SOURCE: GTREX Capital, Inc.

May 03, 2007 09:08 ET

GTREX Capital Announces Expected Cancellation of 1 Billion Shares of Common Stock Due to Unwind of Previous Acquisition

$800,000 in Long-Term Notes Are Also to Be Returned to the Company as Part of Unwind of Global Travel Partners Acquisition

TEMECULA, CA -- (MARKET WIRE) -- May 3, 2007 -- GTREX Capital, Inc. (OTCBB: GRXIE), a holding company with subsidiaries doing business in the travel industry, today announced that as a result of an agreement to unwind previous acquisitions made by the company, including the acquisition of Global Travel Partners, 1 billion shares of GTREX Capital common stock are expected to be cancelled by the company.

"The unwind of the Global Travel Partners was the primary issue that has held up the filing of GTREX Capital's annual report, and we are pleased to have reached agreement on the terms of the unwind," stated consultant chief executive officer Steven R. Peacock. "With this issue now resolved, we expect to have the annual report filed and the 'E' removed from our symbol very shortly."

In February 2005, GTREX Capital entered into an escrow agreement to acquire all of the outstanding shares of Global Travel Partners, a Nevada corporation that owns 100% of AsiaWorld Travel Vancouver, Ltd., and Dominion Pacific Travel, two British Columbia based travel companies. Under terms of the agreement, approximately 600 million restricted shares of GTREX Capital common stock were released from escrow to effect the closing. Another 200 million restricted shares and $800,000 in long-term notes remained in escrow subject to certain performance guarantees by the sellers based on audited profits from operations on a six-month and 12-month basis.

With the unwind of that transaction, the 200 million shares and $800,000 in long-term notes are to be returned to the company for cancellation. 400 million shares previously released from the escrow are also expected to be cancelled by the company.

Another 400 million shares placed in escrow for an additional planned acquisition by GTREX Capital that was never consummated are expected to be cancelled by the company.

Details of these transactions will be included in the company's Annual Report on Form 10-KSB for the fiscal year ended January 31, 2007, which is expected to be filed in the next several days.

Mr. Peacock added, "Beyond the issue of the annual report, the anticipated cancellation of the majority of the shares involved in this transaction has a significant impact on the capital structure of GTREX Capital as it moves forward to execute its business strategy. We are specifically focused on the growth of the company's Global Travel Exchange subsidiary and targeting the acquisition of an additional synergistic business in the travel distribution industry. By unwinding the Global Travel Partners acquisition, we can now focus the company's full attention where it belongs and not on the operations of travel agencies in another country."

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About GTREX Capital, Inc.

GTREX Capital, Inc. (http://www.gtrexcapital.com) is a holding company with subsidiaries doing business in the travel industry. The company is normally traded under the symbol GRXI, but is currently traded as GRXIE, due to a delinquent annual report, which is expected to be filed shortly. Global Travel Exchange, Inc. (www.gtrex.com), a GTREX Capital subsidiary, has launched its Voyager Network travel distribution platform, which provides a service that enables direct access to reservation systems of major travel suppliers such as airlines, cruise lines, hotels, car rental companies and providers of other travel amenities. GTREX Capital is in the process of identifying additional synergistic businesses in the travel distribution sector as potential acquisition targets.

Safe Harbor Statement

This release contains forward-looking statements with respect to the results of operations and business of GTREX Capital, Inc., which involves risks and uncertainties. The Company's actual future results could materially differ from those discussed. The Company intends that such statements about the Company's future expectations, including future revenues and earnings, and all other forward-looking statements be subject to the "Safe Harbors" provision of the Private Securities Litigation Reform Act of 1995.

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