SOURCE: GeckoSystems Intl. Corp.

October 21, 2010 00:05 ET

GeckoSystems' CEO Reports Progress on Trading Symbol Change

CONYERS, GA--(Marketwire - October 21, 2010) -  GeckoSystems Intl. Corp. (PINKSHEETS: GCKO) announced today that they have received an update regarding their formal request to the Financial Industry Regulatory Authority (FINRA) to change their trading symbol to one more representative of their company's strategic focus and operations.

GeckoSystems is a dynamic leader in the emerging mobile robotics industry revolutionizing their development and usage with "Mobile Robot Solutions for Safety, Security and Service™."

Issuer requested symbol changes are now permissible since the U.S. regulatory authority, FINRA, updated and relaxed their regulations regarding symbol changes, stock splits, etc. as of Sept. 27, 2010. This is per their Rule 6490 and SEA Rule 106-17 regarding "Issuer Company Related Action Notification." Now Over The Counter (OTC) publicly traded companies may voluntarily change their trading symbols in an efficient and timely manner.

GeckoSystems' CEO, Martin Spencer, today stated, "Late last week, the Company completed and filed the required FINRA application and subsequently submitted the fees for the symbol change request from 'GCKO' to 'GSYS' as our first choice. We have heard from the FINRA reviewer of our application and their need for verification not only that the present officers were duly nominated and elected, but also that their predecessors (if any) have resigned in an appropriately legal and sufficient manner. We will be responding to this need for this additional vetting forthwith as it is an essentially administrative task due to the requested corporate documents being readily available."

Mr. Spencer further commented that FINRA may, at its sole discretion, allocate an alternative symbol, but is confident FINRA will accommodate the company's request if there are no conflicting requests in process. The application suggests that the process takes in the range of three (3) to five (5) days from time of application to become effective. "We are very pleased, if not thrilled, with FINRA's decision to allow appropriate trading symbols to be more representative of the company's name and business focus," continued Spencer.

Two weeks ago, on the same date, GeckoSystems management secured two lists from Broadridge and one from The Depository Trust & Clearing Corporation (DTCC). The two Broadridge lists, one a NOBO and the other a quasi-OBO (with no individual beneficial owners revealed) quantify total GCKO inventory per broker. Unless naked shorting is occurring, the quantities of stock held by the brokerages should be the same, or nearly so, from both of Broadridge's "NOBO" and "quasi-OBO" lists, and DTCC's "SPR" list. Since both of Broadridge's lists agree, this may indicate there are essentially no objecting beneficial owners (NOBO) to being identified.

DTCC, through its subsidiaries, provides clearance, settlement and information services for equities.

Broadridge provides mission-critical products and services for securities processing, clearing/outsourcing, and investor communication. They can, however, provide Issuers with OBO information in reference to the number of shareholders and the total share amount they hold. Broadridge is not permitted to disclose those shareholders -- individually -- that are objecting beneficial owners. Hence they aggregate them in a second quasi-OBO list.

The top five (5) brokerages/clearing houses with greatest GCKO share count discrepancies between Broadridge's NOBO and summarized "OBO" lists and the DTCC SPR list on Oct. 6 are listed below in the order of their magnitude:

Brown Brothers/Harriman:
Broadridge OBO list: 500,000 GCKO shares
DTCC SPR list: 3,868,050 GCKO shares
Hence an unexplained difference of 3,368,057 GCKO shares or 674% more reported by DTCC than Broadridge.

TD Ameritrade:
Broadridge OBO list: 19,410,623 GCKO shares
DTCC SPR list: 21,513,546 GCKO shares
Hence an unexplained difference of 2,102,923 GCKO shares or 11% more reported by DTCC than Broadridge.

USAA Brokerage Services:
Broadridge OBO list: 2,043,226 GCKO shares
DTCC SPR list: 2,466,069 GCKO shares
Hence an unexplained difference of 422,843 GCKO shares or 21% more reported by DTCC than Broadridge.

National Financial Services:
Broadridge OBO list: 11,830,791 GCKO shares
DTCC SPR list: 12,243,791 GCKO shares
Hence an unexplained difference of 413,000 GCKO shares or 3% more reported by DTCC than Broadridge.

TD Waterhouse:
Broadridge OBO list: 797,490 GCKO shares
DTCC SPR list: 1,062,490 GCKO shares
Hence an unexplained difference of 265,000 GCKO shares or 33% more reported by DTCC than Broadridge.

