SOURCE: Citadel EFT

Citadel EFT

April 19, 2013 09:00 ET

Citadel EFT, Inc. (CDFT) Announces Issuing Anti-Dilutive Convertible Preferred 'D' Securities to All Common Shareholders, Commencing May 23, 2013

OCEANSIDE, CA--(Marketwired - Apr 19, 2013) - Citadel EFT, Inc. (OTCQB: CDFT) CEO Gary DeRoos announces that ALL common shareholders as of record date May 13, 2013 will be issued Anti-Dilutive Convertible Preferred 'D' Securities by May 23, 2013.

Gary DeRoos, CEO, Citadel EFT, states, "Issuing the Anti-Dilutive Convertible Preferred 'D' Securities is an important necessity in protecting the fiscal interests of our common shareholders, because we do not control the price of our security in the open market. The issuances of these securities are meant to act as 'PUTS' against reverse splits or any downside side pressure from market forces. These are hybrid securities that are designed to protect investors and investments from dilution, while ensuring that the Company does not carry debt on its balance sheet. These securities that are being issued to our common shareholders will form the backbone of a registration statement that we will be filing with the SEC. By May 23, 2013, we will commence with the issuance of these securities, by having the common shareholders contact us, so that our corporate secretary will know where to make delivery of the aforementioned securities for each of the stockholders. We will ask that our current common stockholders provide detail proof(s) of the amount of shares held on deposits and their cash value on deposits with their broker dealer, so that we can issue the appropriate amount of convertible preferred stock as a function of the equity invested by each stockholder."

Gary DeRoos further states, "We are extremely pleased to have the ability to protect our investors by issuing these preferred securities to them. The ability to register this stock at higher quoted prices ensures that all of our investors are protected from market forces and conditions. One preferred share will convert into 100,000 common at $2.50 per share, once the security is registered with the SEC. This opportunity will only be available to investors who currently hold verified, recorded positions CDFT. Additionally, we will be assisting all shareholders in converting the preferred shares to common when we do register those securities, prior to the company making formal application to the NYSE Alter next."

The Company confirms that it retired, back into treasury, significant amounts of securities that had been issued for compensation. As well, Mr. DeRoos is retiring the bulk of his common holdings, with the imminent retirement of 117,000,000 of his 168,000,000 Citadel EFT, Inc. common class securities.

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FORWARD-LOOKING STATEMENT

CDFT cautions that statements made in this press release constitute forward-looking statements, and not guarantees of future performance, and actual results or developments may differ materially from projections in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the time the statements are made.

Contact Information

  • Contact:
    Gary DeRoos
    714-423-0701