Cell-Loc Location Technologies Inc.
TSX VENTURE : XCT

Cell-Loc Location Technologies Inc.

August 25, 2010 07:00 ET

Cell-Loc Location Technologies Inc. Announces Restructuring of Terms Note Receivable

CALGARY, ALBERTA--(Marketwire - Aug. 25, 2010) - Cell-Loc Location Technologies Inc. (TSX VENTURE:XCT) ("Cell-Loc") is pleased to announce a restructuring of its note receivable from Bravia Capital ("Bravia"). Pursuant to the terms of the agreement announced May 5, 2010, Cell-Loc has received to date four monthly payments of 100,000 Brazilian reais ("BR$") (approximately $59,000 Cdn.) The remaining note receivable of BR$1,200,000 was due February 2011 upon commercialization of Cell-Loc's Beacon 7 development. Cell-Loc and Bravia have agreed to restructure the payment requirement to provide Cell-Loc with monthly payments of BR$100,000 commencing September 1, 2010.

"The restructuring of the note provides Cell-Loc with a stable stream of funding which will allow the Company to execute its business plan." said Keith Bohn, Interim CEO, "Bravia has shown their confidence in the progress that we have made in the ongoing development of our Beacon 7 product through the previously announced professional services agreement. This confidence is further evidenced by their willingness to expedite the payments due under the note."

Beacon 7 is expected to significantly improve theft recovery by offering built-in intelligence to automatically alert the monitoring company when a theft is initiated. The Company is projecting that the design of the Beacon 7 will be completed by the end of Q3, 2010.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS:

Certain statements contained in this news release constitute forward-looking statements, including, without limitation, the terms and obligations of the transactions constituting the Reorganization, including the New Note, the License Agreement and the Private Placement. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Cell-Loc's control including the impact of general economic conditions, industry conditions, currency fluctuations, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and ability to access sufficient capital from internal and external sources, the inability to obtain required consents, permits or approvals, including regulatory approvals, failure to realize the anticipated benefits of the Reorganization, counter-party risks and the risk that actual results of the Reorganization will vary from the results forecasted and such variations may be material. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Cell-Loc's actual results, performance or achievement could differ materially from those expressed in or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits Cell-Loc will derive therefrom.

The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, Cell-Loc disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Cell-Loc Location Technologies Inc.
    Keith Bohn
    Interim CEO
    403.569.5700