Thursday May 21, 12:19 pm Eastern Time
Company Press Release
SOURCE: Cable Link, Inc.
Cable Link, Inc. Purchases Auro Computer Systems
COLUMBUS, Ohio, May 20 /PRNewswire/ -- Cable Link, Inc. (OTC BULLETIN BOARD: CBLK - news) announced today that it has purchased approximately 90% of the outstanding capital stock of
PC and Parts, Inc., d/b/a Auro Computer Systems, Westerville, Ohio. Auro Computer Systems is engaged in the business of providing COMPUTER HARDWARE and related SERVICES, as well as DESIGNING and IMPLEMENTING WIDE AREA and LOCAL AREA NETWORKS. Auro's audited sales for 1997 were in excess of $13 million. Brian Berger, who has become President of Auro and a member of Cable Link's Board of Directors, acquired the balance of the stock of Auro.
Auro, a privately held company, conducted most of its business in the Columbus, Ohio area. Cable Link sees this as an outstanding opportunity to more than double Cable Link's existing revenues with
excellent profit contribution the first year. This move continues Cable Link's strategy to be involved in all facets of the telecommunications environment which it sees integrating with telephony to change the composition of the residential and business communication industry.
Cable Link financed the Auro Computer acquisition through bank financing, and did not have to raise additional capital funds. Although Cable Link has acquired this business in the middle of its fiscal year, it is anticipated that total consolidated company revenues will approximate $17 - $18 million for fiscal
year 1998. We expect a reasonable contribution to earnings immediately and anticipate earnings per share for fiscal year 1998 upwards of $.55 per share.
Revenues for fiscal 1999 should be in excess of $25 million, as both businesses will be reporting 12-month sales with anticipated earnings commensurate with the additional revenues. Cable Link will
continue to search for businesses that it believes will add shareholder value by combining emerging technology and expertise as well as revenues and income.
Cable Link continued to improve revenues during its first quarter which ended March 31, 1998. Cable Link anticipates applying to Nasdaq for listing consideration.
Cable Link, Inc. is a Columbus-based company engaged in the business of remanufacturing cable television equipment in the United States and is one of the few companies that specialize in the repair
and refurbishment of cable TV equipment including converters, linegear and headend. Cable Link, Inc. Common Shares are traded on the OTC Bulletin Board under the symbol ''CBLK.''
This press release includes statements which constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These statements are subject to risk and uncertainties that could cause actual results to differ materially from the forward looking statements. Factors which would cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission Filings.
SOURCE: Cable Link, Inc.
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