CLEVELAND, Oct. 20, 2005 (PRIMEZONE) -- Paragon Real Estate Equity and Investment Trust (AMEX:PRG) filed with the Securities and Exchange Commission a current report on Form 8-K for an amendment to its bylaws that the board of trustees approved at a recent meeting to allow Paragon to issue its shares without a physical certificate. The amendment is in accordance with Maryland General Corporation Law Section 8-203. This change does not affect shares already in certificate form until they are surrendered to Paragon's stock transfer agent.
Paragon believes in this era of technology that electronic records for tracking share ownership are more efficient for stock transfer agents, brokers, and the stock market overall. Shareholders will no longer be required to hold physical certificates as proof of ownership. The trading of shares is already done electronically, and the stock exchanges and brokerage firms have the technology systems developed to make share ownership easier for investors and public companies. The State of Maryland in which Paragon is domiciled and registered as a business trust provides for share ownership without physical certificates. The company believes more publicly traded companies will likely adopt electronic share ownership in the future due to the ease of transfer for shareholders.
Paragon is a real estate company with a value-added business plan to acquire well located, under-performing multi-family properties and reposition them through renovation, leasing, improved management and additional capital investment.
Forward-Looking Statements
Certain matters discussed within this press release may be deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Paragon Real Estate Equity and Investment Trust believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that the planned implementation of a national real estate acquisition, development and re-development strategy will be completed in whole or in part. Factors that could cause actual results to differ materially from Paragon's expectations include changes in local or national economic or real estate conditions, the ability to meet competition, loss of existing key personnel, ability to hire and retain future personnel and other risks detailed from time to time in Paragon's SEC reports and filings, including its annual report on Form 10-K, quarterly reports on Form 10-Q and periodic reports on Form 8-K. Paragon assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.