In aggregate, the Broadridge and DTCC lists differ by a total of 11,033,022 shares. The top five brokerage firms and clearing houses' discrepancies account for 59.6% (6,571,823 shares) of the GCKO share count total discrepancy in the reports from Broadridge and DTCC to GeckoSystems. This grand total may well be the factual reality of the amount of naked shorting of GCKO stock. All other thirty-three (33) brokerage and/or clearing houses reported the exact same GCKO share counts, or less than 1% discrepancy, between Broadridge and DTCC.

Some GCKO investors may wish to notify their broker and/or their clearing house to place their GCKO stock on their "no loan" list to coerce their brokerage into not using their personally held GCKO shares for any shorting. This may be especially prudent if your stock is being held by any of the less rigorously compliant brokerages and/or clearing houses revealed in the preceding.

Due to the need for equity financing for high growth firms, GeckoSystems has worked for over ten years to become fully reporting as soon as financially viable. In fact, the Company has been successfully audited twice, for two year periods each, and found to be fully compliant under thorough outside financial audits prepared by SEC certified CPA firms with the Financial Accounting Standards Board's (FASB's) generally accepted accounting principles (GAAP).

"Due to the level of risk inherent in high tech, emerging market Development Stage firms such as ours, especially during this Great Recession, we understand clearly that only equity (not debt) instruments can provide sufficient return on investment (ROI) for investors to assume the risk of purchasing any high tech, emerging market stock such as GCKO stock. Hence our long time efforts in this regard, and determination to continue our move upward to not only a more pronounced domestic stock exchange, but also those with international reach, such as OTCQX," observed Spencer.

GeckoSystems received their Pink Sheet trading symbol, GCKO, from FINRA as a result of satisfying all their due diligence requirements from the filing of a Form 15c2-11. The Company is not a "shell company" and has no unaccounted for, or otherwise missing, shares outstanding and issued. "We worked for nearly a year in preparing our initial 15c2-11 submission to, and addressing the comments of, FINRA prior to their issuance of our trading symbol, GCKO. We received our trading symbol, GCKO, from FINRA in September of 2007. In order to enable electronic trading we became DTC eligible in January of 2008. As a DRS Participant, the ability to trade GCKO stock electronically is even more streamlined, efficient, transparent, and reliable," stated Spencer.

"We will continue to do everything in our power to be completely, but prudently, transparent with our shareholders. We wish to assure our stockholders that this greater efficiency in the marketplace for our stock will further enhance the value and liquidity of GCKO stock and increase the ROI for them as we continue in our efforts to move upward to more pronounced domestic and international stock exchanges. To date, we have presently submitted a request for symbol change and learned from FINRA of their need for additional corporate record copies to be provided to them. While the Company's management is seeking a symbol change due to better congruence with corporate and strategies, we nonetheless have been told that this symbol change will force a prompt naked short squeeze. As is prudent, we will continue to evaluate the dividend and forward stock split scenarios very carefully as to costs and efficacy as to how we may structure them and achieve the best ROI for our nearly 1400 shareholders, " concluded Spencer. 

About the Financial Industry Regulatory Authority:

The Financial Industry Regulatory Authority (FINRA) is the largest independent regulator for all securities firms doing business in the United States. FINRA's mission is to protect America's investors by making sure the securities industry operates fairly and honestly. All told, FINRA oversees nearly 4,700 brokerage firms, about 167,000 branch offices and approximately 637,000 registered securities representatives.

FINRA touches virtually every aspect of the securities business -- from registering and educating industry participants to examining securities firms; writing rules; enforcing those rules and the federal securities laws; informing and educating the investing public; providing trade reporting and other industry utilities; and administering the largest dispute resolution forum for investors and registered firms. We also perform market regulation under contract for the major U.S. stock markets, including the New York Stock Exchange, NYSE Arca, NYSE Amex, The NASDAQ Stock Market and the International Securities Exchange.

FINRA has approximately 3,000 employees and operates from Washington, DC, and New York, NY, with 20 regional offices around the country.

In today's fast-paced and complex global economy, FINRA is a trusted advocate for investors, dedicated to keeping the markets fair and proactively addressing emerging regulatory issues before they harm investors or the markets.

FINRA believes that the best form of investor protection begins with education. They offer a wide range of information and tools -- through their website, the media and at public forums -- to help investors protect themselves and better understand the basic principles of saving and investing.

About GeckoSystems International Corporation:

Since 1997, GeckoSystems has developed a comprehensive, coherent, and sufficient suite of hardware and software inventions to enable a new type of home appliance (a personal robot) the CareBot™, to be created for the mass consumer marketplace. The suite of primary inventions includes: GeckoNav™, GeckoChat™ and GeckoTrak™.

