ValCom, Inc. Announces Plans to Implement Reverse Stock Split
LOS ANGELES, Aug. 21 /PRNewswire/ -- ValCom, Inc. (OTC Bulletin Board: VCMI; Frankfurt-Xetra: VAM) today
announced that its Board of Directors have approved an amendment of the Company's Certificate of Incorporation that would
authorize a reverse stock split of all issued and outstanding shares of the Company's common stock.
``The purpose of the reverse stock split is to increase the market price per share of our common stock above the minimum
level required to make application to have the Company's securities listed on a major exchange, which we believe to be in the
best interest of our stockholders,'' said Vince Vellardita, Chairman and Chief Executive Officer.
A special meeting of holders of a majority of the Company's outstanding common stock approved the Board of Directors
amendment on August 15, 2001 by written consent. Stockholders approved a reverse stock split in a ratio of; 1 new share for
each 10 shares currently outstanding. The Company's Board of Directors, together with the Company's Chief Executive
Officer, selected the final ratio for the reverse stock split that they believe to be in the best interest of the stockholders and the
Company. A majority of the shareholders approved and implemented, the reverse stock split, which will reduce the number of
common shares outstanding. The Board of Directors currently expects to set a record date of August 28, 2001 to establish
the stockholders entitled to receive information pertaining to the vote on this matter. It is anticipated that the reverse stock split
will be effected during the later part of September 2001.
ValCom is a full service entertainment company that operates production facilities with ten stages, and boasts long-term
contracts with Paramount Pictures for their hit CBS's series ``JAG'' and Saban Entertainment for the Fox Family popular
show ``Power Rangers.'' Its production personal and equipment rental business, Half-day Video, is a leading competitor in
the Hollywood production community. ValCom also directly produces television and film projects for broadcasters such as
``Ultimate Revenge'' for TNN, ``Truster'' for 20th Century Fox and ``Let's Do It Again'' for PBS.
FORWARD-LOOKING STATEMENTS -- All statements contained in this document as to future expectations and
financial results including, but not limited to, statements containing the words ``believes,'' ``anticipates,'' ``expects,'' ``projects,''
``should,'' ``will'' and similar expressions, should be considered forward-looking statements subject to the safe harbor created
by the Private Securities Litigation Reform Act of 1995. The Company cautions readers of this press release that a number of
factors could cause the Company's actual results in fiscal 2001 and beyond to differ materially from those expressed in such
forward-looking statements. These factors include, but are not limited to, general economic conditions, including the
possibility of a slowdown in consumer demand arising from rising energy prices, fluctuations in interest rates and other
economic factors; consumer preferences; weather patterns; competitive factors; pricing and promotional activities of
competitors; the impact of excess retail capacity and the availability of desirable store locations on suitable terms; the
availability, selection and purchasing of attractive merchandise on favorable terms; credit availability, including adequate levels
of credit support provided to certain of the Company's vendors by factors and insurance companies; import risks, including
potential disruptions and duties, tariffs and quotas on imported merchandise; regulatory matters, including legislation
affecting wage rates; and other factors described in the Company's filings with the Securities and Exchange Commission
from time to time. In addition to these factors, certain risks and uncertainties exist concerning the proposed reverse stock
split, including, but not limited to, whether the market price per share of the Company's stock after the reverse stock split will
rise in proportion to the reduction in the number of shares outstanding prior to the reverse stock split; whether the Company's
stockholders will approve a reverse stock split; whether a reverse stock split will be sufficient to list the company securities on
a major exchange; whether a reverse stock split will increase the marketability of the Company's common stock; whether a
reverse stock split will materially change the Company's financial condition, number of stockholders, or any other aspect of
the Company's business; and whether a reverse stock split will effectively ensure the listing of the Company's stock on a
major exchange. The Company does not undertake to publicly update or revise its forward-looking statements even if
experience or future changes make it clear that any projected results expressed or implied therein will not be realized. |
