NEW YORK, Oct. 15, 2003 (PRIMEZONE) -- Advanced Communications Technologies, Inc. (OTCBB:ADVC) ("ACT" or the "Company") announced today that it is in line with its strategic plan to restructure the Company, and has already taken its first proactive step towards turning ACT into a valuable operating business.
The Company's access to capital under its equity line of credit facility with Cornell Capital Partners, L.P. ("Cornell Capital"), which became available on July 31, 2003 when the SEC declared its registration statement effective, has enabled the Company to begin restructuring its outstanding debt with creditors and clean up its balance sheet. "We have either settled or are in the process of settling a majority of our debt obligations with our creditors," said Wayne Danson, ACT's President and CFO. Danson continued, "Our objective is to have the company's obligations significantly settled and discharged by the end of the year. While this goal may be aggressive, management is working conscientiously towards attaining this result." The Company has settled over $800,000 of debt obligations with creditors since September.
As part of ACT's overall reformation, the Company is actively pursuing the acquisition of one or more operating businesses with a proven product and dynamic management. This process has just begun and the Company does not anticipate any meaningful transactions until the first quarter 2004. "We need to restructure the company's financial picture before we aggressively pursue our expansion plans," said Danson. Cornell Capital voiced their support and offered their availability to assist ACT in finding appropriate business expansion opportunities.
Management is also considering the possible future spin-off or sale of its rights to the SpectruCell product, which include the exclusive marketing and distribution rights throughout the North and South American markets. "We are actively considering these possibilities as well as other options in an effort to provide multiple sources of growth for the company and value to our shareholders", said Danson. The potential spin-off or sale of the rights to the SpectruCell product is consistent with management's vision of a new and diverse Company.
The Board of Directors expressed excitement about the future possibilities and new direction of the Company.
About Advanced Communications Technologies Inc
Advanced Communications Technologies Inc. ("ACT") owns the exclusive marketing and distribution rights throughout the North and South American markets to SpectruCell, a software-defined radio (SDR) multiple protocol wireless system that is currently being developed by an unrelated party in Australia.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934. Although the Company believes that the expectations reflected in such statements are reasonable, no assurances can be given that they will prove correct. The Company remains exposed to risk factors that include the completion, marketability and availability of the SpectruCell product, the availability of qualified personnel, market competition, meeting time critical requirements and others as outlined in the Company's Registration Statement as filed with the Securities and Exchange Commission on July 16, 2003. Statements made herein are not a guarantee of future corporate or stock performance.
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