VINELAND, N.J., July 18, 2006 (PRIMEZONE) -- AuGRID Corporation (Pink Sheets:AUGC) today released the following letter to its shareholders:
As a result of the PCAOB engaged firm, Malone and Bailey, it has been requested that AuGRID retain a separate accounting firm to thoroughly review the work papers of AuGRID's former accounting firm. The names of our new firms will be placed on our web site by weeks end. The suggestion was made to further expedite completion of the 2003 10KSB (re-audit) by the aforementioned PCAOB certified auditing firm.
The process is tedious and requires great accuracy prior to the auditing firm certifying the numbers. AuGRID will keep its shareholder base as well as the public up to date as these two firms make progress in moving AuGRID towards compliance. In future press releases I will always address the issue of accounting first, it is the most important factor in gaining shareholder confidence and regulator approval on future items that require approval.
As AuGRID moves forward on a cautious path of reorganization, I would like to address press releases that of the past, in particular the releases pertaining to the (IA Device) Internet Audio as well as the project "CodeStar."
Item-1 Internet Audio Device -- Progress since the last press release:
AuGRID has located the OEM in China that it intends to use
for mass production of this HI-FI product.
Tooling and ID near completion awaiting final approval from
Mr. Hoshina, whom is in charge of the Optipure division.
This delay is partly due to new technologies we are offering
to the Optipure customer, and their integration in to the
Device itself.
Marketing Plan for global rollout of all the High-end audio
products.
Recently acquired proprietary list of distributors for our
mid and high-end products. These distributors total
635 stores around on a national level.
AuGRID has started discussions with a specific content provider
for the Internet Audio device.
Item-2 Project "CodeStar"
This project was developed because of the circumstances that
surround 9/11. AuGRID acquired EIS in 2003 for the
implementation of this program, this will more than likely
result in a joint collaboration between AuGRID and another
firm that has a mature hardware infrastructure needed to
start field testing CodeStar. CodeStar is a software
protocol written for the express purpose of notifying
those authorized government, and local law enforcement upon
the commencement of a natural disaster as well as any
terrorist attack. On July 18, 2006 the CEO of AuGRID
Corporation will visit the potential JV partner in order to
view the existing command center as well as inspect security
procedures and for just such a center. The outcome for this
visit is to start a working relationship with fast track
implementation for field testing.
A notice to the shareholders of record as well as those in street name -- AuGRID's reorganization plan is not a difficult one to map.
Firstly -- AuGRID has started the process of becoming a holding Corporation, we have engaged special counsel for this activity. This status gives the Corporation and its shareholders a much needed and broad based ability to acquire firms in vastly different types of Industries. Once a private firm meets the criterion which in part is defined by the SEC and PCAOB, we intend to acquire that firm for its revenues and increase our shareholders value, at the same time being a public corporation and having access to the capital markets, our intentions are to assist that acquisition in gaining market share in its specific target markets whether that be through acquisitions in order to expand their position or capital infusion for expansion of already existing facility in order to gain greater market share.
AuGRID's relationship with China firm Primergy has begun to bear positive results.
-- Tentative Hong Kong office opening scheduled for September 2006.
-- Six Chinese Manufactures bidding for the OEM of the Optipure line
of High-end consumer electronics products.
-- Several candidates for joint ventures with and exchange for assets
to be brought under AuGRID Corporation.
-- AuGRID Corporation Incorporation in Hong Kong being expedited.
-- Cost negotiation on hard assets that are being privatized from the
former state controlled holdings.
AuGRID will touch on each of the aforementioned bullet points in future press releases. Some of these release will target the public at large, while some will be shareholder specific. All will be public information. Progress and disclosure is the purpose of these releases. As CEO my first priority as stated earlier is to get AuGRID into compliance and onto a different exchange. I have also elected to set up an advisory board which I will start to populate at some point no later than September. The advisory board will consist of specialists from different industries that the soon to be formed holding corporation will have as entities that exist under that format. From time to time because AuGRID is transforming into a holding company, the releases will feature information about a specific holding: their revenues, market share, profits and any material events. We do not want to give the impression of not having a strategic goal. As time moves forward our plan will come into focus enough for the investor community to see our vision, until that time there is arduous work ahead. Once again we appreciate your continued support.
Forward Looking Statement: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements regarding AuGRID Corporation in this release that are not historical in nature, particularly those that utilize terminology such as "may," "should," "likely," "expects," "anticipates," "estimates," "believes" or "plans," or comparable terminology, are forward-looking statements based on current expectations about future events, which AuGRID Corporation has derived from the information currently available to it. These forward-looking statements involve known and unknown risks and uncertainties that may cause our results to be materially different from results implied in such forward-looking statements. Important factors known to AuGRID Corporation that could cause forward-looking statements to turn out to be incorrect are identified and discussed from time to time in AuGRID Corporation's filings with the Securities and Exchange Commission. The forward-looking statements contained in this release speak only as of the date hereof, and AuGRID Corporation undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise.