CRS Electronics

CRS Electronics

September 25, 2009 09:53 ET

CRS Electronics Announces $525,000 Private Placement

WELLAND, ONTARIO--(Marketwire - Sept. 25, 2009) - CRS Electronics Inc. ("CRS"), (TSX VENTURE:LED), an engineer, designer, and manufacturer of LED lighting, today announced conditional acceptance to complete a private placement of common share and warrant Units to a maximum $525,000.

The Units will be comprised of one Common Share and one half of a warrant at a price of $0.30 per Unit. Each whole warrant entitles the holder to acquire one common share upon payment of $0.50 per common share for a period of twelve (12) months. The total maximum Units to be issued will be 1,750,000. The total maximum number of common shares to be issued if all warrants are exercised is 2,625,000 representing 12% of the current common shares issued and outstanding. The warrants will not be registered for trading and all common shares issued directly or through the exercise of warrants will have a four month hold period from the date of closing. The private placement will be a non-brokered private placement, but, agents not related to the corporation, may receive finder fees for up to 6% of the gross proceeds from subscribers introduced by the agent. Multiple closings are permissible.

Proceeds of the private placement will be used for working capital, to hire additional personnel and expand production capacity.

"These funds will allow us to enhance our sales and marketing as well as boost our production capabilities to fill a steadily increasing pipeline of orders," said Scott Riesebosch, President of CRS Electronics, "Businesses and institutions such as Humber College, who recently installed more than 1,000 of our MR 16 LED lights to replace halogens, are recognizing the economic, environmental, and social benefits of switching to LED lighting products."

The Price Reservation Form was filed on September 2, 2009. On September 14, 2009, the Company received conditional acceptance from the TSX Venture Exchange. All of the subscribers will be accredited investors based in Canada or based in the United States.

About CRS
CRS is a leader in the emerging, rapidly-growing market of high efficiency light-emitting-diode ("LED"), or, solid state lighting ("SSL"). The principal activities of CRS include the development, manufacture and sale, primarily in North America, of indoor and outdoor lighting such as LED replacement lamps, LED streetlights, exterior LED warning lights on school buses, child safety systems for school buses and contract manufacturing of LED circuit boards. CRS is a well-established supplier to both the school bus industry and the LED contract manufacturing industry, providing a stable and growing revenue source. CRS plans to be a major supplier of LED light engines for a variety of applications to be developed by CRS on its own and in conjunction with its customers. The Company currently sells one of the very few replacement LED MR16 lights capable of replacing a halogen 50 watt MR16.

Certain statements contained in this news release constitute forward-looking information, future oriented financial information, or financial outlooks (collectively "forward-looking information") within the meaning of Canadian securities laws. Forward-looking information may relate to this news release and other matters identified in Podium's public filings, Podium's future outlook and anticipated events or results and can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts and include, but are not limited in any manner to, those with respect to capital and operating expenditures, economic conditions, availability of markets for products, availability to develop and manufacture products, availability of sufficient financing, receipt of approvals, satisfaction of escrow requirements, satisfaction of closing conditions, obtaining debt financing for capital expenditures, and any and all other timing, development, operational, financial, economic, legal, regulatory and/or political factors that may influence future events or conditions. Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other Podium filings, and include sufficient working capital for development and operations, access to adequate services and supplies, availability of markets for products, commodity prices, foreign currency exchange rates, interest rates, access to capital markets and other sources of financing and associated cost of funds, availability of a qualified work force, availability of manufacturing equipment, no material changes to the tax and regulatory regime and the ultimate ability execute its business plan on economically favourable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward-looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other Podium filings at and other unforeseen events or circumstances. Other than as required by law, Podium does not intend, and undertakes no obligation to update any forward-looking information to reflect, among other things, new information or future events.

Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

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