Electric City and Global Broadband Form Strategic Alliance to Provide Enhanced Energy Systems together with Telecommunications Services to Commercial Real Estate Entities
ELK GROVE VILLAGE, Ill. & NEW YORK, May 7, 2001 (BUSINESS WIRE) -- Electric City Corporation (AMEX: ELC chart, msgs), a leading developer, manufacturer and integrator of energy savings and management technologies, and Global Broadband, Inc., a facilities-based, Metropolitan Integrated Optical Network Carrier ("MIONC"), announced an agreement to jointly market enhanced energy and automation systems together with telecommunications services to commercial real estate owners and managers and corporate enterprises. The agreement to target building owners is a "first-of-its-kind" combination of energy systems and telecommunications services. The Companies anticipate a very warm reception of the new services that will deliver significant energy savings to customers while simultaneously providing HyperSpeed Internet and voice services.
"This strategic alliance allows Electric City to easily extend the benefits of energy information and management inherent in our EnergySaver(TM)/TP3 offering through Global Broadband's HyperSpeed data and voice network into a new, vertical, wired marketplace," stated Brian Kawamura, President/COO of Electric City Corp. "This alliance represents the next natural extension of our integration of energy technology for the telecommunications industry. The opportunity is virtually endless," said Kawamura.
Global Broadband's President, Michael A. Sternberg said, "The union of our two companies creates one of the most exceptional marketing opportunities I've seen in some time. Global will be the first telecommunications provider to bring significant additional value to building owners, managers and other corporate entities vis-a-vis Electric City's energy savings tools, while delivering a suite of incredible data and voice products directly to tenants. It's absolutely a win-win2 situation."
"We are excited with the idea of coupling state-of-the-art energy management technologies with HyperSpeed Internet capabilities to bring a unique offering to building owners, managers and corporate entities," said William A. Karambelas, Electric City's new Senior Vice President heading up the company's telecommunications business unit. Karambelas said, "We expect this alliance to contribute about $3million of additional revenue in its first full year of operation."
"Electric City and Global will embark on a bold new concept by jointly positioning, packaging and promoting our products. We will together pair our real estate sales and professional services initiatives to provide a unified force in the market. We're very pleased to be part of this effort," said J. Hale Morgan, Vice President of Strategic Planning for Global Broadband.
Additional Information About Electric City
Electric City is a leading developer, manufacturer and integrator of energy savings technologies and custom electric switchgear. The Company currently markets the EnergySaver(TM), the GlobalCommander, TP3 and custom switchgear. Electric City is based in Elk Grove Village, Illinois and is traded on The American Stock Exchange under the symbol ELC. Additional information is available at the Company's website at www.electriccityeccc.com or can be obtained by contacting Glen Akselrod at The Stockpage at 800-797-5683 or glen@thestockpage.com and Tony Schor at Investor Awareness, Inc. at 847-945-2222 or www.investorawareness.com.
Additional Information About Global Broadband
Global is the first MIONC to utilize an Integrated Optical Networking Platform ("IONP") and advanced soft-switch technology. Global Broadband launched service using a GeniusBuild(TM) Network configuration that utilizes both Cisco Systems(R) and Quantum Bridge(R) optical transmission equipment. Global services include Ethernet access to the Internet, and T1 to VT trunks for long distance and local telephone service. Global is providing HyperSpeed(TM) data service at speeds up to 1 Gbps in metro New York City. For additional information on Global Broadband, call Michelle Craft, Vice President Public Relations, 212-695-8523 extension 25, or visit the web site at www.globalbroadbandinc.com.
This news release includes forward-looking statements that reflect Electric City's current expectations about its future results, performance, prospects and opportunities. Electric City has tried to identify these forward-looking statements by using words and phrases such as "may," "will," "expects," "anticipates," "believes," "intends," "estimates", "should", "typical", "we are confident" or similar expressions. These forward-looking statements are based on information currently available to Electric City and are subject to a number of risks, uncertainties and other factors that could cause Electric City's actual results, performance, prospects or opportunities in the remainder of 2001 and beyond to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and other factors include, without limitation, the Company's sales expectations due to its alliance with Global Broadband, the Company's limited operating history, the Company's history of operating losses, consumers' acceptance of the Company's new and existing products, the Company's use of licensed technologies, risk of increased competition, the Company's ability to successfully integrate acquired business products and technologies to satisfy consumer demands and requirements, the possible volatility of the Company's stock price, the concentration of ownership and the potential fluctuation in the Company's operating results. For further information about these and other risks, uncertainties and factors, please review the disclosure included under the captions "Description of Business" and "Management's Discussion and Analysis of Financial Condition or Plan of Operations" in Electric City's Quarterly Reports on Form 10-QSB and Annual Report on Form 10-KSB filed with the Securities and Exchange Commission in 2000. Except as required by the federal securities laws, Electric City undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changed circumstances or any other reason after the date of this news release.
Contact:
Electric City Corporation
William A. Karambelas
Senior Vice President
(949) 305-4595
or
Global Broadband Inc.
Michelle Craft
Chief Marketing Officer
(212) 695-8523 ext. 25
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