Lingo Media Corporation
TSX VENTURE : LM
OTC Bulletin Board : LMDCF

Lingo Media Corporation

November 27, 2009 16:17 ET

Lingo Media Reports Third Quarter Results

TORONTO, ONTARIO--(Marketwire - Nov. 27, 2009) - Lingo Media Corporation (TSX VENTURE:LM)(OTCBB:LMDCF) ("Lingo Media"), a leader in online and print-based English language learning solutions, announces its financial results for the third quarter ended September 30, 2009. All figures are reported in Canadian Dollars, and are in accordance with Canadian Generally Accepted Accounting Principles.

Business Highlights

  • Acquired Parlo.com, the platform for our new, fee-based, English training and assessment business in China and globally, targeting corporations, governments and educational and training institutions.

  • Expanded our online offerings to include fee-based training solutions which are going to be marketed under the brand Parlo. The offerings will include a reporting platform and Learning Management System (LMS) as part of the training solution and are expected to be completed by January 2010. Parlo will also develop and launch a consumer website to offer an off-the-shelf solution.

  • Completed a realignment of its operations to ensure that each business unit can be positioned as a stand alone unit, including our English language learning ("ELL") print-based publishing, our ELL free to user/ad supported online community (Conversational Advertising(TM)), and our ELL fee-based training and assessment service. 

  • Modified our corporate overhead structure to take advantage of outsourcing as a way to best manage costs, skills, and efficiencies. Additionally, Lingo Media is working with a leading software developer in India whose capabilities include state of the art design, code, test and launch of English language learning solutions along with extensive experience in creative and branding.

  • Successfully co-published Lingo Media's 319 millionth unit through our Lingo Learning Inc. subsidiary with publishing partner, People's Education Press.

Michael Kraft, President & CEO of Lingo Media said, "During this past quarter we have been very active in realigning our core divisions and finding opportunities to reduce costs while maintaining our goal to deliver the best technology-based solutions for learning English. We also purchased a well known English language learning brand, Parlo, a fee-based online portal that is already attracting attention for us in the education space. Our focus has been to identify and create products to enhance the English learning experience online, to build partnerships to enable Lingo Media to access English learners around the world and to enhance our abilities to sell our services. With the imminent launch of Parlo along with our Speak2Me.cn portal, we believe we are positioned to move ahead in executing on our business and revenue goals."

Financial Highlights

Third quarter revenue from continuing operations was $183,624 compared to $32,415 in Q3 2008, a fivefold increase over same period last year as the Company begin to recognize revenue from its Online English Language Learning segment. Loss from continuing operations for the quarter ended September 30, 2009 was $1,050,338 or $0.08 per share compared to a loss of $662,760 or $0.07 per share for the quarter ended September 30, 2008. Loss from discontinued operations from the quarter ended September 30, 2009 was $nil or $nil per share compared to a loss from discontinued operations of $84,964 or $0.01 per share for the quarter ended September 30, 2008. Net loss for the quarter ended September 30, 2009 was $1,050,338 or $0.08 per share compared to a net loss of $747,725 or $0.08 per share for the quarter ended September 30, 2008. Net loss for the quarter ended September 30, 2009 includes non-cash amortization expense of $463,421 and stock-based compensation expense of $118,735.

The Financial Statements for the third quarter ended September 30, 2009 and Management Discussion and Analysis are available at www.sedar.com.

About Lingo Media (TSX VENTURE:LM)(OTCBB:LMDCF)

Lingo Media Corporation (www.lingomedia.com) is a diversified online and print-based education products and services corporation focused on English language learning ("ELL") on an international scale through its Lingo Learning Inc. subsidiary, a print-based publisher of ELL programs in China, Speak2Me (www.speak2me.com/advertising), an online ELL community, and Parlo, which today is an integrated language and cultural immersion portal (www.parlo.com). Lingo Media has formed successful relationships with key government and industry organizations, establishing a strong presence in China's education market of 250 million students. The Company continues to broaden its presence in China as well as other major ELL markets, to provide access to world-class English learning solutions on a global scale

Portions of this press release may include "forward-looking statements" within the meaning of securities laws. Forward-looking statements contained in this press release are made pursuant to the safe harbour provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and involve certain risks and uncertainties. Actual results may vary materially from management's expectations and projections and thus readers should not place undue reliance on forward-looking statements. Certain factors that can affect the Company's ability to achieve projected results are described in the Company's filings with the Canadian and United States securities regulators available on www.sedar.com or www.sec.gov/edgar.shtml.

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