SOURCE: Digital Lifestyles Group

April 10, 2006 06:00 ET

Digital Lifestyles Group Announces Filing of Its 2004 Annual Report on Form 10-K

Company Continues Initiatives to Finalize Merger With Protron Digital Corporation

WALNUT, CA -- (MARKET WIRE) -- April 10, 2006 -- Digital Lifestyles Group Inc. (OTC: DLFG) (the "Company") today announced that it has completed its annual audit for fiscal 2004 and has filed its Annual Report on Form 10-K for 2004 with the Securities and Exchange Commission ("SEC"). In an effort to return to compliance with the SEC and meet the closing conditions of its previously announced merger with Protron Digital Corporation, the Company is working diligently to complete its remaining necessary SEC filings in a timely manner.

Andy Teng, Chairman and Chief Executive Officer of the Company, stated, "We are pleased to have successfully completed the 2004 audit and file our annual report. The completion of this audit is a major step in our efforts to reorganize Digital and finalize the merger with Protron. We will continue to focus our time and resources to further implement the necessary initiatives to meet our SEC filing obligations and to effectuate the proposed merger with Protron, including our quarterly filings for 2005 and the 2005 audit."

In March 2006, the Company announced the signing of a definitive merger agreement with Protron Digital Corporation ("Protron"), a consumer electronics company focused on the manufacture and sale of home entertainment systems. Protron is a privately held company, of which one of its principal owners is Leo Chen, a member of the board of directors of Digital Lifestyles Group.

Leo Chen added, "Protron is encouraged and pleased with Digital Lifestyle Group's efforts to satisfy the conditions necessary to complete the merger and the filing of the 2004 annual report is a very significant step toward achieving that goal."

ABOUT DIGITAL LIFESTYLES GROUP INC.

Digital Lifestyles Group Inc. is a computer and consumer electronics company that designs, manufactures and markets digital lifestyle products. More information about Digital Lifestyles Group will be made available upon request.

FORWARD-LOOKING STATEMENTS

Statements in this news release which are not purely historical facts are forward-looking statements, including statements containing the words "believe," "estimate," "project," "expect" or similar expressions, and statements such as those related to the ability of the Company to continue to comply with the terms and conditions of its previous agreements, and its ability to complete the merger transaction, audit work and necessary filings with the SEC. These statements are made within the meaning of Section 27A of the Securities Act of 1933, as amended, and the provisions of Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are based upon information available to Company on the date of this release. Any forward-looking statement inherently involves risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the ability for the Company to raise sufficient funds to operate the business going forward, successful implementation of its restructuring plan, including the ability to generate positive cash flow from operations and the ability of the Company to satisfy its existing creditors, the ability of the Company to consummate the merger transaction, which is subject to a number of contractual conditions, such as shareholder approval, the general acceptance of the Company's products in the marketplace, the ability of the Company to compete with its competitors and other risks detailed in the company's periodic report filings with the Securities and Exchange Commission. There can be no assurance that any estimations or projections set forth in this release can be obtained. By making these forward-looking statements, the company undertakes no obligation to update these statements for revisions or changes after the date of this release. Readers are cautioned not to place undue reliance on forward-looking statements.

Contact Information

  • Investor Contact:
    Andy Teng
    (626) 625-5705