Exhibit
99.1
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4350
Executive Drive, Suite 100 San Diego, CA 92121
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858-373-1600
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www.infosonics.com
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Contact:
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Jeffrey
A. Klausner
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Mary
Magnani
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Chief
Financial Officer
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MKR
Group, Inc.
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858-373-1600
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415-829-7879
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ir@infosonics.com
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ifon@mkr-group.com
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INFOSONICS
EXTENDS ITS DISTRIBUTION AGREEMENT WITH SAMSUNG LATINOAMERICA THROUGH DECEMBER
2008
Agreement
Covers Central America, The Caribbean, Venezuela and
Ecuador
SAN
DIEGO, CA, December 20, 2007 -
InfoSonics Corporation (NASDAQ: IFON), one of the premier providers and
distributors of wireless handsets and accessories serving Latin America and
the
United States, today announced it has extended its distribution agreement with
Samsung Electronics Latino America Miami, Inc. through December 2008. Under
the
agreement, InfoSonics will continue to offer distribution solutions and services
in Central America, the Caribbean, and Ecuador, for a variety of Samsung
wireless telecommunication devices and accessories to carriers, retailers and
agents.
“The
extension of this agreement underscores InfoSonics and Samsung’s continued
partnership and InfoSonic’s proven distribution capabilities and relationships
in the Latin American marketplace,” said Joseph Ram, President and CEO of
InfoSonics Corporation. “As we continue to build our presence in Central America
and other markets, this mutually beneficial partnership established over the
three years, supports our growth strategy. With its high-quality line up of
products, Samsung has established itself as a leader in the telecommunication
device market and we look forward to continued success in working
together.”
About
InfoSonics Corporation
InfoSonics
is one of the premier providers and distributors of wireless handsets and
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
Latin America and the United States. 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; (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; (22) the resolution of any litigation against the
company and (23) the ability of the Company to generate taxable income in future
periods in order to utilize and realize any quarterly tax benefits recorded.
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, 2006, and Quarterly Reports on Form 10-Q for the periods ended
March 31, 2007; June 30, 2007and September 30, 2007; 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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