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Gold/Mining/Energy : Certicom Corporation (TSE:CIC, NASD:CERT) -- Ignore unavailable to you. Want to Upgrade?

To: caly who wrote (4659)	9/26/2001 8:12:28 AM
From: rueman649	Read Replies (2) \| Respond to of 4913

HI CALYPSO Does this news release help CERT. in anyway? Thanking you in advance for response. biz.yahoo.com Dan

To: caly who wrote (4659)	9/26/2001 4:33:29 PM
From: Tom Drolet	Read Replies (1) \| Respond to of 4913

Calypso: Ugh press on Bloomberg today. Best wishes Tom D. (Bloomberg) -- Certicom Corp., which has fired half its employees since June, is paying $53,569 a month to lease an empty California office building that was the company's headquarters until last month. The 43,000-square-foot structure, 26 miles southeast of San Francisco, hasn't been occupied since the maker of security software relocated in August to an adjacent site that it occupies with 2 other companies. The lease on the unused building expires in July 2007. Certicom can hardly afford the extra expense. The Hayward,California, company had a loss of $32.6 million in its latest quarter as revenue dropped 50 percent. Certicom forecasts that its cash and cash equivalents will drop to about $20 million at the end of October from $35.1 million in July. ``Clearly they're committed to these properties,'' said Josef Vejvoda, a TD analyst , who rates Certicom shares ``hold.'' ``That's something investors are looking at carefully.'' Certicom established California as its base last year, saying the Toronto area was far from most of its Silicon Valley-area customers.Since that time, the company's market value has fallen to C$80 million($50.9 million) from about C$1.5 billion. Silicon Valley Glut Certicom may have trouble finding tenants. Vacancy rates in SiliconValley are at their highest in two years, according to a July report by CPS Commercial Property Services Inc. Technology companies are paring expenses or going out of business, creating a glut of space. ``You've got a lot of companies who purchased space earlier this year that are just trying to unload it right now,'' said Robert Serna, a market researcher at Santa Clara, California-based CPS. ``It's definitely taking a lot longer to (sublease) office space.'' Certicom, whose software lets people purchase items, trade stocks and make transactions privately over wireless devices, signed the lease for the Hayward building in October 1998, according to a copy of the lease filed in July with the U.S. Securities and ExchangeCommission. Rent under the seven-year agreement is scheduled to increase to $57,000 monthly in March.The California location is just part of the excess real estate Certicom is paying for but isn't using. The company, which spends a total of $3.1 million a year for office space in Canada and the U.S., is seeking tenants for 40,000 square feet of space in Mississauga, Ontario, where it has a 10-year lease for 130,000 square feet. It also wants to sublease another 30,000 square feet that it plans to vacate at a nearby site. ``We may not be able to find suitable sub-tenants to occupy this space in a timely manner in the future, if at all, or otherwise sublease these properties profitably,'' Certicom said in a July filing with the SEC. Company spokeswoman Lorraine Kaufman declined to elaborate. She said the company will address the matter in a future conference call. ``We want to sublease any extra office space we have -- we're not just going to sit on empty space,'' Kaufman said. Certicom's Hayward landlord, The Multi-Employer Trust of Washington, D.C., declined to comment.