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Microcap & Penny Stocks : HITSGALORE.COM (HITT) -- Ignore unavailable to you. Want to Upgrade?

To: Tom Swift who wrote (1656)	5/27/1999 9:53:00 PM
From: BORIS BADENUFF	Read Replies (2) \| Respond to of 7056

hey tommy, if you want a psychic go see dionne warwick or any one else from the psychic hotline. to borrow a common phrase from a member of your clan. what is it about this that you don't understand? BW1419 MAY 27,1999 14:35 PACIFIC 17:35 EASTERN ( BW)(FL-HITSGALORE.COM-3)(HITT) Hitsgalore.com Seeks to Clarify May 27 Bloomberg Article Business Editors RANCHO CUCAMONGA, Calif.--(BUSINESS WIRE)--May 27, 1999-- Hitsgalore.com, Inc., (OTC BB:HITT) today issued the following statement by Steve Bradford, CEO, on behalf of the Company: "This morning's story about Hitsgalore.com, Inc. carried on the Bloomberg website, while largely accurate, contained some important errors and omissions that should be clarified. "First and foremost, we feel the story should have reported that the information regarding Mr. Dorian Reed's past conviction on wire fraud charges was obtained from an entirely voluntary disclosure in our 10-K filing yesterday. Since this incident took place prior to the five-year time frame for mandatory disclosures, we had been advised that there was no requirement for us to make it known in our filing. However, we chose to make our current and prospective shareholders aware of this information. Mr. Reed considers this matter closed, as does every government agency, and so do we. "Second, in the characterization of the Federal Trade Commission (FTC) lawsuit against Mr. Reed, the story failed to report our full position on this matter as disclosed in the same 10-K filing. Among other things, the statement in the 10-K explains that Mr. Reed has only been aware of this judgment since May 11, 1999, and is currently exploring his legal options for resolving the dispute, including the possibility of appealing or vacating the judgment. "Third, the article implies that Mr. Reed completely severed ties with the company on May 13. To the contrary, Mr. Reed decided to step aside as a director of the company to allow the board of directors to conduct an investigation into issues raised by the FTC litigation. This investigation is ongoing and a decision on Mr. ¶ Reed's return to the management team is pending. "Fourth, we feel the article could mislead readers by suggesting that our previously announced plans for a national radio advertising campaign were lacking adequate funding. In fact, this national radio campaign has already been paid for and will kick-off on June 1, 1999. "Finally, the Bloomberg story implies that the recent decline in the price of our stock was connected to the serving of the FTC judgment against Mr. Reed. Although it is impossible to know with certainty what market factors influence the value of any stock, I would contend that the more likely cause of the recent decline in the share price was the previous report by Bloomberg containing allegations of possible fraud in our company's SEC filings associated with the merger Systems Communications Inc. and Hitsgalore.com. Since that report, we have been advised by counsel that there was no such fraud, and there have never been any allegations from any government agencies along those lines. "We will continue to focus on our core business of operating a preferred Internet search engine that attracts visitors, as well as customers, and on delivering maximum value to our shareholders." Hitsgalore.com gives away free lifetime banner placements and banners at its website located at hitsgalore.com, and generates revenue from its Keyword Bid & Rank program, sponsorships, and Local City Editions featuring local content. Hitsgalore.com strives to provide porn-free searching and does not accept or encourage any porn or adult-content listings on its site. --30--cp/mi* CONTACT: Hitsgalore.com, Inc., Rancho Cucamonga Danny Gavin, Investor Relations 800/300-5388 investor@hitsgalore.com KEYWORD: CALIFORNIA INDUSTRY KEYWORD: COMED COMPUTERS/ELECTRONICS INTERACTIVE/MULTIMEDIA/INTERNET Click here for a stock quote Click here for historical charting