jmhollen
21 years ago
Company Profile
GoAmerica was founded in 1996 as a provider of innovative wireless data solutions for corporate customers. The company is currently focused on providing a broad mix of communications products and services to consumers who are deaf or hard of hearing, through its Wynd Communications subsidiary.
Today, the Company's services enable people who are deaf or hard-of-hearing to communicate more effectively through wireless messaging across an array of integrated means including: text-telephone devices ("TTYs"), e-mail, fax, alphanumeric pager, and voice telephones. These wireless services are device and network independent.
The Company markets its services indirectly through relationships with dealers and channel partners and directly through telesales, event sales and the company's online shopping site: Deafwireless Superstore (http://www.deafwireless.com).
GoAmerica's broader vision is to enhance the quality of life of people who are deaf or hard of hearing by being their premier provider of innovative communication services.
Market Focus
According to the American Speech Language and Hearing Association, there are an estimated 28 million consumers in the United States who are deaf or hard-of-hearing (http://www.asha.org). The Company estimates that approximately 1 million of these 28 million people are profoundly deaf and unable to benefit from voice-based communications technologies. Of the 28 million people with hearing loss, not all are ideally suited for the company’s wireless services, however as the product mix of the company expands to include other forms of communications technology, the company's addressable market will expand further.
A majority of the Company's target customer base has historically relied primarily on a TTY to make and receive calls both at home and at work. TTY devices have been in use in the U.S. since 1964, offering connectivity to landline telephone services. The Americans with Disabilities Act of 1990 gave rise to the formation of Telecommunications Relay Services (TRS), which are third-party translation services that enable non-deaf consumers to communicate with deaf users of TTY devices. Two significant technology developments in the Telecommunications Relay Services area make this an attractive expansion area for GoAmerica; namely the evolution of Internet Protocol Relay (IP Relay) and Video Relay. Both of these new technologies are changing the way deaf Americans communicate and has created an opportunity to tap into this market of federally reimbursable services.
With its brand leadership in a well defined niche, the company is poised for growth. Additionally, delving further into Telecommunications Relay Services and reaching the broader hard of hearing market with new services, will provide the company with new sources of revenue.
jmhollen
21 years ago
GoAmerica Obtains $14.5 Million in Private Placement Commitments
HACKENSACK, N.J., Dec. 19 /PRNewswire-FirstCall/ -- GoAmerica, Inc.
(Nasdaq: GOAM) announced today that the Company has executed definitive
agreements with multiple investors providing for the investors to purchase
96,666,666 shares of common stock for an aggregate purchase price of $14.5
million in a private placement offering. The cash infusion will allow the
Company to fund working capital needs, grow its core Wynd Communications
business and launch new services for Wynd's constituency of people who are
deaf or hard of hearing.
The proposed transaction has been approved by GoAmerica's Board of
Directors and is being presented to GoAmerica's stockholders for approval at a
special stockholders meeting currently expected to be held in late January
2004 and is subject to certain standard conditions. The $14.5 million to be
paid to the Company includes an immediate $1 million in secured bridge loan
financing, which loan is not dependent on stockholder approval. In connection
with this private placement, GoAmerica successfully negotiated new
arrangements with its largest creditors, including the previously announced
agreements with its primary landlord. These arrangements have released the
company from approximately $12 million of debt and contingent liabilities.
The securities sold in the private placement have not been registered
under the Securities Act of 1933, as amended (the "Act"), and may not be
offered or sold in the United States in the absence of an effective
registration statement or exemption from the registration requirements under
the Act. In accordance with the terms of the Purchase Agreement entered into
by the Company and the investors in connection with this financing, the
Company has agreed to file a proxy statement with the Securities and Exchange
Commission to seek stockholder approval of the financing. In accordance with
the terms of the Registration Rights Agreement entered into by the Company and
the investors in connection with this financing, the Company has agreed to
file a resale registration statement on Form S-3 promptly after the approval
of the transactions by the Company's stockholders.
About GoAmerica
GoAmerica, Inc.'s aim is to improve the quality of life for people who are
deaf or hard of hearing by being their premier provider of innovative
communication services. These technology-based services are delivered through
GoAmerica's wholly owned subsidiaries, including Wynd Communications
Corporation, the leading provider of wireless telecommunications services for
people with hearing loss. Wynd Communications is a winner of the California
Governor's Award for Excellence in Universal Design and Technology and has
been recognized by both the Clinton and Bush Administrations for its
commitment to Americans with disabilities. For more information, visit
www.goamerica.net or contact GoAmerica directly at TTY 800-549-2800, voice
805-781-6000.
