DEERFIELD BEACH, Fla., May 24, 2005 (PRIMEZONE) -- As a result of a number of factors, iBX Group, Inc. (Pink Sheets:IBXG) will trade on Pink Sheets effective today. The company has incurred increased costs associated with ongoing reporting obligations, pending litigation and restructuring expenses. The company has delayed its filings, but will report its financial status within 10 days. Operations and overhead expenses have been reduced and contained by the company to manage the restructure process.
iBX has been negotiating a favorable arrangement with the Internal Revenue Service as well as several of its trade vendors. The company recently received a settlement from a former client and will use the proceeds to comply in part with the IRS. The Tucker Family Trust received a judgment against the company as a result of a dispute concerning a default on terms of a convertible debenture. The company has also been dealing with several other pending lawsuits from vendors seeking payment. iBX is making every effort to negotiate in good faith with all related parties.
We anticipate this restructure process will allow the company to become fully compliant and that filings will be complete within the next several weeks.