Jimmy's Newsletter..............
Happy Holidays!
And welcome to another of Digitcom's investor information updates. In
this issue you'll find:
- A Message from the CEO - An update from Jimmy Chin
- Allan Morinoue comes on board - Acting CFO joins the team
- Welcome Back Cheryl - CPM Resources' Cheryl Mitchell takes on
Investor Relations responsibilities for DGIV
- A Note About "Insider Trades"
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== A Message from Jimmy Chin, CEO ==
The past Quarter has been a very busy time. We set the goal of
completing a firm contractual relationship in a significant
international long distance market by the end of the year, and I'm
pleased to be able to confirm that we've met that goal.
While there are critical "confidentiality" restrictions on what we, can
comment on publicly at this time regarding the agreement, some basics
can be passed along:
The Company has signed an agreement with a national Postal, Telephone &
Telegraph (PTT) company that will provide the Digitcom Network a
regional traffic distribution point for the Middle East and North
Africa. This is a company in the process of conforming to World Trade
Organization "deregulation" agreements, and is very sensitive to public
release of details of steps they are taking along the way.
We are now in the final phase of obtaining United States Export-Import
Bank underwriting for the purchase of Digitcom's IntraVoiceCO Internet
protocol gateway equipment. Once the Ex-Im Bank's processing is
completed, an initial $3.5 Million order will cover equipment,
technology licensing and training of local personnel. We're confident
that installation of our inaugural service gateway in the PTT Central
Office will follow immediately upon the Ex-Im Bank's approval of the
funding arrangement.
Completing this step on the way to launching international Voice-over-IP
long distance between the U.S. and the Middle East has certainly
brightened our Holiday! We hope that this news will add a bit of cheer
to your Celebrations.
- Jimmy Chin, CEO
________________________________________
== Allan Morinoue Brings Experience to the Team ==
Digitcom has benefited by the addition of Allan Morinoue, CPA, to the
Executive Team. Allan joins as "acting CFO" initially to oversee SEC
compliance, our corporate accounting, and to coordinate with the
Company's outside audit firm.
Allan is a seasoned financial manager that started his career twenty
years ago with Ernst & Young, then earned his wings taking on increased
responsibilities from controller to Chief Financial Officer of companies
in the energy, financial services, transportation, and, lately,
telecommunications industries. Along the way he has had responsibility
for financial planning and control, accounting systems development, tax
and SEC reporting, and securing corporate financing.
We've come to know him as a strong team player with a lot to contribute
to the Company's growth plans.
________________________________________
== Welcome Back Cheryl ==
Many of you know Cheryl Mitchell from her Investor Relations phone work
on Digitcom's behalf this past spring. Well, she's gone on her own and
Ms. Mitchell's company, CPM Resources, is now handling communications to
shareholders and brokers for Digitcom once again.
Ms. Mitchell has been a straightforward and ethical representative for
the Company in the past. She's a friendly and helpful adjunct to the
Company's IR Department, and we invite you to let her keep you abreast
of the Company's activities.
She can be reached at:
CPM Resources
2508 Brown Road
Ferndale, WA 98248
(360) 384 2730 voice
(360) 380 1097 fax
chemit1@juno.com
We're happy to be one of CPM Resources' charter clients.
________________________________________
== A Note About "Insider Trades" ==
Some of you may see notifications regarding "Planned Sales of Reg. 144
Stock" in the coming weeks. This refers to the necessary step holders
of "restricted" stock must take to trade shares that were issued with
the SEC's Regulation 144 constraints attached. These stocks cannot be
sold for a period of one or two years (depending on the relation of the
holder to the Company). After the waiting period is satisfied, the
holder may file a "Notification of Planned Sale" to have the restriction
released. He then has 90 days to sell whatever number of covered
shares--in whatever sized lots he deems appropriate--up to the number of
shares released, during that three month window.
A notification of "Planned Sale" does NOT mean that all shares will be
sold, nor does it mean that they will hit the market all at once.
We're letting you know about this now because the Company issued Reg.
144 stocks to a number of individuals in the Fall and Winter of last
year. The period of one year that they were required to hold the stock
is now coming to an end, and we expect that some of them will choose to
exercise their option to trade them in the coming weeks or months.
These individuals will have their own reasons for acting, like any
shareholder, and we wanted to caution Newsletter readers against
assuming that the appearance of these notifications has any general
significance.
*********************************
The Small Print:
This release of "Digitcom Investor News" includes "forward-looking
statements" within the meaning of Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities and Exchange Act of
1934, as amended. All statements other than statements of historical
fact included in this release, including without limitation, Digitcom's
business strategy, plans and objectives, are forward-looking
statements. Although Digitcom believes that the expectations reflected
in such forward-looking statements are reasonable; it can give no
assurance that such expectations will prove to be correct. Factors that
could cause actual results to differ materially from Digitcom's
expectations include, without limitation, Digitcom's ability to
negotiate final terms of the transactions described on favorable terms,
completion of financing on acceptable terms if at all, and general
economic and competitive factors. |