The statements contained in this news release that are not based on
historical fact -- including the statements regarding 2003, 2004 and 2005
revenues and profitability, subscriber metrics, the Company's plans and
strategies, market opportunities, anticipated service offerings and other
future plans and objectives, are "forward-looking statements" within the
meaning of Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements may be identified by the use of forward-looking
terminology such as "may", "will", "expect", "estimate", "anticipate",
"continue", or similar terms, variations of such terms or the negative of
those terms. Such forward-looking statements involve risks and uncertainties,
including, but not limited to: (i) our limited operating history; (ii) our
reduced capital resources and need for additional liquidity; (iii) our ability
to fund our operating needs through available cash reserves; (iv) our ability
to raise additional equity and renegotiate liabilities before our cash
resources are fully depleted; (v) the impact on our business from our
receiving a "going concern" opinion from our independent auditors; (vi) our
ability to successfully implement our strategic alliance with EarthLink; (vii)
our dependence on EarthLink to provide billing, customer and technical support
to our subscribers; (viii) our ability to respond to the rapid technological
change of the wireless data industry and offer new services; (ix) our
dependence on wireless carrier networks; (x) our ability to respond to
increased competition in the wireless data industry; (xi) our ability to
integrate acquired businesses and technologies; (xii) our ability to leverage
strategic alliances to generate revenue growth; (xiii) our ability to increase
or maintain gross margins, profitability, liquidity and capital resources; and
(xiv) our ability to manage our remaining operations; and (xv) difficulties
inherent in predicting the outcome of regulatory processes. Such risks and
others are more fully described in the Risk Factors set forth in our filings
with the Securities and Exchange Commission. Our actual results could differ
materially from the results expressed in, or implied by, such forward-looking
statements. Each reference in this news release to "GoAmerica", the "Company"
or "We", or any variation thereof, is a reference to GoAmerica, Inc. and its
subsidiaries. "GoAmerica", "Go.Web", "Go.Web Enterprise Server", "Mobile
Office", and "OnPrem" are trademarks or service marks of GoAmerica, Inc.
"WyndTell", "Deafwireless", and "Deafwireless Superstore" are trademarks or
service marks of Wynd Communications Corporation. Other names may be
trademarks of their respective owners.
This press release is not a proxy statement and the Board of Directors of
the Company is not soliciting any proxy pursuant to this press release. The
Board of Directors presently intends to solicit proxies from the Company's
stockholders, by filing a proxy statement with the SEC and delivering the
proxy statement to the stockholders. If the Board of Directors does so,
please read it carefully, because it will contain important information about
the Company and the matters that the Board will ask the stockholders to
consider and act upon. A description of the interests of the members of the
Board of Directors in the Company is set forth in the proxy statement filed by
the Company in connection with its December 19, 2003 annual meeting of
stockholders.
GoAmerica files reports, proxy statements and other information with the
SEC under the Securities Exchange Act of 1934, as amended. The SEC maintains
an Internet world wide web site at http://www.sec.gov, that provides access,
without charge, to such reports, proxy statements and other information. You
can also obtain such reports, proxy statements and other information, without
charge, from GoAmerica, by contacting Investor Relations, telephone:
201-996-1717, facsimile: 201-996-1772.
SOURCE GoAmerica, Inc.
CONTACT: Josh Rochlin, SVP, Strategy and Corporate Development of
GoAmerica, Inc., +1-201-996-1717, jrochlin@corp.goamerica.net/
Web site: http://www.goamerica.net
jmhollen
22 years ago
EarthLink and GoAmerica Announce a Strategic Alliance
EarthLink to Purchase a Segment of GoAmerica's Subscriber Base
ATLANTA and HACKENSACK, N.J., Sept. 26 /PRNewswire-FirstCall/ -- EarthLink, Inc. (Nasdaq: ELNK) one of the nation's leading Internet service providers, and GoAmerica, Inc. (Nasdaq: GOAM), a leading wireless data solutions provider, today announced a strategic alliance to develop, market and support a comprehensive suite of enterprise and consumer wireless data services. GoAmerica today also announced plans to realign its business around its award-winning Go.Web(TM) technology and value-added services, wireless data expertise and leading distribution relationships.
As part of the GoAmerica-EarthLink alliance, GoAmerica will sell its cellular digital packet data (CDPD)-networked subscribers and a segment of its Cingular and Motient network subscriber base to EarthLink, which will continue to offer these subscribers GoAmerica's services bundled with airtime, billing and customer support. GoAmerica and EarthLink will work together to ensure a smooth transition of these subscribers and expect to complete the transition by the end of this year. Financial terms of this subscriber acquisition were not disclosed at this time.
Other key components of this alliance include the following:
-- GoAmerica will market and sell all EarthLink mobile solutions through
GoAmerica's extensive sales force and channel partnerships. In doing
so, EarthLink will leverage GoAmerica's strong ties to the enterprise
market to expand its presence in that arena.
-- EarthLink will become GoAmerica's provider for billing, customer care
and network services.
-- Both companies will collaborate on technology development to meet the
needs of both enterprise and consumer wireless data users. This
collaboration will allow EarthLink to provide mobile services to
current and future customers on a comprehensive range of platforms.
It also will enable EarthLink to better leverage its infrastructure to
pursue carrier partnership opportunities that bundle EarthLink's
traditional ISP services for mobile customers (either in an EarthLink-
branded or wholesale agreement capacity).
