SAN DIEGO, CA, Aug 11, 2006 (MARKET WIRE via COMTEX) -- Unico, Incorporated (UCOI : 0.05, +0.00, +1.9% ) , a natural resource company in the precious metals mining sector, today announced a reverse split of its issued and outstanding common stock on the basis of one share of common stock to be issued for each 100 shares issued and outstanding. Unico has been assigned a new stock symbol and will now trade under the symbol "UCOI."
As a result of the reverse stock split, Unico has approximately 49,090,965 shares of common stock issued and outstanding, without taking in consideration the rounding up of fractional shares. One whole share has been issued in place of each fractional share that resulted from the reverse split. No cash is being paid for fractional shares. New certificates of common stock are not being issued, and no action is required by shareholders as a result of the reverse split.
At a special meeting of shareholders held on February 2, 2006, the holders of a majority of the company's common stock approved an authorization for the Board of Directors, at its discretion, to effect a reverse stock split of Unico's common stock at a ratio of up to one-for-one hundred. As stated in the proxy statement for the special meeting of shareholders, Unico's Board of Directors proposed the authorization for the reverse split with the belief that it would increase the trading price of the common stock. An increase in the price of the common stock should, in turn, generate greater investor interest in the common stock, thereby enhancing the marketability of the common stock to the financial community. In addition, the resulting reduction in the number of issued and outstanding shares of common stock provides the company with additional authorized but un-issued shares which can be utilized for future financing, acquisitions or mergers or to otherwise carry out the company's business objectives.
"This reverse stock split is a part of Unico's strategy to build value in its subsidiary operations, primarily through mining and processing activities in its holdings," said chief executive officer Mark A. Lopez. "Creating a capital structure that allows Unico to access financing that is being applied directly to the expansion of its business, specifically the operations at the Deer Trail Mine and expected future operation at its other subsidiary mine properties.
"In partnership with our shareholders, who approved this action, we now look forward to continuing the progress that has been made over the past several months. Our focus will be on executing Unico's long-term strategy to access the substantial value believed to be in our subsidiary mine properties, as well as any additional acquisitions that the company may consider," commented Mr. Lopez.
"Our recent acquisitions of the Clyde and Crown Point claims demonstrate that Unico is not only executing a comprehensive program to build value in its subsidiary companies, but it further validates the rationale given for additional flexibility in the company's capital structure," Mr. Lopez added.
Shareholders who would like to sign up to receive information by email directly from Unico, Inc., particularly when new press releases, SEC filings or other information is disclosed, are asked to visit the company's website at www.uncn.com/IR/mailinglist.asp.
About Unico, Inc.
Unico, Inc. (UCOI: 0.05, +0.00, +1.9% ) is a publicly traded natural resource company in the precious metals mining sector that is focused on the exploration, development and production of gold, silver, lead, zinc, and copper concentrates at its three mine properties: the Deer Trail Mine, the Bromide Basin Mine and the Silver Bell Mine. For more information, please visit www.uncn.com.
Forward-Looking Statements
This news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and such Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The company may experience significant fluctuations in operating results due to a number of economic, competitive and other factors. These factors could cause operation results to vary significantly from those in prior periods, and those projected in forward-looking statements. Information with respect to these factors, which could materially affect the company and its operations, are included on certain forms the company files with the Securities and Exchange Commission. Contacts: Gemini Financial Communications for Unico, Inc. A. Beyer 951-587-8072 Contact via http://www.marketwire.com/mw/emailprcntct?id=CBAB9FAF6101DDF2www.uncn.com OTC Financial Network Rick McCaffrey 781-444-6100, x625 Contact via http://www.marketwire.com/mw/emailprcntct?id=F65F7A2765FEF83Fwww.otcfn.com/uncn SOURCE: Unico, Inc. http://www.uncn.comhttp://www.otcfn.com/uncn Copyright 2006 Market Wire, All rights reserved.
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