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NEWS Sure Trace Sells Initial Distributorship and Offers 10 New Locations for Sale Friday January 21, 9:00 am ET DENVER--(BUSINESS WIRE)--Jan. 21, 2005--Sure Trace Security Corporation (OTCBB:SSTY - News) is proud to announce that it has sold its first regional distributorship for a commercial based anti-counterfeiting solution. Sure Trace has received the first cash payment for the sale of the initial region of Hong Kong to business contacts of Board member Tien-May Lau for $250,000USD. Sure Trace has already started the training for the implementation process for opening its initial distributor, which is expected to open July 1, 2005. Sure Trace plans to retain all rights to government based contracts and only allow this distributor to sell commercial based contracts. The rights to government based contracts are being granted to STA Inc. (Sure Trace Asia) as presented in the press release of January 20, 2005. Sure Trace is finalizing its proposed Distribution Royalty Agreement which calls for terms that guarantee Sure Trace a 20% royalty payment from commercial based gross sales and a minimum cash payment of $200,000 per year to be paid to Sure Trace. Sure Trace has identified eleven regions throughout Asia to which Sure Trace plans to establish key distributors: Hong Kong-Initiated, Northern China including Beijing, Lower Mainland China, Kuala Lumpur & Singapore, India, Pakistan, Korea, Japan, Taiwan, Australia & New Zealand and Philippines. The commercial distribution model generates a royalty fee and enables local business people from that regional office to introduce our product while maintaining ownership of their business. The goal of Sure Trace is to enlist established local business people to be the ambassadors for our products. This methodology allows for regional players who have expertise in the geography, language and culture to market Sure Trace product lines to their specific region. Cultural and language barriers can form a significant impediment in trying to market these products in various regions. The commercial distribution model allows for regional partners that have expertise in their countries and/or regions to market Sure Trace products. Management of Sure Trace believes this model is more scalable and will introduce its products to market faster and enable the company to focus its sales efforts on larger government based contracts, which could dwarf the commercial market. This concept is expected to reduce significant upfront expenses born from executing various large-scale commercial contracts on a regional basis making it the responsibility of the regional distributor of the Sure Trace products. Currently there are multiple parties interested in establishing distribution centers throughout the mentioned 11 regions. Negotiations to establish these distribution centers are in various stages of completion. About Sure Trace Security Corporation Sure Trace is on track to be the premier system integrator for anti-counterfeiting and security surveillance applications and a world-class provider of integrated tracking devices world wide within 2005. This will be accomplished by delivering turnkey solutions onshore and offshore for governments, armed forces and industry. Sure Trace is now reviewing additional key alliance and acquisition opportunities to help it fast track growth and profitability. For more information go to: www.suretrace.com. Safe Harbor: This press release contains forward-looking information within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934 and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Sure Trace to be materially different from the statements made herein. |
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| aus der Diskussion: | Sure Trace Security Corp (SSTY.OB) |
| Autor (Datum des Eintrages): | UH1d (21.01.05 15:24:12) |
| Beitrag: | 3 von 5 (ID:15586989) |
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