-- EarthLink will utilize GoAmerica's Go.Web technology as a key
component for EarthLink's next-generation wireless Web offerings, and
GoAmerica will further develop EarthLink-branded wireless data
services for the wireless consumer market.
"Wireless plays an important role in EarthLink's long term growth strategy," said Mike Lunsford, executive vice president of EarthLink's Customer Experience and EarthLink Everywhere initiatives. "GoAmerica's pioneering technology and extensive enterprise relationships will let us better scale the breadth and depth of our wireless products and services. This alliance will help us to continue delivering compelling, value-added solutions with best-in-class support across all major wireless network technologies and device platforms."
"We are thrilled to enter into such a comprehensive strategic relationship with EarthLink," said Aaron Dobrinsky, CEO of GoAmerica. "EarthLink's extensive wireless offerings, strong reputation, and leadership in delivering value-added services make EarthLink an excellent partner for GoAmerica. Together, we can offer a powerful combination of expertise in behind-the- firewall technology and 'white glove' end-user support to both EarthLink customers and the corporate enterprise."
About GoAmerica
GoAmerica, Inc. is a leading wireless data solutions provider based in Hackensack, NJ. GoAmerica enables its individual and business subscribers to access remotely corporate databases and intranets, email and the Internet by delivering its proprietary technology through a wide variety of mobile computing and wireless network devices. Through its Wireless Internet Connectivity Center and strategic partnerships, GoAmerica offers comprehensive and flexible mobile data solutions for wireless access by providing wireless devices, customer care, and network services. For more information, call 888-462-4600 or visit www.goamerica.net .
About EarthLink
EarthLink is the Internet service provider (ISP) solution for an impatient world. Headquartered in Atlanta, EarthLink has earned a national reputation for outstanding customer service and suite of online products and services. According to J.D. Power and Associates, EarthLink is ranked highest in customer satisfaction among dial-up ISPs and is tied for highest in customer satisfaction among high-speed ISPs. Serving approximately 4.9 million subscribers, EarthLink offers what every user should expect from their Internet experience: high quality connectivity, minimal drop-offs and ISP- generated intrusions, and customizable features. Whether it's dial-up, high- speed, Web hosting or wireless Internet service, EarthLink provides the tools that best let individuals use and enjoy the Internet on their own terms. Learn more about EarthLink through its Core Values and Beliefs [ http://www.earthlink.net/about/ourvalues/cvb/index.html ] or by calling (800) EARTHLINK and visiting EarthLink's Web site at http://www.earthlink.net .
"GoAmerica," "Go.Web," "Mobile Office" and "OnPrem" are trademarks or service marks of GoAmerica, Inc. Other names may be trademarks of their respective owners.
Safe Harbor Statement from EarthLink: Certain of the statements contained in this release are forward-looking statements (rather than historical facts) that are subject to risks and uncertainties that could cause actual results to differ materially from those described. With respect to such forward-looking statements, the company seeks the protections afforded by the Private Securities Litigation Reform Act of 1995. These risk include, without limitation, (1) that the company may fail to be competitive with existing and new competitors, (2) that the company may not retain or grow its member base, (3) that our commercial and alliance arrangements may not be as beneficial to the company as management anticipates, (4) that demand for and availability and implementation of the company's broadband services may not continue to grow and improve as expected, (5) that pricing structures which the company may charge for its services or which are charged generally in the market may negatively affect revenues and earnings, (6) that churn may not improve to expected levels, (7) that the expected level of advertising, content and commerce revenues may not be achieved, (8) that prices charged to the company by its telecommunications providers may not continue to decline as expected, (9) that the company may not adequately respond to technological developments impacting the Internet, (10) that needed financing may not be available to the company if and as needed, (11) that a significant change in the growth rate of the overall U.S. economy may occur, such that consumer and corporate spending are materially impacted, (12) that a significant reversal in the trend toward increased usage of the Internet may occur, and (13) that some other unforeseen difficulties may occur. This list is intended to identify certain of the principal factors that could cause actual results to differ materially from those described in the forward-looking statements included elsewhere herein. These factors are not intended to represent a complete list of all risks and uncertainties inherent in the company's business, and should be read in conjunction with the more detailed cautionary statements included elsewhere in the company's most recent filings with the SEC.
For further information, please contact Arley Baker, Director, Corporate Communications of EarthLink, +1-626-351-7313, arleyb@corp.earthlink.net; or Ilya Welfeld, Director of Public Relations of GoAmerica, +1-201-996-1717, iwelfeld@corp.goamerica.net.
SOURCE EarthLink, Inc.
09/26/2002
CONTACT: Arley Baker, Director, Corporate Communications of EarthLink, +1-626-351-7313, arleyb@corp.earthlink.net; or Ilya Welfeld, Director of Public Relations of GoAmerica, +1-201-996-1717, iwelfeld@corp.goamerica.net
Web site: http://www.goamerica.net
Web site: http://www.earthlink.net
.
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