SANTA CLARA, Calif., May 14, 2002 (PRIMEZONE) -- iPrint Technologies, inc. (Nasdaq:IPRT), a leading supplier of online and offline marketing and customized branding solutions, today announced plans for a major Company restructuring and the submission of an application to Nasdaq to transfer the listing of iPrint's common stock to The Nasdaq SmallCap Market.
In concert with efforts to raise additional capital, as announced on April 8, 2002, iPrint is planning to restructure its organization with the goal of outsourcing certain non-core business functions and substantially minimizing near-term cash burn. With these changes, and assuming successful implementation of the plan, the Company believes that it can achieve EBITDA profit earlier in the second half of the year than previously planned. Further details of the restructuring will be released within the next 30 days.
"Though we may see reduced revenues from this plan, we believe the offsetting reductions in operating costs will turn the Company cash flow positive in the third quarter of this year," said Monte Wood, President and CEO of iPrint Technologies, inc. "Assuming we can successfully conclude our negotiations and implement the outsourcing strategy, we believe the positive implications for our Company will be substantial."
In addition, the Company announced that it has chosen to file an application to transfer its securities to The Nasdaq SmallCap Market. "We believe the recent changes enacted by NASDAQ provide the flexibility to make the SmallCap Market a very good solution for our Company as it stands today," said David Seltzer, Chief Financial Officer of iPrint Technologies.
iPrint's management team will host a conference call today, May 14, 2002, at 2:30 PDT. The Company will discuss first quarter 2002 earnings as well as its restructuring plans. Interested parties will find a live Web cast and replay of the call at http://www.iPrintTech.com on the "Investor Relations" page (click on the "Conference Calls" link). A transcript of the Q1 2002 conference call will also be made available at that location.
About iPrint
iPrint Technologies, inc. (Nasdaq:IPRT), created by a merger between iPrint and Wood Associates, is a leader in providing online and offline marketing and customized branding solutions to the Fortune 1000. With a network of offices nationwide, iPrint works with over 200 world-class organizations such as BP, Charles Schwab, Compaq, DuPont, Microsoft, OfficeMax, Oracle, PeopleSoft, Sun Microsystems, Washington Mutual and Wyeth Pharmaceuticals, as well as servicing over one million small business customers. iPrint's technology and solutions improve the way businesses buy custom imprinting and corporate printing. iPrint can integrate into e-procurement platforms, streamlining the cost of ordering professional printing and promotional merchandise and improving the overall ROI of e-procurement efforts. iPrint's technology also powers the award-winning Web site, iPrint.com, which offers SOHO customers convenience and significant cost savings on professionally printed products. The Company has been distinguished with the Inc./Cisco Technology Award, an "Innovation in Print" award by CAP Ventures, and named the No. 15 top eBusiness by InformationWeek. For information about corporate services, please visit http://www.iPrintTech.com.
(Sources: PC Data Online, Top Monthly E-Tailers Reports and Top Monthly Sites Reports; CAP Ventures, Research; BizRate.com, Customer Certified Ratings; Keynote.com, 2000.)
iPrint is a registered trademark of iPrint Technologies, inc. Other marks are property of their respective owners.
This press release contains forward-looking statements as that term is used in Section 21E of the Securities Exchange Act of 1934 related to iPrint's efforts to restructure the company, raise additional capital, reduce costs and cash burn, outsource certain business functions, and achieve profitability. These types of statements address matters that are subject to risks and uncertainties which could cause actual results to differ materially from those stated or implied in this press release. In addition, all of iPrint's forward-looking statements should be considered in the context of other risk factors discussed in our SEC filings, including our most recent Form 10-K and proxy statement, available for viewing on our Web site. (To access this, please click on "Investor Relations," "SEC Filings.")