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Thursday April 30, 10:51 am Eastern Time Company Press Release SOURCE: TeleServices International Group Inc. TeleServices International Group Inc. Completes Acquisition of Compact Connection, Inc. ST. PETERSBURG, Fla., April 30 /PRNewswire/ -- TeleServices International Group Inc. (OTC Bulletin Board: TSIG - news), a fully integrated provider of outsourced teleservices, today announced that it has completed the acquisition of the assets of Santa Ana, California-based Compact Connection, Inc. (CCI), one of the ten largest direct music marketers in the United States, in an all stock transaction valued at $15 million. TeleServices will operate the business of CCI through a newly formed subsidiary of the Company. On March 12, 1998, TeleServices International Group reported that it had signed a Definitive Agreement to acquire CCI. In 1997, CCI serviced over 1.5 million customers; sold more than one million compact discs; generated $11 million in revenue; and reported $800,000, or seven percent, in net profit (unaudited). CCI is well-positioned within the $35 billion global music market and the $71 million global online music market that includes N2K (Nasdaq: NTKI - news), Cdnow (Nasdaq: CDNW - news) and K-Tel (Nasdaq: KTEL - news). CCI is the only direct music marketer in the world that can offer a combination of: The guaranteed lowest prices (including shipping and handling) to consumers on all CD's and cassettes, including new releases; 24 hour, seven day a week, ordering capability either via the Internet or toll-free 800 number and; proven, turn-key, private-label music card opportunities for its marketing partners. CCI's state-of-the-art web site is currently under construction at ccmusiccard.com. CCI's new online commerce site will be positioned on a high-speed server capable of accommodating 1.5 million existing music card holders as well as millions of new members that will have easy access to the world's best music prices. In addition, CCI's Music Card's World Wide Web site will have advanced web technology for searching, ordering and reordering and will feature the latest in ''push'' technology. The web site will provide CCI's Music Card holders with an enjoyable, and efficient online experience. ''The purchase of Compact Connection is an integral part of our long-term business strategy to concentrate our efforts on creating revenue streams that capitalize on using our call centers and Internet expertise,'' stated Robert Gordon, Chairman of TeleServices International Group Inc. ''Plans are being finalized to aggressively support the CCI Music Card with an upbeat national marketing campaign that will utilize cable television, print, the Internet, radio and direct mail in the marketing mix,'' said Darrell Piercy, President of Compact Connection, Inc. ''We believe in our ability to compete in N2K's, Cdnow's and K-Tel's online market segment and provide cost saving, pleasurable alternatives to such record clubs as Columbia House and BMG, without compromising our profit margins.'' TeleServices International Group, Inc. is an independent provider of fully integrated global teleservices to companies focused on selling products and services through toll-free numbers and the Internet. The Company's wide array of teleservices includes telephone sales/order capturing, customer service and product support as well as ect-response advertising. Visit TeleServices web site at stockprofiles.com, or email cci@tsig.com. Except for historical information, matters discussed in this press release are forward-looking statements that involve risk and uncertainties, including but not limited to, risks associated with entering new markets, competitive pressures and other important factors. SOURCE: TeleServices International Group Inc. | ||||||||||||||
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