SHERMAN OAKS, Calif., March 8, 2005 (PRIMEZONE) -- On behalf of the Board of Directors, Paul Mataras, CEO of Telynx, Inc. (Pink Sheets:TLYN), has posted an open letter to shareholders via the corporate website. Telynx designs software products and related services for telecommunications service providers. The letter appears here in its entirety.
From: CEO Paul Mataras Date: March 8, 2005 Dear Valued Shareholders:
March 30th, 2004, was a landmark date in the evolution of Telynx Inc. On that day our management team formally acquired the Company and saved it from certain and inevitable bankruptcy. Prior to that date, the Company was dormant for over a year due to the fact that the previous management failed to secure funding to continue operations.
During the course of our acquisition, we realized that there were several issues that needed to be addressed in order to put Telynx back on track. The following is a list of the tasks that we have completed, or are in the process of completing, that should ultimately help transform the Company into a profitable enterprise:
-- We began by moving the Company's offices from El Paso
to California.
-- The share structure being both unwieldy (the Company had
over 352 million shares issued and outstanding) and
vulnerable to attack by unscrupulous entities, we executed
a reverse a split of 1 for 10 and changed the ticker symbol.
In addition, a certificate exchange program was instituted
to ensure that there were no authorized certificates
in circulation.
-- As part of our latest marketing survey, previous clients
and partners including Hewlett Packard Co., Cisco Systems,
etc. were contacted and we re-established relationships
with these key customers.
-- In conjunction with data gathered from the marketing team,
the inventory management software, a fundamental corporate
asset, was formally evaluated. A team of designers was
formed to update and upgrade the software to meet current
market needs.
-- We hired XXR Consulting to assist the Company in increasing
its market awareness and raising its profile in the
investment community.
-- A new Research and Development center was opened to develop
the Company's new products.
-- A team of engineers was secured to write the software code.
-- We signed a seven-year Software Service contract with HP
for Egypt Telecom.
-- The Company is currently working with its attorney to bring
all of its SEC filings current. We are also in the process
of setting up an independent auditing body.
-- The Company is in the process of filing all past tax
returns to bring its filings up to date with the IRS.
We have retained Tarlson & Associates, Certified Public
Accountants in San Francisco, to perform this task.
-- The Company is also in the process of clearing the
outstanding balance with the IRS that was owed by the
Company from previous years.
-- Most of the debts that appear on the corporate financial
statements have been resolved. The majority of them were
discharged due to accounting errors by previous management;
some were settled; others are in the process of being
negotiated.
-- Your new management team values nothing more highly than
its employees, whose livelihood depends on our best efforts
to look after the health and welfare of the corporation.
Because it was poorly conceived and obviously mishandled,
the 401(k) plan was terminated. Under a settlement reached
with the labor department, more than 95% of the funds has
been paid and distributed to its participants.
-- Upon completion of all necessary accounting, legal and
regulatory tasks, the Company anticipates that it will be
listed on the OTC Bulletin Board.
-- For reasons recently announced, we have retained Equitilink
to continue our ongoing investor relations efforts.
-- Management has set a goal to roll out the Company's latest
product at the start of the third quarter. Barring unforeseen
circumstances, the logistics team currently forecasts
completing the project on or before schedule.
In summary, since we have acquired the Company we have been focused on clearing up all the issues and correcting all the mistakes made by previous management, who led the Company into dire financial straits. It is hereafter the intention of current management to develop the best possible product that will allow Telynx, Inc. to emerge as a strong competitor in the OSS business.
We want to thank all of you for believing in the Company during this most challenging period. The Company has gone through a number of changes; we had to make many hard decisions, but through it all we have continued to put the Company--and our shareholders' interests--first. Currently, we are well-positioned to develop and market leading-edge products that will create significant shareholder value and transform Telynx into a profitable and formidable force in the OSS market.
Safe Harbor Statement
This release contains forward-looking statements with respect to the results of operations and business of Telynx, Inc., which involves risks and uncertainties. The Company's actual future results could materially differ from those discussed. The Company intends that such statements about the Company's future expectations, including future revenues and earnings, and all other forward looking statements be subject to the "Safe Harbors" provision of the Private Securities Litigation Reform Act of 1995.