EX-99.1
5
v121972_ex99-1.htm
Unassociated Document
ITEX
CORPORATION ACQUIRES MEDIA SERVICES BUSINESS
·
ASSETS INCLUDE $4 MILLION OF AD CREDITS AND 300 MEDIA/TRAVEL
ACCOUNTS
· LAUNCHES
WWW.ITEXMEDIA.COM
Bellevue,
WA - August 6, 2008
-
ITEX
Corporation (OTCBB: ITEX), The
Membership Trading Community SM, a
leading
marketplace for cashless business transactions in North America, has
acquired the media trading system, Intagio Media Services client base, and
advertising credit assets of Intagio Corporation of San Francisco, California
("Media Services"). The advertising and media sector is currently the largest
component of transaction volume in the ITEX Marketplace. With the new Media
Services, ITEX will expand its capability in this market sector.
The
Media
Services were acquired on August 1, 2008. The data migration into ITEX's
web-based trading and payment systems platform has been completed. The acquired
accounts will be managed from ITEX's corporate-owned office in Chicago,
Illinois. Doug Hayner and Asimina Georgiou will join the ITEX team from Intagio,
bringing with them valuable client relationship experience.
"We
are
pleased to greatly enhance the most active sector of our trading community
with
potentially high-volume media and hospitality clients", said Chairman and CEO
Steven White. "With this acquisition, we now have the ability to offer a variety
of new and exciting media opportunities directly to the ITEX Marketplace.
Our
media managers will offer enhanced media planning and execution services,
expanding our clients'
budgets by enabling them to fund part of their media plan through the trading
of
excess goods and services. In addition, we plan to use our expanded media
base
to register more member businesses in the hospitality, travel, and restaurant
industries".
"This
is
a low-risk acquisition with great upside potential", White continued. "Our
expansion into media trading services compliments our current business model
and
we believe it provides ITEX a significant growth opportunity".
Terms
of the Transaction
The
purchase
price of approximately $750,000 included the following:
·
A
cash payment of $ 51,468;
·
A
$687,500 secured promissory note financed by the seller at 8% APR
for 12
months;
·
Assumption
of certain liabilities.
The
acquired assets include the following:
·
$4,000,000
in media inventory;
·
300
client relationships;
·
Historical
transactional data and associated accounts;
·
Accounts
receivable.
ITEX's
cash and cash equivalents exceeded $1.0 million as of July 31, 2008.
About
ITEX
ITEX,
The
Membership Trading Community SM,
is a
thriving network of 24,000 participating member businesses. Members increase
sales through an exclusive distribution channel managed by franchisees,
licensees and corporate-owned locations, by utilizing ITEX dollars to exchange
goods and services. ITEX is powered by ITEX Payment Systems, the leading payment
technology platform for processing cashless business transactions. ITEX is
headquartered in Bellevue, WA. For
more
information, please visit ITEX's website at www.itex.com.
Contacts:
Alan
Zimmelman
ITEX
Corporation
425.463.4017
alan@itex.com
Budd
Zuckerman
Genesis
Select
303-415-0200
bzuckerman@genesisselect.com
This
press release contains forward-looking statements that involve risks and
uncertainties concerning our expected performance (as described without
limitation in the quotations from current management in this release) and
comments within the safe harbor provisions established under The Private
Securities Litigation Reform Act of 1995. Actual results may differ materially
from the results predicted and reported results should not be considered as
an
indication of our future performance. We believe that these potential risks
and
uncertainties include, without limitation: the continuing development of
successful marketing strategies for our concepts; our ability to increase
revenues and sustain profitability; the availability of adequate working
capital; our dependence both on key personnel and our franchise network; and
the
effect of changes in the overall economy and in technology. Statements in this
release should be evaluated in light of these factors. These risk factors and
other important factors that could affect our business and financial results
are
discussed in our periodic reports and filings with the Securities and Exchange
Commission, including our Forms 10-K and Forms 10-Q, which are available at
www.sec.gov., including under the caption, "Management's Discussion and Analysis
of Financial Condition and Results of Operations." All information set forth in
this release is as of August 6, 2008, and ITEX undertakes no duty to update
this
information.

