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Exhibit 99.1
APPLIED GRAPHICS TECHNOLOGIES EFFECTS
REVERSE STOCK SPLIT
NEW YORK, DECEMBER 5, 2000 - Applied Graphics Technologies, Inc.
(NASDAQ: AGTX), the country's largest provider of outsourced digital media asset
management services, today announced that it has effected a two-for-five reverse
stock split of the Company's common stock. The Company's stockholders approved
the reverse stock split at the Annual Meeting held on November 21, 2000. The
reverse split will reduce the number of shares of common stock issued and
outstanding from 22,584,282 to approximately 9,033,712. The action was taken
with the intent of attempting to meet the listing requirement of the Nasdaq
National Market to maintain a minimum bid price of $5.00 per share.
On December 5, 2000, the record date for the reverse stock split, each
five shares of outstanding common stock was automatically reclassified and
converted into two shares of the Company's common stock. In addition, the number
of shares of common stock that may be purchased upon the exercise of outstanding
stock options was automatically reduced in the same ratio as the reduction in
the outstanding shares and the per share exercise price was increased in direct
proportion to the reverse stock split ratio. No fractional shares of new common
stock will be issued. Holders of common stock who are entitled to receive
fractional shares will instead receive a cash payment for their fractional
shares on the basis of a price of $2.0625 per share. The Company's transfer
agent will send a notice to stockholders promptly concerning the reverse stock
split and the procedures for obtaining a new stock certificate evidencing the
post-reverse stock split shares.
Applied Graphics Technologies, Inc. provides digital media production
services across all forms of media, including print, broadcast and the Internet
and is a leading application service provider for the on-line management of
brands. AGT offers a variety of digital imaging and related services to major
corporations, which include magazine and newspaper publishers, advertisers and
their agencies, entertainment companies, catalogers, retailers, and consumer
goods and packaging companies. From locations across the United States, the
United Kingdom and Australia, AGT supplies a complete range of services that are
tailored to provide solutions for specific customer needs, with a focus on
improving and standardizing the management and delivery of visual communications
for clients on a local, national and international basis.
Additionally, AGT provides a wide range of advertising and
marketing-related creative services for customers, primarily in retailing.
These services include assistance in creation of newspaper advertising
campaigns, development of in-store and collateral media and photographic
services. AGT also provides content management and the volume reproduction and
distribution of television and radio commercials to broadcast and cable media
for ad agencies and their clients. Finally, through its Devon Publishing Group,
AGT is a leading publisher of alternative greeting cards, calendars and fine
art and other prints and wall decor items.
Additional information about Applied Graphics Technologies can be
obtained by visiting the AGT website: http://www.agt.com.
