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SAN DIEGO, CA, April 11, 2007 – InfoSonics Corporation (NASDAQ: IFON), one of the premier providers and distributors of wireless handsets and accessories in Latin America and the United States, announced today that has begun delivery of the verykool™ brand into Colombia and Venezuela. In Colombia InfoSonics has established a local sales presence and direct relationships with the carriers in the country, and in Venezuela the business will be conducted from InfoSonics’ Miami facility. The Miami facility is the center for InfoSonics Latin America sales, marketing and engineering efforts for both Central and South America. The initial product shipped into both countries is the verykool™ i200, with additional verykool™ products being introduced to carriers in both countries.
“We continue to leverage the solid foundation we have built as we expand geographically. By opening channels in Colombia and Venezuela we enter two new countries, which is possible in part due to the investments we have made in recent quarters,” said Joseph Ram, President and Chief Executive Officer of InfoSonics. “The shipment of the verykool™ products in two new countries will assist us in continuing to build the verykool™ brand across the Latin American region.”
About InfoSonics Corporation
InfoSonics is one of the premier providers and distributors of wireless handsets and accessories serving Latin America and the United States. For the wireless telecommunications industry, InfoSonics provides flexible and cost effective solutions, including purchasing, marketing, selling, warehousing, order assembly, programming, packing, shipping, and delivery. InfoSonics supports manufacturers in moving their products to agents, resellers, distributors, independent dealers, retailers and wireless network operators in the U.S. and Latin America. For additional information, please visit www.infosonics.com.
Statements contained in this press release may be "forward-looking" statements." These statements may use forward-looking terms, such as "anticipates," "believes," "could," "estimates," "may," "should," "will," their negatives or other variations on these terms, or similar terms. The matters in this release that are forward-looking statements, including without limitation, statements about future net sales, sales levels, operating income and margins, wireless handset sales, stock-based compensation expense, gain (loss) in value of derivatives, cost synergies, operating efficiencies, profitability, market share and rates of return, are based on current management expectations that involve certain risks and uncertainties, which, if realized, in whole or in part, could cause such expectations to fail to be achieved and have a material adverse effect on our business, financial condition or results of operations. Some of these risks and uncertainties, include, without limitation: (1) intense competition, regionally and internationally, including competition from alternative business models, such as manufacturer-to-carrier sales, which may lead to reduced prices, lower sales or reduced sales growth, lower gross margins, extended payment terms with customers, increased capital investment and interest costs, bad debt risks and product supply shortages; (2) inability to secure or maintain adequate supply of competitive products on a timely basis or on commercially reasonable terms from suppliers; (3) foreign exchange rate fluctuations, devaluation of a foreign currency, adverse governmental controls or actions, political or economic instability, or disruption of a foreign market, and other related risks of our international operations; (4) the ability to attract new sources of profitable business from expansion of products or services or risks associated with entry into new markets, including geographies, products and services; (5) an interruption or failure of our information systems or subversion of access or other system controls may result in a significant loss of business, assets, or competitive information; (6) an extended general economic downturn; (7) loss of business from one or more significant customers; (8) customer and geographical sales and accounts receivable concentration risk, including in Latin America; (9) rapid product improvement and technological change resulting in inventory obsolescence; (10) future terrorist or military actions; (11) the loss of a key executive officer or other key employees; (12) changes in consumer demand for multimedia wireless handset products and features; (13) failure to adequately adapt to industry changes, including consolidation of the wireless handset carrier market, and to manage potential growth and/or contractions; (14) future periodic assessments required by current or new accounting standards such as those relating to long-lived assets, goodwill and other intangible assets and expensing of stock options and valuing gain or loss on fair value of derivatives; and (15) seasonal buying patterns; (16) the impact, if any, of changes in EITF 00-19 or SFAS 133 guidance as it relates to warrants and registration rights; and (17) any uninsured damages, legal fees and costs relating to current and future pending and threatened litigation. Our actual results could differ materially from those anticipated in our forward-looking statements. InfoSonics does not intend to update any forward-looking statements. For a further discussion of significant factors to consider in connection with forward-looking statements concerning InfoSonics, see "Item 1A. Risk Factors" of InfoSonics’ Annual Report on Form 10-K for the year ended December 31, 2005 and "Part II. Item 1A. Risk Factors" of InfoSonics’ Quarterly Report on Form 10-Q for the quarter ended March 31, 2005.
Contacts:
Jeffrey A. Klausner
Chief Financial Officer
ir@InfoSonics.com
858-373-1600
John Mills or Allyson Pooley
Integrated Corporate Relations
jmills@icrinc.com or apooley@icrinc.com
310-954-1100
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