The Company also initiates diversification program to complement
digital signage product and enhance cash flow
MEMPHIS, Tenn., Jan. 7, 2005 (PRIMEZONE) -- Limelight Media Group, Inc. (OTCBB:LMMG), a provider of out-of-home digital and promotional networks located in Memphis, TN, has decided to conclude its agreements with Cornell Capital. The Company entered into a Standby Equity Line Agreement and a Secured Convertible Debenture with Cornell Capital on Feb 17, 2004. The Company is in various discussions with several key sources and will no longer require finances under the Standby Line Agreement with Cornell Capital. The Company believes it will successfully obtain more favorable finance arrangements. In addition, 9,342,778 escrowed shares, previously held by Cornell, will be returned to the Company's treasury.
Limelight Media is also initiating a diversification program into traditional media outlets that may enhance the cash flow of the core business of Limelight. "Digital Signage is a new media outlet that is gaining a lot of recognition in the industry as opposed to traditional media outlets such as TV, radio, print and billboard. We have encountered several opportunities to enhance the product offering to our clients by coupling our digital signage with traditional outlets. Management has been convinced to expand into other opportunities for media placement that will be synergistic to our digital media core business," stated David V. Lott, President of Limelight Media Group, Inc.
"These are more positive steps taken by the company to enhance the financial future of the company," Lott further stated, "With the recently announced agreement with American Marketing Complex, Limelight Media is now positioned with the financing required to close on network contracts without equity financing at the current levels. Furthermore, the industry-first agreement to offer alcoholic beverage advertisements at the point of sale, significantly increases our product offering to our clients. We look forward to reaching a cash flow positive position in this quarter."
Limelight Media Group, Inc., a (OTCBB:LMMG) headquartered in Memphis, TN, creates, manages and supports out-of-home digital advertising and promotional networks. The Company's digital media management system enables simultaneous delivery of video content to a variety of remote audiences in real time, allowing for immediate customization of messages through a centralized network operations center. The company recently began expanding its efforts to include grocery, retail, restaurant, and the hospitality industry.
This release includes projections of future results and "forward-looking statements" as that term is defined in Section 27A of the Securities Act of 1933 as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934 as amended (the "Exchange Act"). All statements that are included in this release, other than statements of historical fact, are forward-looking statements. Although the management of Limelight believes that the expectations reflected in these forward-looking statements are reasonable, they can give no assurance that such expectations will prove to have been correct. Important factors that could cause actual results to differ materially from the expectations are disclosed in this release, including, without limitation, in conjunction with those forward- looking statements contained in this release.