The primary market for this product is the family for use in eldercare, care for the chronically ill, and childcare. The primary distribution channel for this new home appliance is the thousands of independent personal computer retailers in the U.S. The manufacturing infrastructure for this new product category of mobile service robots is essentially the same as the personal computer industry. Several outside contract manufacturers have been identified and qualified their ability to produce up to 1,000 CareBots per month within four to six months.

The Company is market driven. At the time of founding, nearly 12 years ago, the Company did extensive primary market research to determine the demographic profile of the early adopters of the then proposed product line. Subsequent to, and based on that original market research, they have assembled numerous focus groups to evaluate the fit of the CareBot personal robot into the participant's lives and their expected usage. The Company has also frequently employed the Delphi market research methodology by contacting and interviewing senior executives, practitioners, and researchers knowledgeable in the area of elder care. Using this factual basis of internally performed primary and secondary market research, and third party research is the statistical substance for the Company's sales forecasts.

Not surprisingly the scientific statistical analyses applied revealed that elderly over sixty-five living alone in metropolitan areas with broadband Internet available and sufficient household incomes to support the increased costs were identified as those most likely to adopt initially. Due to the high cost of assisted living, nursing homes, etc. the payback for a CareBot™ is expected to be only six to eight months while keeping elderly care receivers independent, in their own long time homes, and living longer due to the comfort and safety of more frequent attention from their loved ones.

Using U.S. Census Bureau data and various predictive statistical analyses, the Company projects the available market size in dollars for cost effective, utilitarian, multitasking eldercare personal robots in 2011 to be $74.0B, in 2012 to be $77B, in 2013 to be $80B, in 2014 to be $83.3B, and in 2015 to be $86.6B. With market penetrations of 0.03% in 2011, 0.06% in 2012, 0.22% in 2013, 0.53% in 2014, and 0.81% in 2015, we will anticipate CareBot sales, from this consumer market segment, only, of $22.0M, $44.0M, $176M, $440.2M, and $704.3M, respectively. 

The foregoing forecasts do not include sales in non-metropolitan areas; elderly couples over 65 (only elderly living alone are in these forecasts); those chronically ill -- regardless of age -- or elderly living with their adult children.

The Company's "mobile robot solutions for safety, security and service™" are appropriate not only for the consumer, but also professional healthcare, commercial security and defense markets. Professional healthcare require cost effective, timely errand running, portable telemedicine, etc. Homeland Security requires cost effective mobile robots to patrol and monitor public venues for weapons and WMD detection. Military users desire the elimination of the "man in the loop" to enable unmanned ground and air vehicles to not require constant human control and/or intervention.

The Company's business model is very much like that of an automobile manufacturer. Due to the final assembly, test, and shipping being done based on geographic and logistic realities; strategic business-to-business relationships can range from private labeling to joint manufacturing and distribution to licensing only.

Several dozen patent opportunities exist for the Company due to the many innovative and cost effective breakthroughs embodied not only in GeckoNav, GeckoChat, and GeckoTrak, but also in additional, secondary systems that include: GeckoOrient™, GeckoMotorController™, the GeckoTactileShroud™, the CompoundedSensorArray™, and the GeckoSPIO™.

The present senior management at GeckoSystems has over thirty-five years experience in consumer electronics sales and marketing and product development. Senior managers have been identified for the areas of manufacturing, marketing, sales, and finance.

While GeckoSystems has been in the Development Stage, the Company has accumulated losses to date in excess of six million dollars. In contrast, the Japanese government has spent one hundred million dollars in grants (to Sanyo, Toshiba, Hitachi, Fujitsu, NEC, etc.) over the same time period to develop personal robots for their eldercare crisis, yet no viable solutions have been developed.

By the end of this year, the Company plans to complete productization of its CareBot offering with the introduction of its fourth generation personal robot, the CareBot 4.0 MSR. The Company expects to be the first personal robot developer and manufacturer in the world to begin in-home eldercare evaluation trials.

What Does a CareBot Do for the Care Giver?

The short answer is that it decreases the difficulty and stress for the caregiver that needs to watch over Grandma, Mom, or other family members most, if not much, of the time day in and day out due to concerns about their well being, safety, and security. 

But, first let's look at some other labor saving, automatic home appliances most of us use routinely. For example, needing to do two or more necessary chores and/or activities at the same time, like laundering clothes and preparing supper. 

