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EXHIBIT 99.1
PRESS RELEASE
NETLOJIX COMMUNICATIONS ACQUIRES CWE2 NETWORK SYSTEMS
COMPANY GAINS CHICAGO OPERATIONS AND ENHANCES ITS SERVICE OFFERINGS THROUGHOUT
THE MIDWEST
SANTA BARBARA, Calif.--(BUSINESS WIRE)--Sept. 26, 2000--NetLojix Communications
Inc. (Nasdaq: NETX), a leading provider of network and hosting infrastructure,
technical management and support to the mid-size business market, today
announced that it has completed its acquisition of privately held, Chicago-based
CW Electronic Enterprises Inc. (d.b.a. CWE2 Network Systems Inc.) (CWE2).
CWE2 is a systems integration, technical support and Web development company for
mid-size businesses in the Midwest. CWE2 has 200 active customers, including
ABN-AMRO Bank N.A. Under the terms of the agreement, NetLojix acquired all the
outstanding common stock of CWE2 in exchange for 500,000 shares of NetLojix
common stock and $150,000 in cash.
"NetLojix's plan calls for the company to grow through a combination of
strategic acquisitions and organic growth. Among other areas, we have identified
the Midwest for expansion due to the increasing demand for hosting, remote
server management and integrated bandwidth solutions among the rapidly growing
mid-size business market. CWE2's physical presence and customer base, combined
with our existing products and solutions, create significant growth
opportunities for NetLojix's Midwest target market," said Anthony E. Papa,
chairman and CEO of NetLojix.
NetLojix plans to fully integrate CWE2's technical team, sales and back office
operations into its Midwest region within 90 days. NetLojix had expected to
close its acquisition of CWE2 in the fourth quarter, and completed the
acquisition ahead of schedule.
About NetLojix
NetLojix is a single-source provider of eBusiness network services to the
desktop. The company offers a complete portfolio of broadband connectivity,
hosting, technical management and applications development. With offices,
support teams and data points-of-presence nationwide, the company provides
design, integration and management of eBusiness solutions. For further
information, please visit the company's Web site at www.netlojix.com.
"Safe Harbor" statement under the Private Securities Litigation Reform Act of
1995: All statements in this news release other than statements of historical
fact are forward-looking statements that involve substantial risks and
uncertainties. These statements may differ materially
99.1-1
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from actual future events or results. Readers are referred to NetLojix's
Annual Report on Form 10-K for the year ended Dec. 31, 1999, and to
NetLojix's other reports filed with the Securities and Exchange Commission
for a discussion of such risks and uncertainties and other factors that may
have a material effect on NetLojix's business.
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Contact:
Metzger Associates
Mark Trinske, 303/786-7000, ext. 226 (Investor Relations)
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