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Technology Stocks : ZuluGroup.com -- Ignore unavailable to you. Want to Upgrade?

To: wlcnyc who wrote (8)	9/11/1998 11:48:00 AM
From: CWIII	Read Replies (1) \| Respond to of 14

NEW PR/NEWS RELEASE biz.yahoo.com Friday September 11, 10:33 am Eastern Time Company Press Release Enhanced Services Announces Zulu-Media Audited Results LOS ANGELES--(BUSINESS WIRE)--Sept. 11, 1998--Enhanced Services Company, Inc. (Nasdaq Small Cap: ESVS - news), who reported yesterday that it had completed the acquisition of the assets of Zulu-tek, Inc., in a transaction valued at $30 million in convertible and redeemable preferred shares of ESVS, today also announced that it was releasing audited financials for Zulu-Media, Inc (formerly SoftBank Interactive Marketing, Inc., or ''SIM'') for the twelve months ended December 31, 1997 and would file the complete financial statements on Form 8-K with the Securities and Exchange Commission. SIM's accountants indicated that the audit had taken several months to complete due to the need to understand the historical transactions at the company since its inception in 1996. SIM incurred write downs and losses totaling over $27.0 million on gross revenues of $32.8 million and net revenues of $6.37 million for the year. The deficit resulted primarily from the decision to write off over $9.50 million in good will, ammortization, and to fully reflect the liabilities incurred by SIM during the period. Enhanced Services said that it believes that with the newly acquired assets from Zulu-tek, the Company can achieve monthly sales of $2.0 million by the end of 1998. ''The majority of the SIM restructuring and re-tooling took place in the first half of 1998. In the past, SIM had pursued non-productive business models. We believe that the Zulu-tek team has streamlined operations and developed a focus and strategy that can lead to a profitable operations strategy. Zulu-tek has tried to learn from SIM's mistakes, and has carefully reviewed the company's focus as compared to its peers and competitors, including Doubleclick, 24/7 and others. By integrating the Zulu-Media sales and marketing structure with the advanced technology obtained from Echo Media, we are now well positioned to provide the broad based Internet solutions we are assembling.'' The combination of Enhanced Services and Zulu-tek, and their anticipated acquisitions, represent the convergence under one umbrella of diverse services focused specifically on the Internet as a communications and transaction medium creating a new specialty in the technology arena. The combined enterprise believes it can attain a unique, forerunning position as it answers the full range of business demands that result from a skyrocketing commercial reliance on the Internet. Forward looking statements in this release concerning trends or anticipated operating results are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties related to the Company's operations. These risks and uncertainties include, but are not limited to, competitive factors (including the possibility of increased competition or technological development, competitors and price pressures); legal factors (such as limited protection of the Company's proprietary technology and changes in government regulation); and the Company's dependence on key personnel and significant customers. Contact: Enhanced Services & Zulu-tek Investor Relations, 310/397-3003 or Sitrick And Company Tom Ekman/Anita-Marie Hill, 310/788-2850 More Quotes and News: Enhanced Services Company, Inc (Nasdaq:ESVS - news) Related News Categories: computers, internet Help Copyright c 1998 Business Wire. All rights reserved. All the news releases provided by Business Wire are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving ina public database, redistributing via a computer network or in a printed form. See our Important Disclaimers and Legal Information. Questions or Comments?