EX-99
3
ex_99-1.htm
PRESS RELEASE DATED APRIL 7, 2006
Exhibit 99.1
IA GLOBAL ANNOUNCES DIVESTITURE OF REX TOKYO CO LTD SUBSIDIARY,
REDUCING ANNUAL OPERATING LOSSES BY APPROXIMATELY $1,550,000
TAMPA, FL April 7, 2006/PRNewswire-FirstCall/ --
IA Global Inc. (Amex: IAO) announced that it has sold its 60.5% interest in Rex Tokyo Co Ltd ("Rex Tokyo") back to Rex Tokyo. The closing occurred on April 4, 2006. The total purchase price was approximately $1,273,000 at current exchange rates. The company received approximately $193,000 on April 4, 2006, reducing its common ownership interest to 48.4% and will receive approximately $780,000 on April 30, 2006, for its remaining common ownership interest. Finally, the company will receive $300,000 on May 31, 2006 as repayment for its preferred shares and reimbursement of certain expenses incurred by the company on Rex Tokyo's behalf. The remaining payments are guaranteed by Hiroyuki Ejima, the CEO of Rex Tokyo.
The company divested Rex Tokyo due to operating losses of approximately $1,552,000 in 2005 and projected losses in 2006 due to industry conditions. Sales were $29,335,000 in 2005. The company is expecting to breakeven on the sale.
The company's President, Mark Scott, said, "the company divested its interest in Rex Tokyo because of significant operating losses in 2005 and projected losses in 2006. This was a difficult decision because of the significant revenue base of Rex Tokyo. We expect to focus on the expansion of the Global Hotline business and expect to seek additional merger and acquisition opportunities".
About IA Global Inc.
IA Global, Inc. is a public holding company focused on acquiring primarily Japanese companies that operate in the telecommunication area. We own 100% of Global Hotline, Inc., which operates call centers and is a reseller of telephone and broadband lines in Japan.
For further information, contact:
Mark Scott, President and CFO
IA Global Inc.
550 N. Reo Street, Suite 300
Tampa, FL 33609
813-261-5157 (t)
813-261-5158 (f)
scott@iaglobalinc.com
www.iaglobalinc.com
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements (within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934) regarding us and our business, financial condition, results of operations and prospects. Specifically, the statements in this press release concerning annual losses and merger and acquisition opportunities are forward-looking statements. Forward-looking statements in this report reflect the good faith judgment of our management and the statements are based on facts and factors as we currently know them. Forward-looking statements are subject to risks and uncertainties and actual results and outcomes may differ materially from the results and outcomes discussed in the forward-looking statements. Readers are urged not to place undue reliance
on these forward-looking statements which speak only as of the date of this press release. We undertake no obligation to revise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of the press release.
"

EX - 99 3 ex _ 99 - 1 . htm PRESS RELEASE DATED APRIL 7 , 2006 Exhibit 99 . 1 IA GLOBAL ANNOUNCES DIVESTITURE OF REX TOKYO CO LTD SUBSIDIARY , REDUCING ANNUAL OPERATING LOSSES BY APPROXIMATELY $ 1,550,000 TAMPA , FL April 7 , 2006 / PRNewswire - FirstCall / -- IA Global Inc . ( Amex : IAO ) announced that it has sold its 60 . 5 % interest in Rex Tokyo Co Ltd ( " Rex Tokyo " ) back to Rex Tokyo . The closing occurred on April 4 , 2006 . The total purchase price was approximately $ 1,273,000 at current exchange rates . The company received approximately $ 193,000 on April 4 , 2006 , reducing its common ownership interest to 48 . 4 % and will receive approximately $ 780,000 on April 30 , 2006 , for its remaining common ownership interest . Finally , the company will receive $ 300,000 on May 31 , 2006 as repayment for its preferred shares and reimbursement of certain expenses incurred by the company on Rex Tokyo 's behalf . The remaining payments are guaranteed by Hiroyuki Ejima , the CEO of Rex Tokyo . The company divested Rex Tokyo due to operating losses of approximately $ 1,552,000 in 2005 and projected losses in 2006 due to industry conditions . Sales were $ 29,335,000 in 2005 . The company is expecting to breakeven on the sale . The company 's President , Mark Scott , said , " the company divested its interest in Rex Tokyo because of significant operating losses in 2005 and projected losses in 2006 . This was a difficult decision because of the significant revenue base of Rex Tokyo . We expect to focus on the expansion of the Global Hotline business and expect to seek additional merger and acquisition opportunities " . About IA Global Inc . IA Global , Inc . is a public holding company focused on acquiring primarily Japanese companies that operate in the telecommunication area . We own 100 % of Global Hotline , Inc . , which operates call centers and is a reseller of telephone and broadband lines in Japan . For further information , contact : Mark Scott , President and CFO IA Global Inc . 550 N. Reo Street , Suite 300 Tampa , FL 33609 813 - 261 - 5157 ( t ) 813 - 261 - 5158 ( f ) scott@iaglobalinc.com www.iaglobalinc.com " Safe Harbor " Statement under the Private Securities Litigation Reform Act of 1995 : This press release contains forward - looking statements ( within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934 ) regarding us and our business , financial condition , results of operations and prospects . Specifically , the statements in this press release concerning annual losses and merger and acquisition opportunities are forward - looking statements . Forward - looking statements in this report reflect the good faith judgment of our management and the statements are based on facts and factors as we currently know them . Forward - looking statements are subject to risks and uncertainties and actual results and outcomes may differ materially from the results and outcomes discussed in the forward - looking statements . Readers are urged not to place undue reliance on these forward - looking statements which speak only as of the date of this press release . We undertake no obligation to revise or update any forward - looking statements in order to reflect any event or circumstance that may arise after the date of the press release . "
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