SOURCE: Paivis Corp.

May 31, 2007 10:47 ET

Paivis Corp. Soldifies an Increase in Distribution Locations by 35%, Confirms Substantial Progress With Acquisition Targets and Comments on Online Trading

ATLANTA, GA--(Marketwire - May 31, 2007) - Paivis Corp. ("PAIVIS" or the "Company") (OTCBB: PAVC) is pleased to confirm it has solidified a more strategic business relationship with W.L. Petrey Wholesale ("Petrey"), an existing long term customer of the Company. This new service level with Petrey will upgrade the existing technology infrastructure to a more robust platform, allowing more profitable product lines to be sold by the Company's subsidiary Trucall Solutions, Inc. to Petrey and increase the number of locations for the distribution of Paivis prepaid long distance phone cards and other products from a total of 5500 locations to 7500 locations, an increase of approximately 35%. The Company anticipates this upgrade with Petrey will be a significant boost in annual revenue in months to come. Petrey is committed to price, placement and performance of product that bring loyalty back to its customer stores. More information about Petry can be found at www.petrey.com.

Warren Jackson, President of Pretry Wholesale, comments: "We are impressed with the future plans for Paivis and are pleased to be able to be part of the growth ahead."

Company Tenders Purchase Offer

The Company also confirms it is in substantive negotiations with two acquisition targets and has tendered offers to purchase both companies for cash and stock.

These targets sell primarily prepaid long distance phone cards and prepaid cellular phone products.

The acquisitions have provided unaudited statements as part of our due diligence which has concluded to us that both targets have sustainable profitable business models that fit well in Paivis' business plan objectives.

Greg Bauer comments, "We have been in discussions and negotiations with both target companies for several months and we all recognize the benefits of merging our companies, particularly the upside of our combined distribution base. We take great pride in providing these companies with a platform on which to expand. Management feels confident the discussions will progress to agreements and subsequent closings."

Company comments on Online Trading

Finally, the Company has received numerous complaints from current and potential shareholders who have been denied the opportunity to purchase shares of Paivis common stock in the open market through their online trading accounts. The Company is undertaking an investigation into how frequent this may be occurring, which online brokerage firms are denying shareholders the opportunity to purchase our shares in the open market and why.

Greg Bauer, our Chief Executive Officer comments that "We are unaware of any legitimate reason why Paivis' shares that are quoted on the Electronic Bulletin Board are unavailable for purchase by certain online brokerage firms. As a part of its inquiry, the Company will be contacting certain online trading firms to determine if and why certain firms may be denying customers the opportunity to purchase common shares in the open market."


About Paivis Corp.

Paivis Corp. is a wholesale telecommunications carrier that through its subsidiaries sells prepaid "point-of-sale activated" and live cards. Paivis generates its revenues through the sale of prepaid calling cards and wireless services, and international wholesale termination. Products are sold throughout many of the country's major retail outlets, including Duane Reade, 7 Eleven, and Chevron.

FORWARD-LOOKING STATEMENTS

The Private Securities Litigation Reform Act of 1995 (the "PLSLRA") provides a "safe harbor" for forward-looking statements so long as those statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those projected in such statements.

Statements contained herein that are not based on historical fact, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "could" and other similar expressions, constitute forward-looking statements under the PSLRA. PAIVIS intends that such forward-looking statements be subject to the safe harbor created thereby. Such forward-looking statements are based on current assumptions but involve known and unknown risks and uncertainties that may cause PAIVIS actual results, performance or achievements to differ materially from current expectations. These risks include economic, competitive, governmental, technological and other factors discussed in PAIVIS annual, quarterly and other periodic public filings on record with the Securities and Exchange Commission which can be viewed free of charge on its website at http://www.sec.gov.

Contact Information

  • Contacts:
    Paivis Corp.
    Greg Bauer
    Chief Executive Officer
    Phone: 404-601-2885
    www.paivis.com

    The Investor Relations Group
    Phone: 212-825-3210