Manaris Corporation
OTC Bulletin Board : MANS

Manaris Corporation

October 27, 2005 09:00 ET

Message from the President and CEO of Manaris Corporation: Update to Shareholders

MONTREAL, CANADA--(CCNMatthews - Oct. 27, 2005) - Manaris Corporation (OTCBB:MANS)(FRANKFURT WKN:255471) President and CEO, John Fraser, today released a memorandum to shareholders outlining the following.

I am very pleased to serve as your President and CEO after a three-year tenure on the Board of Directors. Since the beginning, I've always been an enthusiastic supporter of the Manaris team and have strongly believed in the organization. I therefore did not hesitate to accept to take on its leadership position. I believe that the areas we service - from M2M, sensor technology to monitoring and security are fast growing and present immense opportunities for our future. However, to obtain shareholder value we recognize that we will have to be more focused and put greater emphasis on profitability as well as growth.

This is the mission that I have set for our team.

Since my appointment a month ago, I have concentrated on eliminating non-core assets, bringing expenses to a manageable level and putting the focus on our subsidiaries which best fit our initial objectives. Part of this process included ceasing the development of the Markus 360 software and identifying a viable buyer; suspending our M&A agreement with Midtown Partners; ceasing operations of CSA and settling the Finkelstein lawsuit; and reducing Manaris' (the holding company) staff by three people.

Today, we have three subsidiaries:

- Avensys. Avensys designs solutions enabling businesses and industries

to monitor different types of environments, including air, soil, and water as well as infrastructures. It is a pioneer internationally in the fibre optic-based sensors and Fibre Bragg Grating (FBG) components. In fiscal 2006, Avensys is budgeting revenues of CAD$12 million and profitability. Martin d'Amours, President and CEO, states: "Since being acquired by Manaris Corporation earlier this year, we have completed an amazing turnaround. Our progress is solid and we are confident that 2006/7 will show significant growth in both sales and profitability."

- Chartrand Laframboise Inc. (CLI). CLI offers security-related services that include investigation, surveillance, access to undercover agents, background verification, business intelligence, security consulting and labor management conflict to over 1,000 customers. CLI is highly regarded and a leader in its industry in Canada. In fiscal 2006 CLI is budgeting revenues of CAD$ 5 million and profitability. The Company is very capably managed by Jean Talbot and
Louis Laframboise and represents a solid, valuable asset.

- C-Chip Technologies (North America). C-Chip provides monitoring solutions which use integrated wireless communications, RFID technology, transaction processing, GPS technology, software applications and the Internet to connect mobile assets with IT infrastructures. The Company spent a good part of the last year reengineering its product in order to keep ahead of the curve mainly in automotive credit management and has now started shipping the new product. It offers a host of innovative features and has been thoroughly tested. Claude Arbour, President and CEO says: "We have had to take one step backwards to take two steps forward. We are confident that our new line-up of products is competitive. Our marketing plan has already started paying dividends. We are confident that we will be in a position to announce positive news before the end of 2005 and attain profitability by the second quarter of calendar 2006."

The management group at the subsidiary level is strong and capable. I would like to make special mention of the outstanding contribution of Andre Monette, your CFO. Andre has been a tower of strength over the past few months, working to regularize the financial systems of our group and meet the heavy filing requirements of the SEC.

While we are definitely moving in the right direction, we still have a lot of hard work to do. Going forward, I intend to communicate with you on a more regular basis and will provide details on both what we have accomplished and what we plan to achieve.

About Manaris Corporation

Through its wholly-owned subsidiaries, Manaris Corporation offers a comprehensive suite of enterprise risk management services and solutions. C-Chip Technologies (North America) specializes in the high-tech sector of the security industry, with technology that allows business users to efficiently access, control, manage and monitor remote assets at low costs. Avensys enables businesses and corporations to monitor different types of environments, including Air, Soil, Water as well as buildings and infrastructures. Chartrand Laframboise Investigation provides corporations and institutions with security services including corporate investigation, surveillance, electronic monitoring and protection of personnel and premises.

FORWARD-LOOKING-STATEMENT: Except for factual statements made herein, the information contained in this press release consists of forward-looking statements that involve risks uncertainties, including the effect of changing economic conditions, competition within the credit and security industry, customer acceptance of products and other risks and uncertainties. Such forward looking statements are not guarantees of performance, and Manaris Corporation results could differ materially from those contained in such statements. These forward-looking statements speak only as of the date of this release and Manaris Corporation undertakes no obligation to publicly update any forward-looking statements to reflect new information, events or circumstances after the date of this release.

Contact Information

  • Manaris Corporation
    John Fraser
    President and CEO
    (514) 337-2447
    Zenergy Communications
    Linda Farha
    (514) 273-4034