April 28, 2010 09:00 ET

Uniserve Announces Restructuring Agreements with Telecommunication Service Providers

NEW WESTMINSTER, BRITISH COLUMBIA--(Marketwire - April 28, 2010) - Uniserve Communications Corp. (TSX VENTURE:USS) announces that the Company has reached agreements in principle to restructure its overdue accounts payable with its main telecommunication service providers.

Uniserve has been working diligently for the past 6 months to settle its account payable liabilities with its key vendor partners. Under the restructuring agreements, the telecommunication suppliers will forgive approximately $1,300,000 of the overdue amounts owing. Uniserve has also paid more than $1,100,000 in cash to these vendors from the Parasun sale escrow funds. 

The remaining balances of approximately $2,800,000 are to be repaid over 24 months with no interest. Of the total overdue amounts $1,120,000 is to be classified as a current liability and the balance of $1,680,000 is to be classified as a long-term liability. This will have a significant positive impact on the Company's working capital position and balance sheet and will result in cost savings of approximately $65,000 per month in interest charges.

"This is the key to turning around the Company and executing on our business plans," says Michael Schmidt, President and CEO, "the willingness of our vendor partners to work with us to resolve these issues speaks volumes about their confidence in our ability to settle the amounts owing and to continue growing our business with them."

For more information about Uniserve, its products and services please visit www.uniserve.com or www.kinzin.com. Additional corporate and financial information may be found at www.sedar.com.

On Behalf of the Board,

Michael Schmidt, President and CEO

For more information or to coordinate an interview with representatives of Uniserve Communications Corporation please Michael Schmidt.

The statements contained in this news release that are not historical facts are forward looking statements. Such statements are based on management's estimates, assumptions and projections using available information. Uniserve cautions that actual financial results could differ materially from the current expectations due to a number of factors.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this News Release. This release has been prepared by management and no regulatory authority has approved or disapproved the information contained herein.

Contact Information

  • Uniserve Communications Corporation
    Michael Schmidt
    President and CEO