AN OPEN LETTER TO OUR INVESTORS AND SHAREHOLDERS 12/9/99
Over the past few days, I have been kept abreast of shareholder's sentiments and feelings regarding the company's share price fluctuations. I have therefore decided to openly communicate my thoughts and feelings to you all. I feel you should all be aware of the company's ongoing performance.
This company is just over a year in it's current business and I will now list a few basic corporate facts for your information. (all this information is publicly stated and available)
In December last year, our balance sheet was just $2 million, now it is about $16 million.
Last year we had just 3 locations, (under construction) we now own and or operate some 80 retail sites in 12 countries.
Last year we had about 8 employees, now about 100 within our organization and our affiliates.
Last year the company had no real estate holdings, now we own a shopping mall valued at about $11 million, and a commercial building valued at $3 million.
Last year we had just 1.4 million shares issued, now we have about 30 million.
Last year our market cap then was about $3.5 million, now (still way undervalued,) it's about $22 million.
And lets talk about the business. We have ongoing reservations for videocalls increasing on a daily basis at all our locations, we have retail sales of pagers, cellphones increasing all the time, and we have a fast growing internet and computer usage section at many of our stores where even today, we have lines forming with customers waiting in line to use the machines.
For those of you that keep asking what our business is, yes, our core business is Videocalling, but this company has not changed its business plan. We are a telecommunications company, and as such we are and will offer the consumers a wide range of telecommunications products and services. These services will include the sale of videocall systems, videophones, pagers, cellphones, long distance ISDN services, ISP services, IP connectivity services as well as a host of other related telecom products.
In addition, to build out our infrastructure, we have entered into agreements with a number of major industry brand name corporations such as Cisco, Intel, MCI, Cable & Wireless, Telia (Sweden). The company has perfected trans-national and international IP connectivity, and is in the ongoing process of connecting all its retail locations to the global IP backbone.
Many of you have asked and commented as to the publicity campaign we have started, so I am taking this opportunity to inform you of our progress. We have commenced our customer awareness program, with over 1.4 million brochures and leaflets being distributed though the newspapers. Here is a list of these publications and an approximate number of brochures distributed through them.;
Miami El Nuevo Herald (Spanish) 112,000 El Especial (Spanish) 26,000 Diario De Las Americas 60,000 La Revista 10,000 The New Times, 107,000 Entertainment News & Review 40,000
London Evening Standard, 100,000 London Jewish Chronicle, 60,000 London Jewish News 40,000
Israel Jerusalem Post, 20,000
San Francisco Philippine News, 160,000
Boston La Semana 10,000 Jewish Advocate 15,000 City Shopper 30,000
Jamaica Plain Gazzette 16,000
Montreal La Presse 40,000 The Gazzette 74,000 National Post 27,000
The Globe 19,000 El Popular 10,000
Toronto The Jewish Tribune 80,000 Canadian Jewish News 30,000 Sacramento The Galt, 10,000 The Elk Grove, 8500 El Heraldo 36,000 Catholic Herald 50,000, Laguna Citizen 11,600 Lincoln News 3200
Placer Herald 12,400 Sacramento Bee 50,000 Sacramento News & Reviews 46,000.
That totals over 1,200,000 inserts reaching over 6 million readers. Not a bad start.
We have taken major advertising space in the following publications,
Miami Herald, Canadian Jewish News, Philippines News, London Jewish Chronicle, London Jewish Times
For further information, we have had articles written about the company in numerous newspapers and other publications, and have been featured on several national and international tv stations. The company will continue to disseminate information through its own resources and via All Media Corp out of Los Angeles California.
The company has started the marketing campaign to sell our “Turnkey Package” of videocalling systems to the legal industry. The first wave of 30,000 brochures has been sent out to lawyers in key cities across the USA, and over the next few months, some 300,000 additional promotional brochures targeting lawyers, and others in the legal system will continue to fly out the company doors.
In January, the company will start marketing the same offer to other key industries and market sectors, and further information regarding this will be announced in due course.
At this time, we have key company executives in Europe, Central and Latin America, all working round the clock on deals to expand our global network. In the next 60 days, we can expect to close on negotiations for the establishment of retail locations in Morocco, Lebanon, Greece, Turkey, Spain, as well as several European and Middle Eastern countries. The company is actively and aggresively continuing its global expansion program in many cities and countries around the world.
Today, following long and serious negotiations, the company signed a Letter of Intent with Universal Express Inc, a company run by Richard Altomare. Richard is the CEO of the company. Richard has been known to me for several years, and besides being an investment banker, served as a commander in the Marine Corps, and US Army, specializing in communications and intelligence. Richard attended Adelphi and Hofstra Universities and has been a political candidate for US Congress and currently serves on several boards.
Richard and his team are a great partner for our future business development, and the association with his company will bear great results and profits for all.
The nature of this transaction will be revealed next week at the planned press conference which will be held in New York on Thursday 16th December. At this press conference, the worlds press will be invited and we expect to have this major news event covered and broadcast worldwide. Between Talk Visual and its associated partners and Universal Express and their thousands of franchisee locations, we believe the emerging business will establish us as the number ONE company in the world in the videocalling / video -conferencing telecommunications industry.
On the issue of the share price, like any new start up company, we have attracted many new investors who seek a quick profit on their investments.
I imagine that we also attracted some investors who think in terms of the the “casino” mentality. Namely, these investors buy shares on Day 1, and have little or no knowledge of the company in which they bought shares, but did so because they saw others do it, or they saw a rise in the price, and jumped on board for a few days to cash out profitably. Well, if they made a profit, good luck to them, but what kind of a profit did they really seek, and what are they foregoing ? Time will tell.
Those of you who know me or have met me in person will know that I am a polio victim, and am confined to getting around in a wheelchair. But this has never curtailed my travel or work ethic, and in fact I am known as a very tenacious person, I work all hours and I persevere, whatever the odds. I DO NOT GIVE UP whatever the issues and whatever the problems. That should be your best level of comfort in terms of holding stock in this company.
I wish to once again invite any and all shareholders who have questions on any aspect of the company and its activities to forward them to us, and the company will do its utmost to reply immediately.
I take this opportunity of wishing you all well, and hope that you all continue to give us the trust and continuing support, and allow us to bring prosperity to all of us together.
Yours sincerely,
Michael Zwebner – Chairman of the Board
Talk Visual Corporation
PS. As a reminder, the 4th edition of our full color newsletter will be out next week. Please now register your full name and address with us at INFO@TALKVISUAL.COM to ensure delivery of your copy. |
