[August 01, 2006] The Jackson Rivers Company, Inc. Announces Financial Information on UTSI Merger; Plans for Future Growth Tweet HOUSTON, Aug. 1 /PRNewswire-FirstCall/ -- The Jackson Rivers Company, Inc. (BULLETIN BOARD: JKRI) has released the audited financial statements of UTSI International, a Houston based company that was acquired by JKRI earlier this year. UTSI provides supervisory control and data acquisition (SCADA), telecommunications and other specialized services to major pipeline operators and utility companies worldwide. As reported in our Current Report on Form 8K-A filed with the SEC on July 27, 2006, UTSI generated gross revenues of $2,811,183 and $2,603,947 in the Years 2004 and 2005 respectively. UTSI posted a net profit of $187,939 in 2004 and a net loss of $141,459 in 2005. Combined with Diverse Networks, Inc. financials, JKRI shows a pro forma annual revenue for the combined entities in 2005 of $4,568,088 and a net loss of $1,797,661. This loss reflects $1,531,727 in recapitalization costs from the merger with Diverse Networks. Without this one-time expense, the pro forma net loss for JKRI of the combined entities in 2005 would be $265,934. For more information on the restated and pro forma financials for the Company, please refer to our Current Report on Form 8K-A filed referenced above. Stated Jeffrey Flannery, CEO of Jackson Rivers Company, "UTSI International Corporation has been a leader in monitoring and information management applications for oil and gas pipeline and telecommunication companies for more than 21 years. As the worldwide market for oil and gas continues to grow in importance, Jackson Rivers is now positioned to be a part of this growth and expansion." UTSI's current customers include Shell Pipeline, Koch Industries, Panhandle Energy, New York City Transit Authority, Baltimore Gas & Electric, Louisiana Offshore Oil Port (LOOP), LLC, gasNatural, Panhandle Energy, SDG (Spain) and Sakhalin Energy Investment Company, Ltd. (Russia). The Jackson Rivers Company is currently seeking new opportunities for its services in Europe, Africa and the Far East. Daniel Nagala, President of UTSI said, "By joining Diverse Networks under the Jackson Rivers Company umbrella, UTSI will now have the support and resources to grow and manage our business so that we can profit from the many changes that are taking place in the energy industries worldwide. This is an exciting time in our industry as we are seeing opportunities in all areas of the world to apply our proven expertise and extensive capabilities. Our company wide goal is to be in a position to aggressively take advantage of these opportunities and to continue to be a leader in our industry." Stated James Nelson, President of Jackson Rivers, Inc., "This acquisition brings a solid base of business, comprised of first rate customers to Jackson Rivers. By combining UTSI with Diverse Networks, we now expect to grow and achieve profitability through our combined ability to take on new contracts and expand our services into lucrative, untapped markets both domestically and internationally. This acquisition also enhances our ability to move forward as a leader in the M2M industry, which is just beginning to emerge a major industry worldwide. Many of our competitors focus on just acquiring M2M data, but the acquisition of UTSI puts us in a strong position to develop new applications that will add tremendous value to the users of our data collection/delivery service." Further terms and conditions of the merger agreement and financial statements have been published in the recent Form 8-KA filed by the Company with the Securities and Exchange Commission. More information on Jackson Rivers Company can be found at http://www.jacksonrivers.com/. Information on Diverse Networks can be found at http://www.diversenet.com/. Information on UTSI International can be found by visiting their web site at http://www.utsi.com/. Investors are cautioned that certain statements contained in this document as well as some statements in periodic press releases and some oral statement of JKRI officials are "Forward-Looking Statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). Forward-looking statements include statements which are predictive in nature, which depend upon or refer to future events or conditions, which include words such as "believes," "anticipates," "intends," "plans," "expects," and similar expressions. In addition, any statements concerning future financial performance (including future revenues, earnings or growth rates), ongoing business strategies or prospects, and possible future JKRI actions, which may be provided by management, are also forward-looking statements as defined by the Act. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to materially differ from any future results, performance, or achievements expressed or implied by such forward-looking statements and to vary significantly from reporting period to reporting period. Although management believes that the assumptions made and expectations reflected in the forward-looking statements are reasonable, there is no assurance that the underlying assumptions will, in fact, prove to be correct or that actual future results will not be different from the expectations expressed in this report. These statements are not guarantees of future performance and JKRI has no specific intention to update these statements. The Jackson Rivers Company, Inc. CONTACT: Janet Whitehead of The Jackson Rivers Company, Inc.,+1-619-342-7449 Web site: http://www.diversenet.com/ Web site: http://www.utsi.com/ Web site: http://www.jacksonrivers.com/ [ Back To TMCnet.com's Homepage ]