Press Release
EMR Microwave Technology Corporation
(ASE: EMW)
Shares issued and outstanding: 34,905,989
CUSIP #: 268922101
EMR ANNOUNCES SECOND QUARTER RESULTS
FREDERICTON, NB and TORONTO, ON -- August 31, 1999 -- EMR Microwave
Technology Corporation today announced the company's results for the
six-month period ended June 30, 1999. EMR recorded a loss of ($896,924),
or ($0.026) per share, in the first six months of 1999 on revenues of
$151,074 derived from the provision of specialized analytical services to
the mining industry. This compares to a loss of ($1,424,560), or ($0.041)
per share, on revenues of $39,202 during the same period in the previous
year.
EMR's CEO, Jim Tranquilla, attributed the continued losses to the company's
accounting policy of expensing R&D costs, and delays in achieving
commercial contracts for the application of EMR technology in processing
refractory gold ore. However, he pointed out that the success of recent
pilot plant tests, which simulated actual operating conditions, and the
recently signed agreement with Bateman Project Holdings should
significantly accelerate progress toward a positive cash flow. In the
meantime, Tranquilla stated that stringent cost controls and cash
management would continue. In the first six months of 1999, cost-cutting
measures resulted in a reduction of $376,562 across all expense categories.
To correct a working capital deficiency which reached $392,000 by June
30,1999, on August 20, 1999, the Board of Directors authorized a private
placement of 6,000,000 units at $0.26 per unit. Each unit consists of a
common share and a warrant to purchase an additional share at $0.35 for up
to two years from the date of closing. The placement is expected to raise
$1,560,000 for the company. The proceeds of this recent financing and any
additional infusions of capital will be directed toward ongoing programs to
demonstrate the ability of EMR's microwave technology to process copper and
other base metal ore at significantly reduced cost and environmental impact
in comparison to existing techniques.
EMR Microwave Technology Corporation is a process technology company
dedicated to providing applications for the resource industries using
proprietary microwave systems. The company's head office, analytical labs,
and pilot plant are located in Fredericton, New Brunswick.
Continued ....
SELECTED FINANCIAL HIGHLIGHTS
Six months ended
December 31
(Unaudited)
1999 1998
Operations
Sales $ 190,276 $ 39,202
Net earnings (loss) -896,924 -1,424,560
Financial Condition
Cash at end of period $ -726 $ 261,521
Capital assets 1,210,005 1,421,553
Total assets 1,369,493 1,959,181
Long term debt 1,655,150 667,310
Shareholders' equity -802,734
982,335
Per Share Data
Net earnings (loss) $ -0.03 $ -0.04
-- 30 --
For further information, please contact
Carl D. Ash, CFO Robin Sundstrom
EMR Microwave Technology Ciris International
1-888-561-3671 416- 368-8770
carlash@emrmicrowave.com ciris@inforamp.net
The Alberta Stock Exchange has neither approved nor disapproved the
contents of this press release. |
