This should stick it to Cramer from CNBC......
(BSNS WIRE) WavePhore Responds to Guest Comments Made in Conjuction With
WavePhore Responds to Guest Comments Made in Conjuction With CNBC Interview
Business Editors
PHOENIX--(BUSINESS WIRE)--Dec. 3, 1998--WavePhore Inc.
(NASDAQ:WAVO), the leading new media content integrator and architect
of internet and wireless digital delivery systems and services, is
responding today regarding certain events and the trading activity in
its stock on Dec. 2 & 3, 1998.
The company is issuing this announcement to address certain
statements made by a guest host prior to and during the Wednesday
morning interview with WavePhore's chief executive officer.
"The company has a clear responsibility to respond to the
statements directed at WavePhore in connection with an interview with
our Chairman, President and CEO, David Deeds," stated Chief Operating
Officer, R. Glenn Williamson. "We believe that the statements by the
guest host, James Cramer, by his own admission, did not reflect full
knowledge and understanding of our business."
Therefore, the company is issuing this press release to assist
its shareholders in understanding these events.
A significant increase in the price of WavePhore's stock
commenced on Wednesday, Nov. 25 and carried forward following two
company announcements released on Monday, Nov. 30 regarding new
enhancements and partnerships with respect to its WaveTop product
line. These announcements included an on-line mall and E-commerce
channel and a partnership with Wave Systems which provides pay-per-use
programming.
The price of WavePhore stock fell significantly following the
Wednesday morning broadcast of the interview which included statements
by the guest host: 1)characterizing certain internet companies as
"Fraud-U-Net" companies; 2)regarding his attempts to "short" WavePhore
stock prior to the interview; 3)that "Greenspan doesn't like WavePhore
going up."
The company has contacted the Securities and Exchange Commission
and the NASDAQ Stock market to investigate these events to determine
whether applicable laws and regulations have been violated and
WavePhore has been advised that such matters are currently being
reviewed by NASDAQ.
The company has received overwhelming expressions of support from
persons who viewed these remarks and considered them to be highly
improper and unprofessional.
The company continues to make encouraging developments in its
business operations. This was emphasized by its recent major
announcements of the launch of an online mall and new electronic
commerce channel.
"We are extremely pleased that since introducing the initial 10
merchants within the WaveTop Store, we have received inquiries from
more than 20+ additional premiere on-line/e-commerce vendors to
participate in our unique broadcast mall," stated Thom Kozik,
executive vice president and general manager, WaveTop.
In addition, the company has launched an extensive marketing
campaign, which includes a major retail effort in conjunction with
CompUSA, Office Max and Computer city nationwide.
WavePhore's WaveTop software is now available through more than
95 percent of all multimedia convergence and TV tuner cards shipped.
The free WaveTop broadcast service is currently available to more than
95 million U.S. households. All that is required to receive WaveTop is
a free copy of WaveTop software and a WaveTop-compatible multimedia
convergence or TV tuner card in a PC.
WaveTop is also available through its inclusion in Microsoft
Windows 98 and Internet Explorer 4.0. This has resulted in a
significant increase in WaveTop's consumer audience.
The company's continuing growth and market share is reflected in
the quality of its alliances with such companies as Microsoft, Intel
and Compaq.
The company has additional business relationships with Dow Jones,
Associated Press, Ziff-Davis, Thompson First Call Financial, Reuters,
Gateway, STB, ADS, Hauppauge, AIMS, PBS National Datacast and ATI;
with content providers including companies such as Bloomberg, Yahoo,
Time Inc. New Media, USA Today, CBS Sportsline, The Weather Channel,
Fortune, WSJ.com, ZD Net, and with over 200 Fortune 1000 companies
worldwide who subscribe to WavePhore's services.
At Oct. 30, 1998, WavePhore had in excess of $10 million in
available cash. The company expects to continue to grow its revenue
and improve its cash flow from operations into 1999. The company is
confident in its ability to fund its continuing operations and enhance
its future growth.
David Deeds has more than a quarter century of executive level
experience, in managing financial and operational aspects of
companies.
"Although I respect a person's right to express his opinion, I
have never been subjected to the type of attack made with respect to
WavePhore and me before and during my interview," stated David E.
Deeds, chairman, president and chief executive officer. "I have a
long-standing relationship with the financial community and insist on
maintaining the highest ethical standards for myself and WavePhore."
Deeds was co-founder, president & CEO of Conseco Inc., a
financial services holding company listed on the New York Stock
Exchange until his retirement from the company in 1988. Deeds was
instrumental in bringing Conseco to the forefront of its industry and
making it into a multi-billion dollar corporation.
He founded and personally funded WavePhore with $16 million of
his personal resources. He has a proven track record for assembling
and managing top quality individuals who provide the expertise to
develop successful companies from emerging enterprises.
Any inquires regarding this release may be directed to R. Glenn
Williamson, COO, and to Douglas J. Reich, general counsel.
About WavePhore
WavePhore Inc. (NASDAQ: WAVO) is the leading new media content
integrator and architect of digital delivery systems. It partners with
the foremost providers of news, business data, Web-based content and
multimedia programming to deliver selective intelligence and quality
content to an information-dependent society.
WavePhore (www.wavephore.com) enables people and enterprises to
more efficiently receive, manage and productively use all types of
urgent, insightful, or relevant information.
The company's technologies and services aggregate, filter,
customize and distribute digital content (text, graphics, music, and
video) using a wide range of reliable, low-cost broadcast (FM
sideband, TV-VBI), satellite and Web-based delivery systems.
It has technology sourcing and strategic alliances with
Microsoft, Intel, Compaq, Sony, Gateway, STB, ADS and PBS National
Datacast, in addition to information service agreements with some two
hundred Fortune 1,000 companies worldwide.
Additional information on WavePhore is available via the Internet
at wavephore.com. Information on its business units can be
found at: wavetop.net, wavephore.net and
newscast.com
Certain of the above statements regarding WavePhore constitute
forward-looking statements, which may involve risks and uncertainties.
Actual results could differ materially from such forward-looking
statements as a result of a variety of factors, including, but not
limited to, technology changes, competitive developments, industry and
market acceptance of new products and services, risk factors listed
from time to time in WavePhore's SEC filings.
--30--sig/ix*
CONTACT: WavePhore Inc., Phoenix
R. Glenn Williamson, 602/952-5500
gwilliams@wavephore.com
Douglas J. Reich, 602/952-5500
dreich@wavephore.com
KEYWORD: ARIZONA
INDUSTRY KEYWORD: COMED COMPUTERS/ELECTRONICS TELECOMMUNICATIONS
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