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EX-99.2
Wednesday December 13, 4:09 pm Eastern Time
Press Release
PopMail.com Sells IZ.com
IRVING, Texas--(BUSINESS WIRE)--Dec. 13, 2000--PopMail.com, Inc. (Nasdaq:POPM -
news), an online fan club services marketing company, today announced it has
sold the assets of IZ.com, its wholly owned subsidiary in Bellevue, WA, to JBII
for a $2.25 million, non-interest bearing, eight year secured promissory note.
JBII is an entity controlled by the current management team at IZ.com. Related
to the sale of IZ.com, Management anticipates that all remaining goodwill
associated with the original IZ.com purchase will be expensed in December 2000.
The additional amortization charge will be approximately $36 million. The sale
of IZ.com will result in further net cost reductions for PopMail.com, positions
PopMail.com one step closer to profitability and follows last week's
announcement of the Company's reduction of expenses at its wholly owned
subsidiary PopMail Network, based in Irving, TX.
Gary Schneider, CEO of PopMail.com, states, "The IZ.com business model of
creating newsletters and e-business applications for high-end companies does not
fit the business model of PopMail.com. While IZ.com had revenue, its current
revenue did not cover expenses and thus was in a different stage of development
compared to other PopMail.com companies. It is our plan to be cash flow positive
as soon as possible and as indicated in previous announcements the Company will
no longer support any business opportunities that are still in development or
not cash positive. With the divesture of IZ.com and the reduction of expenses
implemented last week at PopMail Network, our Internet division consisting now
of Fan Asylum and PopMail Network, shows it is now on the path to profitability
based on today's current revenue projections and business plan."
About PopMail.com, Inc.
PopMail.com, Inc. owns Fan Asylum, Inc and PopMail Network Inc., both wholly
owned subsidiaries and positions itself as an online fan club marketing company,
connecting people with their passions. The Company accomplishes this by
providing official fan clubs and fan club email services for recording artists,
sports teams, and clients in the broadcast and entertainment industry. These fan
club services include access to preferred tickets, merchandise, exclusive news,
chat, discussion, outbound fan club and vanity email, official fan sites, and
access to discounted products related to the artist, sports team, or
personality.
PopMail.com plans to generate additional revenues and member registrations
through cross-marketing initiatives and further sales of its' fan club and email
services. Some of the Company's clients include the NBA, Ticketmaster, New York
Yankees, Denver Broncos, Dallas Stars, Radio City Music Hall, Columbia TriStar
Television, and broadcast stations from CBS, ABC, and FOX.
The Private Securities Litigation Reform Act of 1995 provides a "safe-harbor"
for forward-looking statements. Certain information included in this press
release (as well as information included in oral statements or other written
statements made by or to be made by the Company) contains statements that are
forward-looking, such as statements relating to plans for future expansion. Such
forward-looking information involves important risks and uncertainties that
could significantly affect anticipated results in the future; and accordingly,
such results may differ from those expressed in any forward-looking statement
made by or on behalf of the Company. These risks and uncertainties include, but
are not limited to, completion of definitive purchase agreements, ability to
obtain needed capital, ability to attract and retain key and other personnel,
those relating to development activities, dependence on existing management,
leverage and debt service, domestic or global economic conditions, and changes
in customer preferences and attitudes. For more information, review the
Company's filings with the Securities and Exchange Commission.
Contact: PopMail.com, Inc., Irving; Steve Spohn 972.550.5587;
[email protected]
