Exhibit
99.1
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5880
Pacific Center Blvd, San Diego, CA 92121
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858-373-1600
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www.infosonics.com
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For
Immediate Release
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Corporate
Contacts:
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Investor
Relations:
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Media:
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Jeffrey
A. Klausner
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John
Mills or Allyson Pooley
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Peggy
Kelly
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Chief
Financial Officer
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Integrated
Corporate Relations
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The
Duplex Solution, Inc.
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858-373-1600
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310-954-1100
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310-748-6666
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ir@infosonics.com
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jmills@icrinc.com
/
apooley@icrinc.com
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peggy@theduplex.net
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InfoSonics
to Unveil verykool™
Mobile
Phones at CTIA 2007
New
Proprietary Line of Mobile Phones Fuses Sleek Design with Function to Deliver
Popular Features to Fashion-Forward Consumers.
San
Diego, CA - March 21, 2007, InfoSonics
Corporation (NASDAQ: IFON), a leading provider and distributor of mobile phones
and wireless accessories in Latin America and the United States, today announced
the proposed line-up for 2007 for verykool™,
its own
proprietary line of mobile phones. The line-up covers a full spectrum of product
offerings, including entry level, mid-tier feature phones and a Smartphone
utilizing Microsoft’s Windows Mobile operating platform. The products can be
viewed at www.verykool.net. Focusing on the concept of music and Bluetooth®
connectivity, the verykool™
line
from InfoSonics™
will
offer multiple color options in compact, stylish handsets filled with the most
popular features demanded by younger consumers.
“Building
on our core strength and market knowledge of mobile phone distribution in Latin
America and the United States, we have expanded our scope into wireless handset
development with the launch of our verykool™
proprietary line of mobile phones,” said Joseph Ram, President and Chief
Executive Officer of InfoSonics. “InfoSonics’ verykool™
mobile
phones put the fun in functionality for the young, professional consumer, a
market segment we believe to be largely under-served. Simultaneously stylish
and
feature-rich, our verykool™
mobile
phones contain some of the most in-demand features in a range of models that
will let everyone find the perfect cell phone to match their
lifestyle.”
While
the
products are in varying stages of introduction and testing with carriers, the
Company believes the first launch will be in Latin America. InfoSonics’
verykool™
mobile
phones will include desirable features such as MP3 and multimedia players;
Bluetooth® capabilities; mega pixel cameras; PC Sync; expansion memory slots;
GSM tri-band or quad-band ‘world phone’ standards. Many models will be produced
in a variety of fashion colors including red, blue, green and white as well
as
the more traditional black. The products will be available through select
carriers and distributors in the regions. Concurrent with the announcement
of
the proposed verykool™
line-up,
InfoSonics has launched a dedicated Internet site to provide product information
and, support at www.verykool.net.
Trademarks
are the
property of their respective owners.
About
InfoSonics Corporation
InfoSonics
is a leading provider and distributor of mobile phones and wireless accessories
serving Latin America and the United States. For the wireless telecommunications
industry, InfoSonics provides flexible and cost effective solutions, including
product assembly, purchasing, marketing, selling, warehousing, order assembly,
programming, packing, shipping, and delivery. InfoSonics supports manufacturers
in moving their products to agents, resellers, distributors, independent
dealers, retailers and wireless network operators in the U.S. and Latin America.
For additional information, please visit www.infosonics.com.
Cautionary
Statement for the Purpose of the Safe Harbor Provisions of the Private
Securities Litigation Reform Act of 1995
The
matters in this press release that are forward-looking statements, including
without limitation to statements about future revenues, sales levels, operating
income and margins, wireless handset sales, stock-based compensation expense,
gain (loss) in value of derivatives, cost synergies, operating efficiencies,
profitability, market share and rates of return, are based on current management
expectations that involve certain risks which, if realized, in whole or in
part,
could cause such expectations to fail to be achieved and have a material adverse
effect on InfoSonics’ business, financial condition and results of operations,
including, without limitation: (1) intense competition, regionally and
internationally, including competition from alternative business models, such
as
manufacturer-to-carrier sales, which may lead to reduced prices, lower sales
or
reduced sales growth, lower gross margins, extended payment terms with
customers, increased capital investment and interest costs, bad debt risks
and
product supply shortages; (2) inability to secure adequate supply of competitive
products on a timely basis and on commercially reasonable terms; (3) foreign
exchange rate fluctuations, devaluation of a foreign currency, adverse
governmental controls or actions, political or economic instability, or
disruption of a foreign market, and other related risks of our international
operations; (4) the ability to attract new sources of profitable business from
expansion of products or services or risks associated with entry into new
markets, including geographies, products and services; (5) an interruption
or
failure of our information systems or subversion of access or other system
controls may result in a significant loss of business, assets, or competitive
information; (6) significant changes in supplier terms and relationships; (7)
termination of a supply or services agreement with a major supplier or product
supply shortages; (8) continued consolidation in the wireless handset carrier
market; (9) extended general economic downturn; (10) loss of business from
one
or more significant customers; (11) customer and geographical accounts
receivable concentration risk; (12) rapid product improvement and technological
change resulting in inventory obsolescence; (13) future terrorist or military
actions; (14) the loss of a key executive officer or other key employees; (15)
changes in consumer demand for multimedia wireless handset products and
features; (16) our failure to adequately adapt to industry changes and to manage
potential growth and/or contractions; (17) future periodic assessments required
by current or new accounting standards such as those relating to long-lived
assets, goodwill and other intangible assets and expensing of stock options
and
valuing gain or loss on fair value of derivatives may result in additional
non-cash income or expenses; (18) seasonal buying patterns; (19) dependency
on
Latin American sales; and (20) uncertain political and economic conditions
internationally; (21) the impact, if any, of changes in EITF 00-19 or SFAS
133
guidance as it relates to warrants and registration rights and SFAS 123R as
it
relates to stock options; and (22) the resolution of any litigation against
the
company. Our actual results could differ materially from those anticipated
in
our forward looking statements.
InfoSonics
has instituted in the past and continues to institute changes to its strategies,
operations and processes to address these risk factors and to mitigate their
impact on InfoSonics’ results of operations and financial condition. However, no
assurances can be given that InfoSonics will be successful in these efforts.
For
a further discussion of significant factors to consider in connection with
forward-looking statements concerning InfoSonics, reference is made to Item
1A
Risk Factors of InfoSonics’ Annual Report on Form 10-K for the year ended
December 31, 2005 and its Quarterly Report on Form 10-Q, as amended, for the
quarter ended September 30, 2006; other risks or uncertainties may be detailed
from time to time in InfoSonics’ future SEC filings. InfoSonics does not intend
to update any forward-looking statements.
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