VANCOUVER, British Columbia, Feb. 22, 2005 (PRIMEZONE) -- UltraGuard Water System Corp. (OTCBB:UGRD) is pleased to announce they have concluded a settlement of four lawsuits filed in June 2003 against the Company and its Directors. The suits were filed by a group of shareholders whom had acquired their share positions when UltraGuard purchased the company Innovative Fuel Cell Technology Inc (IFCT). IFCT was the holder of an option to purchase from MagPower Systems Inc, the world rights to a Magnesium Fuel Cell used to power ultraviolet disinfection equipment. UltraGuard's legal counsel responded by filing countersuits against the plaintiff and by vigorously defending the filed actions.
As a result of these actions, during the period from issuance of the writs to the time of settlement, UltraGuard expended a considerable amount of time and money directly responding to the actions. Many of the Company's opportunities were placed on hold due to the effects this action had on the Company's ability to raise funds and the depressed stock price.
Company President Ken Fielding said, when the settlement was signed on February 1st, 2005, "We are certainly pleased we have been able to conclude this settlement. We can now concentrate on moving forward with our plans for marketing the fuel cell technology and the other core technology of the Company."
Under the terms of the settlement both the Company and the Plaintiff signed a general release against future action of any kind as well as forgiving all debts owed by the Plaintiff and the shareholder group. The result of the monetary release reduces the debt carried in the Company's financial statement by about $86,000.
UltraGuard Water Systems Corp., headquartered in Greater Vancouver British Columbia, is a public company emerging as a provider of ultra-violet (UV) water purification systems for the multi-billion dollar global drinking marketplace including UV systems powered by UltraGuard's licensed magnesium fuel cell.
"Safe Harbour Statement" under the Private Securities Litigation Reform Act of 1995: The statements contained in this news release include certain predictions and projections that may be considered forward-looking statements under securities law. These statements involve a number of important risks and uncertainties that could cause actual results to differ materially including, but not limited to, the performance of joint venture partners, as well as other economic, competitive and technological factors involving the Company's operations, markets, services, products and prices. With respect to UltraGuard Water Systems Corp., Inc., except for the historical information contained herein, the matters discussed in this news release are forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, but are not limited to, UltraGuard Water Systems Corp., Inc. extremely limited operating history, uncertainties related to the Company's access to additional capital, competition and dependence on key management.