Exhibit 99.1
Company Press Release
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ARINCO COMPUTER SYSTEMS, INC. LEADS
FIRST ROUND INVESTMENT IN BROADSTREAM.COM, INC.
EastWest VentureGroup Joins in Backing Innovative Streaming Media
Management Company
GREENWICH, Conn.--(BUSINESS WIRE)--July 5, 2000--Arinco Computer Systems, Inc.
("Arinco") (NASDAQ:ARCU.OB - news) today announced that it has led a first round
investment, and acquired a control position, in Broadstream.com, Inc.
("Broadstream"), the first-to-market leader in streaming media management
services. With demand for streaming media growing at exponential rates,
Broadstream's solutions address critical needs for delivery of high quality,
fault tolerant distribution for streaming content and data.
Arinco was joined in its investment in Broadstream by EastWest VentureGroup
("EastWest"), as well as other firms and individuals. The capital infusion will
be used to complete development of and launch Broadstream's leading edge
streaming media management software and infrastructure.
The control position in Broadstream is Arinco's first acquisition since raising
new capital and installing new management in March 2000. Arinco's strategy is to
acquire positions in innovative Internet and wireless service and infrastructure
companies. Michael Gleason, Arinco's Chairman, stated, "This investment is the
first step in our new strategy. With the explosive growth in broadband access
and demand, we believe Broadstream is well positioned to deliver critical
services to a rapidly expanding universe of content and infrastructure
providers. We look forward to a successful relationship."
Broadstream's CEO, Tony Rogers, stated, "This new capital and our experienced
partners allow us to accelerate the implementation of our solutions through the
build-out of our infrastructure and the completion of our management and
marketing team." Broadstream was founded in January 2000 by Tony Rogers and John
Kaufman, two pioneers in the implementation of streaming media management
technologies and systems. The founders were previously key participants in
streaming media initiatives at Disney and Time Warner. Broadstream is
headquartered in Los Angeles, CA.
About Arinco
Arinco is a public company (NASDAQ:ARCU.OB - news) which acquires control
positions in public and private companies using both cash and equity. With a
focus on firms that build and service the "new economy" with leading edge
solutions, Arinco's strategy is to acquire, integrate and actively manage these
companies in partnership with other strategic investors.
Headquartered in Greenwich, Connecticut, with personnel in San Francisco and Los
Angeles, Arinco's major shareholders include partners of FG II Ventures, LLC,
and The Culmen Group. Arinco's management team has extensive experience
investing in and managing new and innovative companies, both domestically and
internationally.
About EastWest
EastWest VentureGroup (www.eastwestvg.com) is a $250 million venture fund
focused on early stage investments in Digital Media Infrastructure,
technologies, applications, and services that enable the next-generation of
communications, information, commerce, and entertainment.
Headquartered in Los Angeles, EastWest is led by Merv Adelson, co-founder of
Lorimar Telepictures, and a team of experienced principals with deep experience
in the media, cable, and entertainment industries. EastWest's investments
include such innovative companies as Internap, Loudeye, Digital River, eMotion
and Veon.
Special Note Regarding Forward-Looking Statements:
This press release contains "forward-looking statements" within the meaning of
the U.S. Federal securities laws, including statements concerning anticipated
future events and expectations that are not historical facts. The
forward-looking statements in this press release are subject to substantial
risks and uncertainties, which could cause actual results to differ materially
from those expressed in or implied by the statements herein. Accordingly, there
can be no assurance that the actual results will conform to the forward-looking
statements in this press release.
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