The automatic washing machine needs no human intervention after the dirty clothes are placed in the washer, the laundry powder poured in, and the desired wash cycle set. Then, this labor saving appliance runs automatically until the washed clothes are ready to be placed in another labor saving home appliance, the automatic clothes dryer. While the clothes are being washed and/or dried, the caregiver prepares supper using several time saving home appliances like the microwave oven, "crock" pot, blender, and conventional stove, with possible convection oven capabilities. 

After supper, the dirty pots, pans, and dishes are placed in the automatic dishwasher to be washed and dried while the family retires to the den to watch TV, and/or the kids to do homework. Later, perhaps after the kids have gone to bed, the caregiver may then have the time to fold, sort, and put up the now freshly laundered clothes.

So what does a CareBot do for the caregiver? It is a new type of labor saving, time management automatic home appliance.

For example, the care giver frequently feels time stress when they need to go shopping for 2 or 3 hours, and are uncomfortable when they have to be away for more than an hour or so. Time stress is much worse for the caregiver with a frail elderly parent that must be reminded to take medications at certain times of the day. How can the caregiver be away for 3-4 hours when Grandma must take her prescribed medication every 2 or 3 hours? If the caregiver is trapped in traffic for an hour or two beyond the 2 or 3 they expected to be gone, this "time stress" can be very difficult for the caregiver to moderate.
Not infrequently, the primary caregiver has a 24 hour, 7 days a week responsibility. After weeks and weeks of this sometimes tedious, if not onerous routine, how does the caregiver get a "day off?" To bring in an outsider is expensive (easily $75-125 per day for just 8 hours) and there is the concern that medication will be missed or the care receiver have an accident requiring immediate assistance by the caregiver, or someone they must designate. And the care receiver may be very resistant to a "stranger" coming in to her home and "running things."

So what is it worth for a care receiver to have an automatic system to help take care of Grandma? Just 3 or 4 days a month "off" on a daylong shopping trip, a visit with friends, or just take in a movie would cost $225-500 per month. And that scenario assumes that Grandma is willing to be taken care of by a "stranger" during those needed and appropriate days off.

So perhaps, an automatic caregiver, a CareBot, might be pretty handy, and potentially very cost effective from the primary caregiver's perspective.

What Does a CareBot Do for the Care Receiver?

It's a new kind of companion that always stays close to them enabling family and friends to care for them from afar. It tells them jokes, retells family anecdotes, reminds them to take medication, reminds them that family is coming over soon (or not at all), recites Bible verses, plays favorite songs and/or other music. It alerts them when unexpected visitors, or intruders are present. It notifies designated caregivers when a potentially harmful event has occurred, such as a fall, fire in the home, or simply been not found by the CareBot for too long. It responds to calls for help and notifies those that the caregiver determined should be immediately notified when any predetermined adverse event occurs.

The family can customize the personality of the CareBot. The voice's cadence can be fast or slow. The intonation can be breathy, or abrupt. The voice's volume can range from very loud to very soft. The response phrases from the CareBot for recognized words and phrases can be colloquial and/or unique to the family's own heritage. The personality can range from brassy to timid depending on how the care giver, and others appropriate, chooses it to be.

Generally, the care receiver is pleased at the prospect of family being able to drop in for a "virtual visit" using the onboard webcam and video monitor for at home "video conferencing." The care receiver may feel much more needed and appreciated when their far flung family and friends can "look in" on them any where in the world where they can get broadband internet access and simply chat for a bit.

Why is Grandma really interested in a CareBot? She wants to stay in her home, or her family's home, as long as she possibly can. What's that worth? Priceless. Or, an average nursing home is $5,000 per month for an environment that is too often the beginning of a spiral downward in the care receiver's health. That's probably $2-3K more per month for them to be placed where they really don't want to be. Financial payback on a CareBot? Less than a year -- Emotional payback for the family to have this new automatic care giver? Nearly instantaneous --

Safe Harbor:

Statements regarding financial matters in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such statements about the Company's future expectations, including future revenues and earnings, technology efficacy and all other forward-looking statements be subject to the Safe Harbors created thereby. The Company is a development stage firm that continues to be dependent upon outside capital to sustain its existence. Since these statements (future operational results and sales) involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results.


Investors Hub GCKO Message Board:

Source: GeckoSystems Intl. Corp.

Contact Information

  • Contact:
    GeckoSystems Intl. Corp.
    Main number: 1-866-CAREBOT (227-3268)
    International: +1 678-413-9236