SOURCE: NewMarket Technology, Inc.

NewMarket Technology, Inc.

February 17, 2009 10:03 ET

NewMarket Technology, Inc. Issues Update on Dividend Plan and Anticipated 2009 Growth of Operations in China and Brazil

DALLAS, TX--(Marketwire - February 17, 2009) - NewMarket Technology, Inc. (PINKSHEETS: NMKT) today released an update on its plan to issue shareholder dividends. The Company has launched operations in Brazil and China in recent years. Management intends to provide a return on the regional startup investments through a dividend distribution. The regional operations have been central to NewMarket's rapid growth from less than $1 million in revenue in 2002 to a profitable $93 million in 2007. The Company continued to grow in 2008 with improved operating margins, and management anticipates continued growth from its Chinese and Brazilian operations in 2009.

NewMarket CEO Philip M. Verges has written a letter to shareholders on the Company's plan to issue dividends in conjunction with the Company's continued expansion in Brazil and China. The letter is included in its entirety within this press release.

Dear Fellow Shareholders:

The majority of NewMarket's sales come from the world's leading emerging markets. While most of the world's developed economies are facing a negative, or potentially negative, GDP growth rate, much of the world's emerging markets are showing signs of continued growth. While that growth has been slowed as a result of the global financial crisis, the emerging markets are anticipated by many to recover sooner than the developed economic regions of the world.

NewMarket started expanding into emerging markets by first entering South East Asia in 2003. The Company subsequently continued its emerging market expansion into China and Latin America, with its largest Latin American operation in Brazil. Recently, the Company initiated efforts to open operations in East Africa.

Internet and information technology penetration is largely saturated in the world's developed economies. Technology growth in developed economies has to be squeezed out of next generation technology updates. In difficult economic times, customers are less likely to make next generation technology investments. On the other hand, emerging economic regions have lower internet and information technology penetration. Continued growth from the expansion of basic technology infrastructure in emerging economies is far more likely than growth from the sale of next generation technology that replaces existing technology infrastructure in developed economies.

NewMarket will continue its strategy to sell technology products and services in the world's emerging markets. We will take lessons learned from our experience in recent years and improve our emerging market growth strategy.

NewMarket has utilized the public micro cap financial market to facilitate its growth. The Company's growth from less than $1 million in revenue in 2002 to reporting a profitable $93 million in 2007 has been exceptional. In previous years, NewMarket shareholders have also had the opportunity to enjoy dramatic share price increases. Unfortunately, in more recent years, the share price has trended down. The global financial crisis has not helped the situation, but management has also learned additional lessons specific to the public micro cap financial market that can be leveraged to improve upon the disappointing share price performance of recent years.

Management's overall strategy to improve share price, bringing it more in line with the Company's fundamental financial performance, is to move NewMarket to an exchange listing. An exchange listing, however, is not the only measure management plans to take to improve share price.

Originally, management intended to build a public holding company of public companies. Management intended to independently list each of its regional subsidiaries. The anticipated benefit of the independently listed subsidiaries was centered on a plan to distribute stock in the independently listed subsidiaries as dividends to shareholders of the parent company.

The anticipated strategy has proved more difficult in practice than principle. Furthermore, the relative originality and creativity of the idea has not been readily embraced by institutional investors. In the Company's future expansion into additional emerging markets, management is moving away from the public holding company of public companies concept. However, management will remain committed in the instance of China and Brazil to the independent listing and dividend strategy.

The Company's independent regional listings have experienced various issues as NewMarket management has encountered a number of unanticipated challenges with its public holding company of public companies strategy.

The Chinese subsidiary is listed as an OTCBB company and, as the majority shareholder, NewMarket is restructuring the share structure to facilitate a timely dividend of Chinese subsidiary stock to NewMarket shareholders.

The Brazilian subsidiary independent listing has been more problematic. To overcome the issues encountered with the independent public listing of the Brazilian company, the public company has been deregistered and is in the process of being reregistered. The registration process requires the completion of the 2008 financial audit. Once the audit is complete, the required filing process will take approximately 60 days. The 60 day time frame estimate is largely based on the regulatory requirement to permit adequate time for review of the various filings necessary to register the Company.

We will continue to issue updates on our plans to issue dividends in conjunction with NewMarket's operations in China and Brazil. We have already provided an overview on the Company's updated strategy to support continued growth in emerging markets beyond the public holding company of public companies strategy. An overview of the Company's Greenfield strategy for continued emerging market growth can be viewed at:

http://www.newmarkettechnology.com/media.htm and is titled, "FY2008 Virtual Town Hall Meeting: January 2009 Part 3 of 4."

The global financial crisis has or will create issue for most individuals and companies alike. At the same time, the crisis will also hold new opportunities. NewMarket management believes that the Company's previous investment in establishing emerging market technology service centers will now be the foundation of an exceptional opportunity in the midst of a global financial crisis. Management anticipates increased sales from emerging markets as the technology market looks for growth elsewhere while the developed economic regions of the world put technology investments on hold. NewMarket has a foothold and valuable experience in emerging markets and is prepared to capitalize on a technology market concentration shift to the emerging economic market place.

Sincerely,

Philip M. Verges
Founder and CEO
NewMarket Technology, Inc.

Corporate E-mail Updates

To be added to NewMarket Technology's e-mail database to receive company updates or to obtain more information on the Company, please send an e-mail to ir@newmarkettechnology.com or call 214-722-3065.

About NewMarket Technology, Inc. (www.newmarkettechnology.com)

NewMarket helps clients maintain the delicate balance between maintaining legacy systems and gaining a competitive edge from the latest technology innovations. NewMarket provides certified systems integration and maintenance services to support the prevailing industry standard solutions from companies such as Microsoft, Oracle, Infor, Cisco Systems, SAP, Siebel and Sun Microsystems. Concurrently, NewMarket continuously seeks to acquire emerging technology assets to incorporate into an overall product portfolio carefully packaged to complement the prevailing industry standard solutions.

NewMarket delivers its portfolio of products and services through its network of Solution Integration subsidiaries in North America and the leading emerging markets around the world to include Latin America, China and Singapore.

NewMarket ranked Number One in Texas, Number Three in the United States and Number Five in North America on Deloitte's 2006 Technology Fast 500, a ranking of the 500 fastest growing technology, media, telecommunications and life sciences companies in North America. Rankings are based on percentage revenue growth over five years, from 2001-2005. The Company grew from less than $1 million in revenue in 2001 to over $50 million in profitable revenue in 2005.

The company has continued its rapid growth, reporting $77.6 million in revenue with a net income of $5.8 million in 2006 and most recently $93.1 million in revenue with a net income of $7.3 million in 2007.

"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This press release contains forward-looking statements that involve risks and uncertainties. The statements in this release are forward-looking statements that are made pursuant to safe harbor provision of the Private Securities Litigation Reform Act of 1995. Actual results, events and performance could vary materially from those contemplated by these forward-looking statements. These statements involve known and unknown risks and uncertainties, which may cause NewMarket's actual results in future periods to differ materially from results expressed or implied by forward-looking statements. These risks and uncertainties include, among other things, product demand and market competition. You should independently investigate and fully understand all risks before making investment decisions.

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