eOn Communications Corporation(TM) Announces Changes in Manufacturing Practices, Caribbean/Latin American Business, Headquarters Location
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MEMPHIS, Tenn., June 28 /PRNewswire/ -- eOn Communications Corporation
(NASDAQ:EONC), the leading provider of Linux(TM)-based communications servers
and software, announced a series of organizational changes that will
streamline the Company's manufacturing operations, expand its sales activities
in the Caribbean and Latin American markets, and move its executive
headquarters to a major center of the communications industry.
Manufacturing Operations
Effective August 1, the beginning of eOn's 2001 fiscal year, the Company
will outsource manufacturing functions including warehousing, assembly and
order fulfillment for its Millennium(R) digital switching products to
Cortelco, Inc., an unaffiliated telecommunications distribution firm in
Corinth, Mississippi. Shortly thereafter eOn will close the Corinth operation
at which it presently performs the Millennium work. Cortelco's management has
indicated their intention and preference to staff their Millennium activities
with employees from eOn's current Corinth workforce. eOn will continue to
provide manufacturing support for its Linux-based communications server
products at its Atlanta metropolitan location in Kennesaw, Georgia.
"This new arrangement will give us more flexibility and lower our
manufacturing costs for the Millennium line," said David S. Lee, Chairman, eOn
Communications Corporation. "We will be working with Cortelco to establish
detailed performance standards. These carefully monitored standards,
Cortelco's extensive and successful record as a distributor of
telecommunications products, and the continuing involvement of skilled and
experienced people will assure the quality of the products shipped to our
Millennium customers."
Caribbean/Latin American Business
The Company also announced plans to expand sales and marketing support for
eOn products in the Caribbean and Central and South America through a
reorganization of its Puerto Rican business. The San Juan-based subsidiary
will now operate as three business units reporting to Divisional Chairman
Sergio R. Moren:
* The eOn Division will focus exclusively on the sales, installation and
support of eOn products in Puerto Rico and the Latin American export
market. Jose Alvarez has been appointed general manager, and Carmelina
Soya is director of sales and marketing.
* The Systems Division will sell and service third party communications
systems. Edwin J. Colberg has been appointed general manager.
* A separate Cellular, Wireless and Internet Division will offer cellular
phones, cellular airtime, and Internet connections to customers in
Puerto Rico. The company expects to name a general manager for this
division within the next few weeks.
"This separation of accountability should be positive for all of our
Puerto Rican operations, and particularly for the eOn Division," said Mr. Lee.
Atlanta Executive Headquarters
Finally, eOn announced that it will establish its national executive
headquarters in the Atlanta metropolitan area at its Kennesaw offices. Both
Memphis, Tennessee and Englewood, Colorado will continue as major centers for
eOn, but the majority of the company's senior management team will over time
be centered in Atlanta.
"The development of the communications industry in Atlanta has created a
concentration of talent and business opportunities that can potentially
benefit our growing company in many ways," said Mr. Lee. "We believe all of
the changes announced today will help us achieve our long-term business
objectives."
About eOn Communications Corporation:
eOn Communications Corporation (www.eoncc.com ) designs, develops and
markets next-generation Linux-based communications servers and software that
integrate and manage voice, e-mail and Internet communications for customer
contact centers and general business applications. The Company also offers
the Millennium digital switching platform for small and medium-sized
installations. eOn Communications Corporation helps enterprises communicate
more effectively with customers, convert inquiries into sales, and increase
customer satisfaction and loyalty.
SOURCE eOn Communications Corporation
-0- 06/28/2000
/CONTACT: Frank Huffman of eOn Communications Corporation, 901-365-7774,
or fhuffman@eoncc.com , or Carol Marino of Tech Image, 847-632-0040, ext. 223,
or carol.marino@techimage.com , for eOn Communications Corporation/
/Web site: eoncc.com / |
