Cynalynx
In a demonstration, Pegasus chief executive Jay Knabb showed off its new Pegasus Cynalynx, a wireless device that can stream video from a PC to a television, using industry standard 802.11b radios. The device was formerly called the WiJet.e, the brand that the company has advertised it by since the 2005 Consumer Electronics Show, when it was first demonstrated.
pcmag.com
pcmag.com
SWOMI
SWOMI is a mobile Internet technology that operates in the unlicensed ISM (2.4GHz) band. However, the company expects also to deploy it to provide fixed wireless Internet access, apparently mainly to residences.
[...]
The technology was co-developed by BIFS subsidiary beachaccess.net Inc., a Myrtle Beach, South Carolina ISP, and Revcon Technologies Corp., a Tenessee-based company that beachaccess acquired earlier this year.
The Revcon work on SWOMI started as a project to create a system for police vehicles. Beachaccess president Jay Knabb is credited with developing the SWOMI "concept."
isp-planet.com
Message 15593241
PEGASUS STIRS CRITICSM - PGWC, Jasper (Jay) Knabb
THE NASSAU GUARDIAN
January 25, 2007
By KEESHA BETHELL & VERNON CLEMENT JONES, Guardian Business Reporter
keesha@nasguard.com & vernon@nasguard.com
thenassauguardian.com
A project slated to employ as many as 280 people in struggling Grand Bahama, is attracting criticism from Americans charging the wireless company's precipitous drop on the US stock exchange suggests it may fail.
Pegasus Wireless Corporation, according to Bloomberg reports, was sitting at 75 cents per share at the close of trading yesterday.
That's quite a fall from its 52 week high on May 5, 2006, when it traded at just over $18 a share - a decline of more than $17 in nine months.
The company has in fact decided to quit operating in the United States and move lock, stock and barrel to The Bahamas, specifically, Freeport, a community struggling with an economic slowdown. A beaming Prime Minister Perry Christie made the announcement late last year to Bahamians as a potential manufacturing boon for Grand Bahama.
Yesterday, however, The Nassau Guardian received a series of calls from Americans representing themselves as investors in the company and concerned about its plans for the island and the likelihood of their fruition. "I just want you all to know about what's gone on with this company," said one, who refused to give his name. "This is serious business."
Part of that serious business included a class action suit against the company - filed last fall - alleging that Pegasus failed to disclose a series of related party transactions and the manner in which principals purchased more than $26 million in Pegasus stock. A law firm initiating the suit alleged Pegasus withheld pertinent information involving Knabb's history with penny stock companies with suspicious trading patterns.
The parties bringing the suit failed to meet the January deadline, nullifying the case, said Knabb.
Knabb said he is furious with what he calls a renewed attempt to blacken the company's name and drive it into bankruptcy.
It's the latest wave in a persistent case of what Wall Street calls naked shorting, a predatory and illegal practice by investment players who target a high performing stock attempting to drive down its value in order to take profit.
Knabb alleges that fraudsters are behind the rapid drop in his stock's value. He argues that in May 2005, they sold 9 million shares of Pegasus stock at $18 a share - stock they never in fact owned. In doing so, they created an artificial panic, he said, effectively driving the stock down to its lowest price of 61 cents a share.
At that point, he said, they would still have had to pay capital gains tax. But rather than do that, as part of their scheme, they sought to hurt the company's reputation in an effort to drive it into insolvency. Thereby avoiding paying capital gains tax.
"If they never have to buy back the stock," said Knabb, "they never have to file the gain as a capital gain.
"It becomes a free transaction netting them over $150 million," he said.
The scheme was well-documented in business magazines Forbes and Barron's.
Not everyone is satisfied, however with that version of history.
One Bahamian analyst argues that there may be more to the story given just how far Pegasus' share value has fallen. Also of concern, he said, is the fact that in the span of a year Knabb moved the public company from Over The Counter trading to the NASDAQ, then back down to Over The Counter.
"We left the NASDAQ because it wasn't doing anything about the naked shorting," said Knabb.
Before he quit that exchange on October 27 - and before a stock split - it had fallen to $3.50.
He later split the stock five ways which then gave the highest registered price of about $18 a share.
"Our stock was absolutely manipulated," said Knabb. "The company has never been healthier.
"There is a high disconnect between the stock value and the actual company performance."
According to third quarter reports filed with the American Securities commission last year, Pegasus' revenues for the nine months ending September 30, 2006, were $75.5 million. The number represented an increase of 4,225% over the $1,788,000 of the same period of 2005.
The exceptionally strong performance is based on the company's cutting edge technology not the least of which is video streaming allowing the wireless downloading of content from computer to television.
"Cynalynx" in fact won PC Magazine's technical excellence award in December.
Knabb said he has already addressed concerns offered by Bahamian officials about the company's "naked shorting".
He is very excited about being in Freeport, preparing to take possession of a next month of 20,000 square foot factory off the Queen's Highway directly across from the Yamaha boat dealership.
The CEO hopes to employ some 280 locals in the manufacturing and shipping of his wireless product to Asia and the United States.
Calls to the Prime Minister's office and the Ministry of Financial Services and Investments were not returned yesterday.
thenassauguardian.com
GRAND BAHAMA PLANT TO OPEN ON TIME
By KEESHA BETHELL, Guardian Business Reporter
keesha@nasguard.com
thenassauguardian.com
A wireless manufacturing company set to employ 280 workers in Grand Bahama remains on track for a February opening in that struggling community.
Last year Pegasus Wireless Corporation, a company originally based in California, decided it would pack up and relocate to The Bahamas, according to CEO Jasper Knabb.
