BURNABY, British Columbia, May 27, 2003 (PRIMEZONE) -- Viscount Systems Inc. (OTCBB:VSYS) announced today that The Company has closed the purchase agreement to acquire the assets of the Enterphone(r) product line of TELUS Corporation. The assets include up to 2400 monthly service contracts on multi-residential and commercial buildings as well as inventory. The final agreement calls for an initial $100,000 payment for the first 500 contracts and inventory which was valued at $100,000. The final purchase price is contingent on the total number of assigned contracts, but will not exceed $450,000. If all contracts are assigned, annual revenues of approximately $900,000 are expected. This does not include non-contract service or revenue generated by the replacement of older systems.
"All 2400 contracts include older Enterphone equipment manufactured by Viscount," noted Stephen Pineau, CEO of Viscount. "It is testament to the quality of the Enterphone product that the contracts include almost 400 Enterphone II systems that are over 20 years old and even Enterphone I systems that have been in place and operational for almost 40 years."
"These service contracts with multi-residential and commercial buildings also gives us a great tool to market our new MESH product both to contracted buildings and other buildings looking to enhance security," continued Mr. Pineau. "We expect this deal to make a significant contribution to both our short term goals and long term growth."
About Viscount Systems
Viscount Systems Inc., is a designer and manufacturer of telecommunications and electronic door control access systems for the security industry. From 1969-1997 Viscount was an R&D affiliate of Telus, itself a controlled subsidiary of GTE, now Verizon Communications. The company's diverse line of products are designed to improve safety and manage security for property owners and users. Viscount's products have been installed in approximately 35,000 sites in over 30 countries and are sold through a 500 member, North America-wide dealer network comprised of security equipment vendors, including Tyco/ADT, Honeywell and Siemens. Additional information on Viscount's products may be obtained on-line at http://www.viscount.com.
Financial statements are available from the company's registration statement filed with the U.S. Securities and Exchange Commission on February 6, 2002, which may be viewed at www.sec.gov or the company's web site www.viscount.com under the heading "Investor Relations". For further information, or to be placed on email NEWS ALERT please e-mail to ir@viscount.com or call toll free 1-866-252-9446.
Safe Harbor Statement This press release does not constitute an offer to sell or the solicitation of any offer to buy any securities of Viscount Systems Inc., nor shall there be any sale of any such security in any state in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state.
Forward looking statements: This press release and other statements by Viscount Systems Inc. may contain forward-looking statements within the meaning of the private Securities Litigation Reform Act with respect to the outlook for earnings and revenues, other future financial or business performance, strategies and expectations. Forward-looking statements are typically identified by words or phrases such as "believe," "expect," "estimate," "position," "assume," "potential," "outlook," "continue," "remain," "maintain," and similar expressions, or future or conditional verbs such as "will," "would," "should," "could," or similar expressions.