NEWS RELEASE
Tony Squeglia
Quentra Networks, Inc.
(310) 235-0328
e-mail: [email protected]
Quentra Networks Files Petition for Chapter 11 Bankruptcy Protection
Los Angeles, CA - December 15, 2000 - Quentra Networks, Inc. (Nasdaq:QTRA), a
provider of localized residential e-commerce and telecom services, today
announced that it has filed a petition for Chapter 11 protection with the U.S.
Bankruptcy Court for the Central District of California.
"We have taken this step as part of an on-going effort to restructure and
ultimately strengthen the Company's financial condition," said Bruce Ballenger,
Quentra's recently appointed chief executive officer. "Our goal is the rapid
development and execution of plans that will deliver value to our stakeholders.
We believe we will be able to reorganize Quentra to provide maximum value to our
creditors and shareholders as well as to be a profitable and successful
company."
"Quentra will continue to maintain normal business operations for its customers.
Our core business going forward will be the delivery of bundled e-commerce and
telecom services from HomeAccess. Thanks to the diligent efforts of our
employees, vendors, marketing partners and customers, we are currently
conducting final testing and will be delivering the first set of Web phones for
the HomeAccess deployment in Portland, OR. We expect to initiate that deployment
shortly and expect to ramp up quickly to meet the level of anticipated demand,"
said Ballenger.
Quentra recently announced it has taken actions to significantly lower its
operating expenses by reducing the size of its workforce, primarily in its
retail and international telecom operations and plans to consolidate the
majority of the Company's remaining operations and employees. In addition, the
Company previously announced that it is actively pursuing options that could
result in the divestiture of significant portions of its telecom businesses,
which could further reduce operating losses.
About Quentra Networks, Inc.
Based in Los Angeles, CA, Quentra Networks, Inc. (Nasdaq: QTRA) provides
localized, residential e-commerce services using Internet appliances such as Web
phones and wireless personal digital assistants (PDAs) as well as
telecommunications services. Quentra develops and markets software systems that
enable residential consumers to connect with multiple Internet services and
local vendors. Consumers are provided with a "personal portal" to local
electronic content and services, including local and long distance calling,
messaging, news and information, financial services, bill presentation and
payment, travel and entertainment, directory search, shopping as well as
personal productivity services. For more information on Quentra, please visit
the Company's Web site: http://www.quentra.net or call 1-310-235-0310.
The statements in this news release may be considered "forward looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995 and involve known and unknown risks and uncertainties, which may cause
the Company's actual results in future periods to be materially different from
any future performance suggested in this news release. Readers are cautioned not
to place undue reliance on these forward-looking statements that speak only as
of the date hereof. The Company undertakes no obligation to publicly release the
result of any revisions to these forward-looking statements that may be made to
reflect events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events. For more complete information, please refer
to the Company's Form 10-K, Form 10-Q and other filings with the SEC.
