VitalStream Outlines 2004 Accomplishments and 2005 Growth Strategy
2005年1月13日 - 10:30PM
PRニュース・ワイアー (英語)
VitalStream Outlines 2004 Accomplishments and 2005 Growth Strategy
IRVINE, Calif., Jan. 13 /PRNewswire-FirstCall/ -- VitalStream(R)
Holdings, Inc. (OTC:VSTH) (BULLETIN BOARD: VSTH) , the parent
company of VitalStream, Inc., a global provider of integrated
content delivery and streaming media services, today outlined its
key accomplishments during 2004 and growth strategy for 2005. Key
accomplishments during the 2004 year included: * Achieving revenue
growth by adding new customers and expanding relationships with
existing customers. Through the first nine months ended September
30, 2004, the Company reported revenues had increased 34 percent
over the same period a year ago. The Company estimates that annual
revenue growth for fiscal 2004 over fiscal 2003 will exceed 40
percent. * Expanding the customer base, which now includes more
than 500 significant customers. Some new clients added during the
year include ABC News, Comcast, New York Times Digital, National
Geographic, Ogilvy & Mather, Target Stores, Unisys, CNET,
RadioShack and Ralph Lauren Polo. * Continuing product innovation,
including the roll-out of the Macromedia(R) Flash(TM) Video
Streaming Service (FVSS) powered by VitalStream and enhancements to
the offering. FVSS powered by VitalStream enables companies to
quickly and easily deliver video enabled Flash content-including
streaming live events, rich media advertising campaigns and other
broadcasts-across VitalStream's high performance, reliable content
delivery network to Macromedia Flash Player, which is installed on
more than 98 percent of Internet-enabled computers. The Company
also announced the rollout of Macromedia FVSS Lite, which enables
companies to add video to their websites quickly and easily in a
cost-effective and powerful rich media streaming solution. *
Completing a private placement of common stock and warrants with
institutional investors that generated gross proceeds of $11
million. Major investors in the financing included WaldenVC,
Dolphin Equity Partners, Newlight Associates, Stephens Investment
Management and the RS Orphan Fund. In addition, several
non-director members of VitalStream's management team participated
in the transaction. In conjunction with this transaction, the
Company completed a conversion of a Promissory Note held by a major
shareholder and all outstanding shares of 2003 Series A Preferred
Stock into common stock, simplifying the Company's balance sheet.
VitalStream expects to end fiscal 2004 with over $10 million in
cash. * Enhancing financial condition through a new banking
relationship with Comerica Bank that includes both a term line and
revolving line of credit facility totaling $4.0 million at
significantly lower borrowing costs than the Company's previous
credit relationships. * Enhancing the management team and board of
directors, including the naming of Mark Belzowski as chief
financial officer. Belzowski was previously chief financial officer
at Universal Electronics, Inc., a leading developer of wireless
technology. The Company also named Raymond L. Ocampo Jr., a former
member of the senior management team at Oracle Corporation, and
Phil Sanderson, a general partner at WaldenVC, to its board of
directors. "This past year was marked by a number of key milestones
for the Company," noted Phillip N. Kaplan, president and chief
operating officer. "Our significant revenue growth was driven by
both the addition of enterprise customers in the media, advertising
and retail sectors and deeper relationships with existing customers
as we continued to provide the industry's leading solutions for the
broadcast of digital media and communications. We also strengthened
our financial condition, management team and board of directors,"
he continued. "More importantly, we are well positioned for
continued growth in 2005. Broadband use continues to grow rapidly,
and in fact, has now surpassed dial-up among Internet users. In
addition, the outlook for spending on rich media and online
advertising is very encouraging," Kaplan noted. "Key elements of
our growth strategy," he continued, "include leveraging our strong
financial position to further develop our product portfolio and
expand our sales and marketing efforts, including increasing our
presence in international markets. In addition, we will continue to
look for strategic partnership and acquisition opportunities that
can contribute to our revenues, customer base and technology
portfolio. Our search for a new chief executive officer is going
well and our plan is to achieve a listing on the Nasdaq SmallCap or
another national exchange," he concluded. VitalStream will release
its results for the year ended December 31, 2004 on Thursday,
February 10, 2005. The press release will be available on
VitalStream's website at http://www.vitalstream.com/. About
VitalStream, Inc. VitalStream, Inc., a wholly-owned subsidiary of
VitalStream Holdings, Inc. (OTC:VSTH) (BULLETIN BOARD: VSTH) , is a
global provider of integrated content delivery services that enable
businesses to broadcast digital media and communications to
worldwide audiences via the Internet. The Company provides complete
solutions, including audio and video streaming, live event
broadcasting, media asset management, integrated web hosting and
consulting services, that seamlessly integrate with today's leading
streaming media technologies. To ensure a worldwide reach,
VitalStream engineered its award-winning content delivery network
certified for quality delivery in the United States, Europe and
Asia. For more information, call 800-254-7554, or visit
http://www.vitalstream.com/. Forward-Looking Statements This news
release may contain certain "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. These statements are
based on management's current expectations and are subject to
uncertainty and changes in circumstances. Actual results may vary
materially from the expectations contained in the forward-looking
statements. Forward-looking statements may include statements
addressing future financial and operating results of the company.
The following factors, among others, could cause actual results to
differ materially from those described in any forward-looking
statements: The risk that the Company's revenue may decrease on a
year-over-year basis because of slower than projected growth in the
demand for digital broadcast and streaming services; the risks that
the Company's existing customers may cease to use the Company's
services and/or may not use the Company's services at the projected
rate; uncertainties regarding the future demand for the Company's
products and services generally even if the Company expands its
sales and marketing efforts as planned, or that we may not be able
to develop or acquire the technology necessary to keep our products
and services competitive; the risk that the Company may not satisfy
the minimum bid requirement or other listing requirements for
NASDAQ or an exchange or may otherwise be prohibited from listing
its common stock; the risk that the Company may not be able to find
suitable acquisition or other business combination transactions or,
upon completing such transactions, successfully integrate the
acquired businesses; the risk that the Company may be unable to
obtain additional capital necessary to continue operations and fuel
growth or obtain it at favorable rates; and/or uncertainties
regarding our ability to pursue our proposed business strategy.
More detailed information about these factors and others is set
forth in the Company's filings with the Securities and Exchange
Commission, including its most recent Annual Report on Form 10-K
and Quarterly Report on Form 10-Q. Such forward-looking statements
speak only as of the date of this release. The Company is under no
obligation (and expressly disclaims any obligation) to update or
revise any forward-looking statements whether as a result of new
information, future events or otherwise. VitalStream is a
registered trademark of VitalStream, Inc. All other trademarks are
property of their respective holders. For further information,
please contact Mark Belzowski at 949-743-2000, or , or Neal Rosen
of Kalt Rosen & Co., 415-397-2686, . DATASOURCE: VitalStream
Holdings, Inc. CONTACT: Mark Belzowski of VitalStream Holdings,
Inc., +1-949-743-2000, ; or Neal Rosen of Kalt Rosen & Co., for
VitalStream Holdings, Inc., +1-415-397-2686, , for VitalStream
Holdings, Inc. Web site: http://www.vitalstream.com/
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