EX - 99 . 1 5 v121972 _ ex99 - 1 . htm Un associated Document ITEX CORPORATION ACQUIRES MEDIA SERVICES BUSINESS · ASSETS INCLUDE $ 4 MILLION OF AD CREDITS AND 300 MEDIA / TRAVEL ACCOUNTS · LAUNCHES WWW.ITEXMEDIA.COM Bellevue , WA - August 6 , 2008 - ITEX Corporation ( OTCBB : ITEX ) , The Membership Trading Community SM , a leading marketplace for cashless business transactions in North America , has acquired the media trading system , Intagio Media Services client base , and advertising credit assets of Intagio Corporation of San Francisco , California ( " Media Services " ) . The advertising and media sector is currently the largest component of transaction volume in the ITEX Marketplace . With the new Media Services , ITEX will expand its capability in this market sector . The Media Services were acquired on August 1 , 2008 . The data migration into ITEX 's web - based trading and payment systems platform has been completed . The acquired accounts will be managed from ITEX 's corporate - owned office in Chicago , Illinois . Doug Hayner and Asimina Georgiou will join the ITEX team from Intagio , bringing with them valuable client relationship experience . " We are pleased to greatly enhance the most active sector of our trading community with potentially high - volume media and hospitality clients " , said Chairman and CEO Steven White . " With this acquisition , we now have the ability to offer a variety of new and exciting media opportunities directly to the ITEX Marketplace . Our media managers will offer enhanced media planning and execution services , expanding our clients ' budgets by enabling them to fund part of their media plan through the trading of excess goods and services . In addition , we plan to use our expanded media base to register more member businesses in the hospitality , travel , and restaurant industries " . " This is a low - risk acquisition with great upside potential " , White continued . " Our expansion into media trading services compliments our current business model and we believe it provides ITEX a significant growth opportunity " . Terms of the Transaction The purchase price of approximately $ 750,000 included the following : · A cash payment of $ 51,468 ; · A $ 687,500 secured promissory note financed by the seller at 8 % APR for 12 months ; · Assumption of certain liabilities . The acquired assets include the following : · $ 4,000,000 in media inventory ; · 300 client relationships ; · Historical transactional data and associated accounts ; · Accounts receivable . ITEX 's cash and cash equivalents exceeded $ 1.0 million as of July 31 , 2008 . About ITEX ITEX , The Membership Trading Community SM , is a thriving network of 24,000 participating member businesses . Members increase sales through an exclusive distribution channel managed by franchisees , licensees and corporate - owned locations , by utilizing ITEX dollars to exchange goods and services . ITEX is powered by ITEX Payment Systems , the leading payment technology platform for processing cashless business transactions . ITEX is headquartered in Bellevue , WA . For more information , please visit ITEX 's website at www.itex.com . Contacts : Alan Zimmelman ITEX Corporation 425 . 463 . 4017 alan@itex.com Budd Zuckerman Genesis Select 303 - 415 - 0200 bzuckerman@genesisselect.com This press release contains forward - looking statements that involve risks and uncertainties concerning our expected performance ( as described without limitation in the quotations from current management in this release ) and comments within the safe harbor provisions established under The Private Securities Litigation Reform Act of 1995 . Actual results may differ materially from the results predicted and reported results should not be considered as an indication of our future performance . We believe that these potential risks and uncertainties include , without limitation : the continuing development of successful marketing strategies for our concepts ; our ability to increase revenues and sustain profitability ; the availability of adequate working capital ; our dependence both on key personnel and our franchise network ; and the effect of changes in the overall economy and in technology . Statements in this release should be evaluated in light of these factors . These risk factors and other important factors that could affect our business and financial results are discussed in our periodic reports and filings with the Securities and Exchange Commission , including our Forms 10 - K and Forms 10 - Q , which are available at www.sec.gov . , including under the caption , " Management 's Discussion and Analysis of Financial Condition and Results of Operations . " All information set forth in this release is as of August 6 , 2008 , and ITEX undertakes no duty to update this information .
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