Nuvolt Corporation Inc.
TSX VENTURE : NCO

Nuvolt Corporation Inc.

December 23, 2010 14:14 ET

Nuvolt Coporation Announces the Launching of the SmartScan to the Agriculture Market, the Deposit of its Annual Financial Results as Well as the Date of its Annual General Meeting

LEVIS, QUEBEC--(Marketwire - Dec. 23, 2010) - Mr. Jacques Dion, President and Chief Executive Officer of Nuvolt Corporation Inc. ("Nuvolt") (TSX VENTURE:NCO) is pleased to announce that after obtaining the product certification by qualified and succeeding the last technical validation tests of its commercial version, the sales of the SmartScan will begin at the first quarter of 2011 in the agriculture market.

"Obtaining approvals and validation tests were essential to initiate the production of large-scale SmartScan and thus able to deliver the first orders in the second quarter of our current fiscal year." says Jacques Dion. "We can now confirm the launching of the SmartScan to the agriculture market, waiting impatiently." concluded Mr. Dion.

Moreover, NUVOLT announces the deposit of its audited financial results for the fiscal year ended on August 31, 2010.

"The state of crisis in the dairy and hog sectors persisted throughout the 2009-2010 fiscal year. The equity of farms collapsed. Several U.S. banks withdrew from agricultural financing activities. As a result, all new investments have been postponed," mentioned Jacques Dion, President and Chief Executive Officer. "However, NUVOLT was able to devote all the necessary resources to complete SmartScan, to bring it to the production phase and to set up the distribution network." concluded Mr. Dion.

Highlights:

  • 43% decline in the sales figure for the 2009-2010 fiscal year, as compared to the previous year. The sales figure went from $1.7 million to $993,000.
  • $1.1 million in investments in the development of SmartScan during the fiscal year. The product is at the real life validation and production stage. Agreements have been reached to install technological showcases in various locations and sectors in the first six-month period of the 2010-2011 fiscal year.
  • SmartScan will be produced in Asia. An agreement was signed with ProdExport Technologie in order to have the product manufactured abroad at costs allowing the Company to remain highly competitive.
  • A distribution network for SmartScan is practically complete in the dairy and hog sectors. A training course has been seen up to prepare the network to represent the product well.
  • A distribution agreement in the navigation sector has been reached. This allows NUVOLT to begin the diversification of its markets towards industrial sectors.
  • A net loss of $1,567,000 ($0.0244/share) for the fiscal year ended on August 31, 2010, as compared to $452,000 ($0.0086/share) for the previous year.
  • Cash on hand of $54,000 as at August 31, 2010. A private placement completed during the first quarter of the current fiscal year meets the short-term financial needs for the launching of the manufacture of SmartScan. The Company is in the process of examining other sources of financing for the marketing of SmartScan.

The annual financial statements and the management report may be consulted in the electronic data, analysis and research system (SEDAR), accessible at the following address: www.sedar.com.

Finally, NUVOLT informs the public that its Annual Meeting will be held at 4 p.m. on February 24, 2011 at the offices of Langlois Kronström Desjardins Avocats located at 801, Chemin Saint-Louis, bureau 300, Quebec City, QC G1S 1C1. All shareholders are welcome to attend the meeting.

About Nuvolt Corporation Inc.

Nuvolt has developed a specialized expertise in the management of electrical failures, power quality, the detection and neutralization of leakage current, as well as electrical network monitoring systems.

Nuvolt has devoted a great deal of energy to and has made major investments in the development of the SmartScan project. The SmartScan system is a user-friendly product that can be distributed by independent distributors active in specialized sectors including the farming, commercial and industrial sectors.

Certain statements contained in this press release constitute forward-looking information. Such statements are based on the current expectations of management. You are cautioned that such statements can be subject to a multitude of risks and uncertainties that could cause actual results, future circumstances or events to differ materially from those projected in the forward-looking information. The reader should not place undue reliance on the forward-looking information included in this press release given that (i) actual results could differ materially from a conclusion, forecast or projection in the forward-looking information, and (ii) certain material factors or assumptions were applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking information could prove to be inaccurate. These statements speak only as of the date they are made, and Nuvolt assumes no obligation to revise such statements as a result of any event, circumstance or otherwise, except in accordance with law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Nuvolt Corporation Inc.
    Jacques Dion
    CEO
    418-833-0773
    418-833-4055 (FAX)