-based products market -- through our Point of Sales Activation (POSA) terminals.
He noted that the fastest growing part of the POSA terminal market is for prepaid cellular telephone services. A recent industry study predicts that the prepaid cellular market will grow to as much as $4.4 billion this year, up more than 33% from the $3.3 billion in prepaid cellular revenues recorded last year, and industry analysts see this telecom industry segment approaching the $10 billion threshold by 2007.
In addition to the prepaid cellular market, Hamby explained, the prepaid long distance calling card market is also growing rapidly. The combined growth of both suggests to industry observers these two markets will help contribute to an overall explosive growth path for the POSA terminal market for prepaid products, climbing to as high as $16 billion by the end of 2004.
"Our mission, therefore, it to resolutely pursue a comprehensive marketing solutions strategy to respond to these unprecedented and continually growing prepaid service opportunities. We are developing and marketing business solutions that push back the frontiers of prepaid communications services," he observed.
Beyond prepaid cellular and long distance phone cards, Hamby said the company currently is working with national partners to offer business solutions that focus on delivering multiple prepaid communications services to numerous market segments, all from a single source.
"Our community of partners, and their collective expertise, creates a platform reflecting the specific needs of our customer base, providing these customers with an entire prepaid communications solution as well as management of that solution," Hamby noted. "At the heart of these services, of course, is our Electronic Payment & Inventory System (EPIS). The suite of services offered by the proprietary EPIS hardware and software package enables the retailer to process all these services, as well as merchant services such as Visa and MasterCard transactions, all on the same terminal. As an ISO for merchant services products, ICM can therefore offer a complete package of services to the retailer."
The company sells its products through high-traffic retailers such as convenience stores, drugstores and video rental shops. Their returning customers are the most typical potential users of ICM's products and services in the general consumer field. Going forward, Hamby said, the company also anticipates marketing directly to travel centers and truck stops nationwide. "We also anticipate the development of a dealer network of independent sales professionals to market ICM products and services on a regional basis, selling to the same kinds of customers the company has established in its program rollout."
The CEO revealed that ICM is concurrently pursuing marketing agreements with other organizations to further its identity in the private label loyalty card market. It plans to include these partners marketing its products along with their own lines. These master distributors will carry non-competing products complementary to ICM's product line and give their customers new sources of revenue.
"Our industry is expected to continue to experience solid growth over the next five years," Hamby said, "with the current $3.7 billion market expected to expand by another 73%. In fact, some 74% of retail service providers are expected to add POSA features to their stores by 2005."
"Over the near term, to fund our marketing expansion plans, hire additional personnel, and upgrade our stock listing, we are seeking total current additional funds that will net the company approximately $1 million in new working capital, and we are prepared to offer investors additional incentives as may be required," he continued.
In closing, Hamby told investors, "We invite you to monitor our progress, to continue to look at ICM Telecommunications as a longer-term investment with superb growth potential, and to join us in the realization that tomorrow really is today. And if you're not sure about the future, what a great time to join us in going out and inventing it!"
Statements contained in this release, which are not historical facts, may be considered "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on current expectations and the current economic environment. We caution the reader that such forward-looking statements are not guarantees of future performance. Unknown risk, uncertainties as well as other uncontrollable or unknown factors could cause actual results to materially differ from the results, performance, or expectations expressed or implied by such forward-looking statements.