TORONTO, Jan. 4 /CNW/ - Route1 Inc.(TM) (TSX-V:ROI), the trusted provider of security and identity management network solutions, announced today that it has filed Statements of Claim against certain customers relating to non-payment of invoices. The customers have maintained that based on non-sanctioned verbal representations made to them by certain employees of Route1 who are no longer with the Company, they were not obligated to make payment in accordance with the terms of the written binding purchase agreements. As reflect in the Statements of Claim, the customers entered into binding written agreements with Route1 to purchase MobiKEYs that were delivered in 2007 for which revenue of approximately $500,000 was recorded during the nine months ended September 30, 2007 on the strength of these agreements. To the best of Route1's knowledge, the customers in question are solvent and Route1 intends to take all necessary steps to pursue its rights and collect the full amount owing to the Company.
"We are confident in our legal position given the binding nature of the purchase agreements in question," said Andrew White, President and CEO of Route1.
ABOUT ROUTE1 INC.
Route1 is the trusted provider of security and identity management network solutions that are redefining today's digital landscape. At the heart of Route1's solutions is MobiNET, a communications and service delivery platform focused on identity management and entitlement-based access to resources. Leveraging the power of MobiNET is the award winning MobiKEY, an ultra-portable computing device that securely connects users to the myriad of MobiNET services from any Internet-enabled Windows-based PC. This patent pending computing solution is embedded on a smart-card enabled, cryptographic USB device, making it one of the most powerful and easy-to-use secure computing solutions available today. MobiKEY enables users to connect to their desktop data, applications, network resources, and web content with services such as TruOFFICE and PurLINK. Route1's patent-pending solutions, based on FIPS-140-2 cryptographic modules, meet the stringent security needs and high standards mandated by all levels of government. They have been evaluated by ICSA Labs and certified by the CSE. As a Company with high regard for intellectual property, Route1 continues to encourage and nurture innovation across its talented team. Headquartered in Toronto, Route1 is listed on the TSX Venture Exchange (symbol: ROI) and has offices and agents worldwide. For more information, visit www.route1.com.
This news release, required by applicable Canadian laws, is not for distribution to U.S. news services or for dissemination in the United States, and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
The TSX Venture Exchange has not reviewed or approved the contents of
this press release and does not accept responsibility for its adequacy or
accuracy.
Certain statements in this press release may contain words such as "could", "expects", "may", "anticipates", "believes", "intends", "estimates", "targets", "envisions", "seeks" and other similar language and are considered forward-looking statements or information under applicable securities legislation. These statements are based on Route1's current expectations, estimates, forecasts and projections about the operating environment, legal environment, economies and markets in which Route1 operates. These statements are subject to important assumptions, risks and uncertainties, which are difficult to predict and the actual outcome may be materially different from those contemplated in forward-looking statements. Unless otherwise required by applicable securities laws, Route1 disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
(C)2007 All rights reserved. Route1, the Route1 Logo, Mobi, Route1
MobiKEY, Route1 TruOFFICE, Route1 PurLINK, Route1 EnterpriseLIVE, and
Route1 MobiNET are either registered Trademarks or Trademarks of Route1
Inc. in the United States and or Canada. All other trademarks and trade
names are the property of their respective owners.
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