SOURCE: IPtimize, Inc.

October 05, 2007 16:30 ET

IPtimize Authorizes 1-for-3 Reverse Stock Split

Effective Date of Reverse Stock Split Is October 10, 2007

DENVER, CO--(Marketwire - October 5, 2007) - IPtimize, Inc. (PINKSHEETS: IPZE) ("IPtimize" or the "Company"), a broadband voice and data service provider, announced today that the Board of Directors has approved a 1-for-3 ("Reverse Split"). IPtimize common stock will begin trading on a reverse-split basis on October 11, 2007. As a result of the reverse stock split, every three shares of IPtimize common stock will be combined into one share of IPtimize common stock. The Reverse Split affects all common stock, warrants and common stock underlying the Series A and Series B Preferred Stock outstanding immediately prior to the close of business on October 10, 2007 ("Effective Time").

The Reverse Split will become effective on Wednesday, October 10, 2007 (the "Effective Date"). Commencing on the Effective Date our Common Stock will become eligible to trade on a post-Reverse Split basis. After giving effect to the rounding of fractional shares of New Common Stock as explained below, there will be no material differences between the shares of Old Common Stock prior to the Effective Date of the Reverse Split and the shares of New Common Stock to be outstanding after the Effective Date of the Reverse Split.

Ratio and Fractional Shares

The ratio of the Reverse Split is one-for-three. Accordingly, all shareholders holding more than one "old" share will receive one "new" share for every three "old" shares held by them on the Effective Date. With the exception of persons who would receive less than one "new" share, all fractional shares will be rounded up and one whole share will be issued. Shareholders who would otherwise receive less than one "new" share will be paid cash based on the closing bid price on October 10, 2007, the day the reverse stock split is implemented. As previously indicated, the Effective Date of the Reverse Split shall be October 10, 2007.

About IPtimize, Inc.

IPtimize is a Denver-based broadband voice and data service provider that provides a simplified and cost-effective turnkey solution to small and medium-sized businesses (SMBs) and select industry channels. IPtimize distinguishes itself from both conventional Telcos and discount Voice over Internet Protocol (VoIP) retailers by delivering managed, business grade service -- agnostic of broadband provider or equipment. The Company possesses a portfolio of VoIP-based communications solutions -- including Hosted VoIP (Voice Pilot(SM)), Telephone Line Replacement (VoIP Connect(SM)) and VoIP business communication systems -- that help customers improve productivity, reduce costs and minimize risks. Please visit:


This news release contains forward-looking statements, including statements that include the words "believes," "expects," "anticipate," or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from those expressed or implied by such forward-looking statements. Factors that may affect these forward-looking statements include, among others, our ability to raise capital, the decisions of third parties over which we have no control, the state of the telecommunications industry, technological changes and other factors set forth from time to time in our public statements. This news release speaks as of the date first set forth above and the Company assumes no responsibility to update the information included herein for events occurring after the date of this news release.

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