BAY CITY, Mich. and TORONTO, Aug. 3, 2004 (PRIMEZONE) -- UgoMedia Interactive Corp (Pink Sheets:UGMI) (name change to Sciax Corporation pending) announced today that the company has undergone a significant restructuring in order to simplify its business operations. Ken Smart, President of Sciax Technology has stepped down and the company's overall operation will continue to be handled by Ralph Manore, VP of operations. The letter agreement further outlines the following:
-- Ken Smart has resigned from all of his positions with Sciax
effective July 31, 2004.
-- Eomax has granted Sciax exclusive distribution and manufacturing
rights for all products detailed under the Agreement (Wolf Pack
and related products) for a continuously renewable period of 5
years subject to meeting certain performance criteria.
-- Sciax will have the option, with the agreement of Eomax, to
purchase the IP assets from Eomax on a fair market value basis on
each anniversary of a license agreement that is yet to be
finalized.
-- Certain employees, involved exclusively in Research and
Development activities, will be transferred from the Company to
Eomax effective July 31.
-- Eomax is now responsible for all continuing research and
development efforts, including costs, related to the IP outlined
in the Option Agreement.
-- Ken Smart has returned to Sciax all preferred voting shares that
were granted to him as part of the reverse takeover completed in
early 2003.
-- Eomax employees, including Ken Smart continue to actively provide
sales, marketing and management support to the Company on a
sub-contract basis for a fixed monthly fee plus expenses.
-- The Company will pay to Eomax a royalty and production management
fee for products based on the IP. This includes any products
subsequently developed from the IP and marketed by the Company.
-- The Company will provide to Eomax, Sciax warrants exercisable at
various strike prices and over differing periods.
"This agreement allows Sciax to focus its strengths on the manufacturing, sales and distribution of the Wolf Pack product line and allows Eomax to focus its strengths on the continued development of world class products," stated Ralph Manore, Vice President of Operations. Additionally, Ken Smart indicated that "Ralph and I have developed a close working relationship over the past 15 years and the agreement between Eomax and Sciax will allow us to continue using our complementary skill sets to achieve our common goals."
It is not expected that this agreement will have a noticeable impact on the Company's operations.
The Wolf Pack, licensed to Sciax, is a highly modularized opto-electronic remote viewing system used by law enforcement and military personnel. The reconfigurable, multi-operational design of Wolf Pack makes the system ideal for many applications in physical security, drug and contraband interdiction, tactical response and protective security. Wolf Pack electronics and optical components are built to high standards of durability, allowing successful deployment in harsh conditions that would prohibit the use of many conventional imaging systems. Both defense and industrial versions of Wolf Pack can integrate Richard Wolf endoscopes as part of a total remote viewing solution.
About Sciax
Sciax is an emerging leader in defense imaging systems for law enforcement and military personnel engaged in counter-terrorism and other special security operations. Sciax America Inc. and Sciax Technology Inc. are wholly owned subsidiaries of UgoMedia Interactive Corp. (Pink Sheets:UGMI) (name change to Sciax Corporation pending).
Sciax is the manufacturer of Wolf Pack under license from Eomax. Wolf Pack is the Company's tactical remote viewing system used by law enforcement and military organizations in North America and Europe. Customers include, military and law enforcement agencies of the U.S. and German Governments, contraband interdiction units of Canada Customs, and LAPD-SWAT.
This release contains forward-looking statements with respect to the results of the operations and business of Sciax Technology Inc., Sciax America Inc. and Ugomedia Interactive Corp. that involve risks and uncertainties. The Company's actual future results could materially differ from those discussed. Risks and uncertainties of the Company will be detailed from time to time in the Company's periodic reports. The Company intends that such statements about the Company's future expectations, including future revenues, and enforcement and defense imaging system earnings, and all other forward looking statements be subject to the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995.