Re: 6/14/01 - [IFTP] Infotopia Poised to File Lawsuit Against 'Bashers'
Infotopia Responds to Volume/Price Issues
Infotopia Poised to File Lawsuit Against 'Bashers'
BOSTON, Jun 14, 2001 (BUSINESS WIRE) -- Infotopia, Inc. (OTC BB: IFTP chart, msgs - chart, msgs news chart, msgs; "Infotopia" chart, msgs or chart, msgs the chart, msgs "Company" chart, msgs), today announced that it will file the lawsuit within next week against the internet "bashers" who have been providing false information through Internet Message Boards. The Company feels that this misleading information has had a direct effect on the share price of Infotopia's common stock.
Daniel Hoyng, Chairman and CEO of Infotopia stated, " The amount of calls and emails coming into our corporate offices by concerned shareholders over recent volatility of Infotopia's common stock and questions about the Company's stability has left the Company with little alternative but to defend its good name. We have received many calls concerning the share price and market valuation of Infotopia. Let me say this with absolute certainty, Infotopia is not now, nor has it ever been, in danger of failing. We, as a company, are more financially viable than we have ever been, our negotiations with EntrePort have been progressing nicely, and our products and infomercials are exceeding our expectations. A number of the issues that have been raised by these shareholders' emails and phone calls stem from the "basher" elements on the various Internet message boards. The fact is, as a company, we've never been better or stronger. Many shareholders fail to realize that this share pricing is a direct result of supply and demand, when shares are sold or shorted, which, we feel has historically been practiced, that effectively increases supply, if demand does not increase as well, price falls. The stock price falls, that's all, and it does not affect the profits and losses of the Company. Inherently, as a bulletin board company, we are at the mercy of the trading prices set by market makers. These market makers at times want a low stock price and at other times a high stock price, these "swings" help create volume and thus "profits" for these market makers. It's funny to me that as a profitable, fully reporting, public company, we have a market valuation that is less than the revenue derived from operations over a period of less than a month. That is a big factor in our decision to make the move to the AMEX market. We feel that we will be given a much more fair valuation, and have the opportunity to draw from the institutional support that will be made available to the Company."
Ernie Zavoral, President of Infotopia stated, "If you take the time to read over the past several press releases from the Company, you'll see that we continue to increase our revenues and profits, and we have three infomercials ranked in the top TEN in the entire country! That's an objective rarely accomplished in the Direct Response Industry. Our negotiations with EntrePort in securing a value more favorable to our shareholders are progressing well, and the flow of exciting new products and shows are exploding. It is imperative our shareholders, vendors, employees understand that Infotopia, is financially sound and poised to continue to grow and prosper well into the future."
ABOUT INFOTOPIA
The Company's mission is to produce, market, and distribute an expanding line of high-quality, innovative health, fitness and consumer products. Infotopia seeks out products that deliver superior value, outstanding quality, and competitive prices to best satisfy customer demand. The Company markets its products to consumers through a variety marketing channels, including infomercials, distributor alliances, and Internet e-commerce. The management at Infotopia is committed to increasing corporate revenues and profits. The company's website is located at infotopia.tv.
This news release includes "forward-looking statements" that include risk and uncertainties. The forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially due to a variety of factors, including without limitation the Company's ability to produce and market products and/or services and other risks detailed from time to time in their Company's reports filed with the Securities Exchange Commission.
Contact:
Infotopia, Inc.
Robert Tilton
609-888-4111
IFTPIR@infotopia.tv
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