"We realized the need to expand our manufacturing operations, and put a great deal of time and consideration into the location of our next venture," said Knabb, in Nassau to lead a seminar for Tourism Week. "Grand Bahama posed a wonderful geographic vantage point for us as it expands our capabilities into the Western Hemisphere.
"We are looking forward to working closely with the Bahamian government to ensure that this is a beneficial endeavor for all parties involved," he said.
According to Knabb, the company is already in possession of its Freeport building and equipment needed to get the plant up and running.
While Pegasus will take possession on the first, it will take an additional week or two to get the plant set up, he said.
The company will take on new management - an all-Bahamian team.
At present, the company has employed some 25 locals with the intent of hiring 280 high school graduates.
"I didn't choose The Bahamas," he said. "You chose me."
Knabb recalls that he was on his way to Mexico when he met PM Perry Christie and Minister of Tourism Obie Wilchcombe. "You (The Bahamas) are really lucky you have those two men," he said. "They showed me The Bahamas was the right choice and now I have no doubts in the country."
The businessman revealed that the company is currently working along with the Bahamian government to recruit its staff.
"I want to take high school kids and give them a future," he said. "I want them to learn, grow and make incredible money."
Students in training will receive $5-$7 per hour. When training is completed, they will earn $10-15 per hour, with those who take part in electronic engineering winning salaries of $15-$20 per hour.
Knabb stressed that recruiting efforts won't be limited to Grand Bahama, but to students throughout The Bahamas.
"This is not only an opportunity for Freeport," he said. "It is an opportunHe said that his company is a great opportunity for The Bahamas.
The company will produce technology allowing its users a wide range of wireless options. including the ability to make wireless presentations and better access the Internet.
"Technology drives society - believe it or not," Knabb said, adding that Freeport's untapped manufacturing potential will continue to draw corporate interest.
"The island will attract other technology companies," he said.
thenassauguardian.com
PEGASUS ON TARGET
THE FREEPORT NEWS
Thursday, January 25, 2007
By LEDEDRA MARCHE, Senior FN Reporter, lededra@nasguard.com
freeport.nassauguardian.net
Pegasus Wireless Corpora-tion Chief Executive Officer Jasper Knabb yesterday assured that the multi-million dollar plant in Grand Bahama is on target for February 1.
After successfully keeping the location of the future home of the manufacturing plant under wraps since last November, the Pegasus owner afforded The Freeport News team a guided tour Wednesday of the 20,000-square foot facility.
The building, situated off Settler's Way, is being converted into an electronic-friendly plant and will house a manufacturing site and warehouse with loading docks.
With quite a few buildings to choose from, Knabb says they fell in love with the warehouse because it was secure.
"We're very excited. The building is perfect. We have loading docks and everything's suited so that the containers can come in with the unloading process, build, assemble, test and then reload," he said.
Back in November 2006, Knabb and Prime Minister Perry Christie announced plans for the multi-million dollar manufacturing facility where he revealed he would be in by February.
The Pegasus CEO is pleased to be able to meet the targeted date, adding that had they gone with the initial plan to construct a plant from scratch, it could not have been pulled off.
Pegasus Wireless is a revolutionary new wireless product used to make wireless presentations, play DVD movies wirelessly, offering simultaneous wireless and wired connections.
With manufacturing facilities in Taiwan and China, a plant in Grand Bahama will allow Pegasus to expand its product line.
Initial projections for investment is $22 million, but Knabb admitted that that figure could increase.
By managing to keep the site a secret, Knabb said it allowed them to maintain privacy and make ready for a massive unveiling.
Minor modifications are also being carried out to equip the facility with corporate offices, a boardroom, larger restrooms and a new employee break room.
Two weeks has been allotted to put the plant together.
"It will take a little bit of work to get it done, but we're getting there," Knabb said.
The Pegasus CEO added that they are taking advantage of local suppliers, including materials, forklifts and Caterpillar equipment.
Once the company is up and running, it will begin with light manufacturing as the first 500,000 units to assemble are being brought over in components.
Knabb intends to employ an all-Bahamian workforce and is looking for people with a background in programming, engineering, electronics, computer hardware and software, electronic engineering and webpage design.
"I'm going to take a number of people who don't know what they're doing and I'm going to teach them. We may stumble, we may not be at the pace I want it to be at, but at the end it will all be Bahamian.
"And when you look back 12 months from now you'll go wow, he did it. He did exactly what he said he was going to do and he didn't bring a bunch of foreign people to run this plant and it's all Bahamian labour."
The company is seeking to employ an estimated 280 workers.
A "very excited" Knabb said there has been no hiccups in the project which is going very smoothly.
"What we're building is not fake, it's real. It's my money," he said. "I'm passionate about it. I love it. It's what I want to share, his contribution to society."
The inventor of wireless has been in the business since 1985 and joined OTC Wireless as managing director in 2001 in Freemont, California.
The company will now be headquartered in Grand Bahama.
Prime Minister Christie noted that investors like Knabb continue to demonstrate extreme confidence in the potential of Grand Bahama island.
Come February 1, the building will have the Pegasus sign and be safeguarded with 24-hour security as a guard house will be erected on site.
"Pegasus will show up on the door February 1. The phones are going to be turned on and the power will get switched over and all of a sudden Pegasus people with Pegasus shirts and construction people will start working," he said.
Knabb is currently leasing the building and plans to construct a home site in the very near future.
NEW PLANT — Chief Executive Officer Jasper Knabb inside the future home of Pegasus Wireless Corporation, a multi-million dollar manufacturing facility to be situated here in Grand Bahama. The building, situated off Settler's Way, current is being converted into an electronic-friendly plant. (Photo by JENNEVA RUSSELL)
freeport.nassauguardian.net |
