OXFORD, Miss., June 2, 2005 (PRIMEZONE) -- Modern Technology Corp. (OTCBB:MOTG), a diversified technology development and acquisition company, announced today that it has entered into a Letter of Intent to acquire the software and technology assets of H.NET.
The H-NET technology has a long history of software sales and is a dominating force in the Vision Care industry. The technology provides software, Internet and business application services. With development complete and new products ready to market, H-NET's high margin business model is ready to lift off into the $1.3 trillion Healthcare marketplace. MOTG benefits from an installed base of approximately 6,500 sites and the H-NET technology serves the three largest retail vision care chains in the United States. Companies using H-NET.NET software include LensCrafters, Pearle Vision, Cole Vision, Eye Care Centers of America, Family Vision, Wal-Mart's Sam's Stores (NYSE:WMT), Macy's Group, Bensons, Standard Optical (Canada), the Bay Group (Canada), Optica Lee Borinquin (Puerto Rico) and Scrivens Optical (UK).
MOTG will establish a new subsidiary to commercialize the software and technology assets. MOTG estimates $5,000,000 in annual software sales can be realized through domestic and international distribution of this software system.
MOTG will release further details of this asset acquisition upon completion of the Definitive Agreement. MOTG expects the final agreement to be completed within the next 7 business days.
MOTG exceeded its 2004 projections of $15,000,000 in combined assets and revenues by delivering assets and revenues of $17 Million. MOTG further increased its assets via the purchase of a $1.5 million Convertible Debenture in Demarco Energy (Pink Sheets:DMES). Converting this debenture adds another $1,500,000 in cash flow revenue for MOTG. MOTG's rapid growth and success demonstrate the power of its model. MOTG acquires key technologies and synergistic companies that can benefit from technology improvements and seeks to create growing shareholder equity supported by stable, strong revenues and assets. MOTG has previously declared both stock and cash dividends. The last cash dividend was in March of 2004.
About H-NET.NET
H.NET is a global digital solutions provider for the Vision Care industry. With its multi-service Internet portal, web hosting services, business applications services and Internet-based transaction processing services, H-Net provides products and services to hospitals, clinics, retail opticians, chains home offices, Optometrists, Opthamologists, and Optical Laboratories. For More information about H-Net visit www.h-net.net.
About Modern Technology Corp.
Founded in 1982, Modern Technology Corp is a diversified technology development and acquisition company, building revenues by strategic acquisition and commercialization of emerging technology and by the acquisition of synergistic operating companies. MOTG commercializes technology and provides to its subsidiaries new product lines, operations infrastructure, and significant intellectual capital. The company's mission is to consistently build shareholder value through accretive acquisitions of emerging technology or acquiring operating companies capable of benefiting from technology infrastructure enhancements or new product lines. For more information, visit: http://www.moderntechnologycorp.com.
Safe-Harbor Statement
This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company's filings with the Securities and Exchange Commission.
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