Nice Post Douglas Freeman :-) thanks
This announcement just hit on the Dow Jones News Wires
Elcom International Internet Sales Site Goes Live
www.elcom.com Internet Sales Site Operational
NORWOOD, Mass., March 2 /PRNewswire/ -- Elcom International, Inc., (the "Company"), (Nasdaq: ELCO), today announced that elcom.com's Internet sales site became "live" today at 9:00 a.m. (EST). elcom.com's Internet site (www.elcom.com) has launched its Internet
site which is initially targeted primarily towards businesses, although consumers can purchase from the site as well. In addition to operating this new Internet sales site, elcom.com is the Company's wholly-owned technology development and licensing subsidiary.
elcom.com offers more than 50,000 PC products to businesses and consumers through its proprietary automated product sourcing system. As previously announced, elcom.com's Internet sales site will be expanded later in March to include product auctioning
capabilities and during the second quarter of this year, will offer office supplies and subsequently, other products.
elcom.com leverages the Company's expertise in PC sales and customer service and support to offer customers the ability to purchase products over the Internet 24 hours a day, seven days a week. Customers can receive toll- free customer support and other
support services based on the five years of PC remarketing experience from elcom.com's parent company. In addition, the Company intends to create a second Internet sales website in the U.K. later in 1999, leveraging off the existing infrastructure of the Company's U.K. subsidiary.
Robert J. Crowell, Elcom International's Chairman and CEO, stated, "elcom.com is designed to become a "one-stop-shop" Internet site for small (home) to large businesses to buy commodity PC and office-oriented products on the Internet. We have harnessed the
power of our proprietary sourcing technology to take advantage of multiple suppliers to service this expanding marketplace."
elcom.com's proprietary automated sourcing technology will provide customers with automated access to a multi-billion dollar on-line inventory through its electronic connections with Ingram Micro, Inc. and Tech Data Corporation, the world's two largest PC product distributors with combined revenues of $33 billion, allowing elcom.com to offer one of the broadest selections of PC products in the industry with same-day shipping for non- configured systems. elcom.com expects to expand its product categories and offerings throughout 1999. In addition, elcom.com will continue to license its automated
procurement system technologies (Procurement Manager(TM)) to other companies directly.
elcom.com generated approximately $4 million in licensing and professional services revenues during 1998.
Jim Rousou, a Director of the Company with policy and strategy responsibility for U.K. operations, said that the Company will offer a similar site in the U.K. in the second half of 1999 and will offer most, if not all, of the same types of products and services.
"E-commerce in the U.K. and the use of the Internet for buying products lags behind the U.S. by quite a bit. The U.K. marketplace therefore presents elcom.com in the U.K. with an opportunity to be an early leader in Internet commerce as we have an existing
infrastructure to support us as the use of the Internet in the U.K. expands."
Concurrent with the launch of elcom.com's Internet sales site, Elcom International will begin to offer customers of its existing U.S.-based PC remarketer subsidiary with the opportunity to begin purchasing via elcom.com. The Company intends to continue to service its traditional customers which require a full range of services and customer
support from Elcom Services Group, the Company's PC remarketing and professional services subsidiaries in the U.S. and the U.K., which together generated over $700 million in revenues in 1998.
About Elcom International, Inc.
Elcom International, Inc., through its wholly-owned subsidiaries, develops, licenses, and uses client/server and Internet transaction-based software systems which enable the conduct of PC-based interactive electronic commerce over the Internet and telephone networks. Elcom Services Group, Inc., the Company's PC remarketing and professional services subsidiary, uses the Company's electronic commerce technology to support the marketing of PC products and now operates seven field sales and support offices in the
United States and seven in the United Kingdom. elcom.com, inc., (www.elcom.com), was formed in December 1998 and recently merged with Elcom Systems, Inc., the Company's technology and electronic commerce subsidiary. elcom.com is now operating as an Internet on-line remarketer of PC-oriented and other products using the Company's electronic commerce and automated procurement and sourcing technology. In this market sector, elcom.com will compete against companies such as Cyberian Outpost, Inc., Creative Computers, Inc. and Insight Enterprises, Inc. Additionally, elcom.com licenses its PECOS
technologies to Elcom Services Group's customers and to other companies and competes against companies including Concur Technologies, Inc. elcom.com also intends to compete through its Internet auction site with companies such as eBay Inc., uBid Inc. and
Multiple Zones International, Inc.
Statement Under the Private Securities Litigation Reform Act
Except for the historical information contained herein, the matters discussed in this release include forward-looking information. All statements other than statements of historical fact, including, without limitation, those with respect to the Company's
objectives, plans and strategies set forth herein and those preceded by or that include the words "believes," "intends," "expects," "will," "plans," "anticipates," or similar expressions, are forward-looking statements. Although the Company believes that such forward- looking statements are reasonable, it can give no assurance that the Company's
expectations are correct. These forward-looking statements involve a number of risks and uncertainties which could cause the Company's future results of operations to differ materially from those anticipated. Such risks and uncertainties include: availability
and terms of appropriate working capital and/or other financing, customers' acceptance and usage of the Company's electronic commerce software systems, the ability of the Company to transition existing customers to an Internet-only ordering model, the impact
of competitive technology products, decreases in PC product pricing, control of expenses, levels of gross profits, revenue growth, changes in manufacturer's product price protection, product return and other policies, availability of manufacturer funding (including rebates on product purchases), availability of PC products including via
on-line sourcing relationships, demand for PC products by customers by Internet purchasing or via an auction capability, the receptiveness of the capital markets for financing (including initial public offerings), the success and timing of fully implementing the Company's Oracle- based management information system and problems
associated therewith, risks associated with acquisitions of companies, and the other risks detailed in the Company's 1997 Annual Report on Form 10-K (including the "Liquidity and Capital Resources" section) and from time to time in the Company's other reports filed with the SEC, including the Company's prospectus included as part of the S-1
Registration Statement declared effective on December 19, 1995 under the Securities Act of 1933.
/NOTE TO EDITORS: To receive Elcom International's latest news release and other corporate documents via fax, at no cost, call 1-800-PRO-INFO. Use the Company's ticker, ELCO; or, visit The Financial Relations Board's web site at www.frbinc.com/
/CONTACT: Tom Barth, VP, Corporate Development of Elcom International, 781-501-4094; or General Info., Michael Lawson, Analyst Info., Elisa Mailman,
or Media Info., Claudine Cornelis, of The Financial Relations Board,
212-661-8030/
09:17 EST
regards
Giota |
