OXFORD, Miss., July 11, 2005 (PRIMEZONE) -- Modern Technology Corp. (OTCBB:MOTG), a rapidly growing, diversified technology development and acquisition company, announced today it has completed the acquisition of the software and technology assets of H-NET. This new technology addition continues the company's rapid expansion and growing technology portfolio.
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 health care 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, 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 technology system.
Anthony Welch, Modern Technology Corp.'s Chairman said, "Our expansion efforts are well underway. This acquisition is a strong addition to Modern's growing subsidiaries and technology acquisitions."
MOTG quarterly revenues are up $1.5 million over the same period last year and the company reported assets of over $7 million.
Further growth in revenues and planned acquisitions from the Electronics sector are expected to generate in excess of $25 million in 2005.
With completed transactions and the anticipated closing of those under consideration, MOTG expects 2005 revenue of between $25 million and $50 million. With transactions under consideration for the second half of 2005, the Company expects 2005 revenue could be between $50 million and $75 million. The Company cautions that this guidance is its best, good-faith estimate based on current conditions and numerous assumptions about the industry, access to financing, the competitive and regulatory landscape, and the Company's ability to successfully complete the acquisitions.
Modern Technology Corp. acquires key technologies and synergistic companies creating revenue and cost benefit from the introduction of both nascent and pre-existing products and technologies. MOTG creates growing shareholder equity supported by stable, strong revenues and assets. MOTG has declared both stock and cash dividends with its most recent cash dividend paid in March of 2004. To enhance investor awareness and promote institutional participation, MOTG intends to apply for a listing on a larger stock exchange as soon as is practicable.
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 nascent commercial 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 .
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, ophthalmologists and optical laboratories. For More information about H-Net visit www.h-net.net .
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.
Modern Technology is a public company trading under the symbol "MOTG" on the OTCBB.