ATSI Reports 176 Percent Increase in Revenues Secures Factoring Agreement with CSI Business Finance, Inc.
Nov 16, 2005 1:56:00 PM 2005 PrimeZone Media Network SAN ANTONIO, Nov. 16, 2005 (PRIMEZONE) -- ATSI Communications, Inc. (OTCBB:ATSX) announced today that the company's revenues for the first fiscal quarter ended October 31, 2005 reached $2,323,000, a 176% increase over the previous year's first quarter ended October 31, 2004. The increase occurred even as the company migrated to a Fast Ethernet IP (Internet protocol) bandwidth provider in September to expand capacity to support future growth. The revenue increase resulted in a record quarter for the company that led to the fifth consecutive quarter of record revenues since the company's reincorporation. As previously announced, the company also processed a record volume of nearly 50 million VoIP minutes of use ("MOU") during the quarter, a 145% increase over results for the previous year's first quarter.
ATSI also announced today that the company has entered into an accounts receivable factoring agreement with CSI Business Finance, Inc. (OTCBB:CSIB). The financing arrangement will provide ATSI with access to capital to fund its growth initiatives and allow the company access to additional capital in the future as revenues increase.
Tim Connolly, CEO of CSI Business Finance stated, "The purpose of this funding is to provide ATSI with working capital to facilitate expansion of the company's business model. We're impressed with ATSI's management team and look forward to funding their future growth."
Arthur L. Smith, president and CEO of ATSI Communications added, "The financing with CSI Business Finance was secured at an opportune time for ATSI. The factoring agreement will provide us with increased flexibility as it pertains to cash management and allow us to capitalize on opportunities in the future that we were not able to benefit from in the past."
ATSI Communications, Inc. is an emerging global VoIP carrier serving rapidly expanding markets in Asia, Europe, the Middle East and Latin America, with an emphasis on Mexico. ATSI believes that it has clear advantages over its competition through its strategic partnerships with established foreign carriers and network operators, interconnection and service agreements, and its unique concession license in Mexico.
CSI Business Finance, Inc. provides equipment leasing and other forms of business lending to public and private companies. CSI Business Finance was formerly a subsidiary of Corporate Strategies Merchant Bankers and is now a publicly traded company trading under the ticker symbol CSIB.
Except for the historical information contained herein, the matters discussed in this release include certain forward-looking statements, which are intended to be covered by the safe harbor provided by Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. We have identified forward-looking statements by using words such as "expect," "believe," "should," "may," "intend" and "anticipate" or words of similar import. Those statements include, but may not be limited to, all statements regarding our management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. Although we believe our expectations are reasonable, our operations involve a number of risks and uncertainties, and these statements may turn out not to be true. These risks and uncertainties include the assumption that we will continue as a going business; our inability to predict or anticipate changes in regulations or the actions of domestic and foreign governments; and the continued availability of funds in amounts and on acceptable terms. More detailed information about ATSI Communications, Inc. is available in the company's public filings with the Securities and Exchange Commission. We believe that the assumptions underlying the forward- looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to our management. We assume no obligation to update any forward-looking statements, except as required by law.
CONTACT: The Eversull Group Jack Eversull (972) 991-1672 (972) 991-7359 (fax) E-mail: jack*theeversullgroup.com Web Site: www.atsi.netPosts: 1533 | From: jacksonville, nc, usa | Registered: Dec 2004
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