Suddenly the suit is gone, and I feel caught by surprise, even though I was prepared months ago for a settlement. We got past a potentially ruinous situation with the sacrifice of 1.18 million shares and the legal costs. I'd been guessing 1.5 - 3.0 million shares to buy off the plaintiffs.
--------------------------------------------------------------------------------
Monday July 9, 5:02 pm Eastern Time
Press Release
Axion Announces Agreement to Settle Legal Action
EDMONTON, Alberta--(BUSINESS WIRE)--July 9, 2001--Axion Spatial Imaging Inc. (Pink Sheets:AXON), a leader in software technology for display, distribution, and manipulation of geographic information, today announced a settlement out of court with the plaintiffs in a legal action against the Company.
The terms of the settlement include an issuance of 2.82 million shares in Axion Spatial Imaging to the six plaintiffs in this case, and a cash payment of CDN$200,000 for legal expenses incurred by the plaintiffs. As part of the terms, a group of Axion shareholders returned 1.64 million shares to the Axion treasury as their contribution to the settlement, resulting in a net issuance and dilution of 1.18 million new shares to settle this matter.
``We are pleased that we have been able to negotiate an end to this matter with the plaintiffs,'' said Markus Lemke, President and CEO of Axion Spatial Imaging, Inc. ``We look forward now to the opportunity to fully execute our business plan, and the kind of growth and success our shareholders can expect from our company.''
Except for the historical information presented herein, the matters set forth in this press release are forward looking statements within the meaning of the ``safe-harbor'' provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. These forward-looking statements speak only as of the date hereof. The Company disclaims any intent or obligation to update these forward-looking statements. Axion Spatial Imaging is a registered trademark of Axion Spatial Imaging, Inc. All other names and trademarks mentioned above are held by their respective owners and hereby acknowledged.
--------------------------------------------------------------------------------
Contact:
Axion Spatial Imaging Inc.
Markus Lemke, 403/270-3132
Fax: 403/270-3822
markusl@axionspatial.com
www.axionspatial.com |
