Peak Positioning Technologies Inc.
TSX VENTURE : PKK

Peak Positioning Technologies Inc.

August 29, 2013 17:10 ET

Peak Files Second Quarter 2013 Results and Grants Stock Options

MONTREAL, QUEBEC--(Marketwired - Aug. 29, 2013) - Peak Positioning Technologies Inc. ("Peak" or the "Company") (TSX VENTURE:PKK) today announced its financial results for the three-month period ended June 30, 2013 and reviewed recent operating highlights.

Financial Results:

  • Net royalties of $72,500 in the quarter
  • R&D expenditures of $141,413 before tax credits
  • Total expenses significantly lower at $434,778
  • Net loss reduced to $362,278

Operating Highlights:

  • $535,000 of new equity capital and debt financing raised in the first eight months of 2013
  • U.S Investor Relations Program Initiated
  • Term of letter of intent for Peak's acquisition of LongKey extended for 12 months
  • Plans unveiled for new office in Guangzhou, China
  • End of August date set for beta launch of AiNi™ mobile cloud platform on Chinese app stores

Peak is also pursuing other important operating objectives in 2013 in order to position itself for success in 2014 and beyond. Most notable among these are:

  • To enter into an agreement for the distribution of AiNi™ in North America, and;
  • Officially launch AiNi™ pre-installed on China Unicom smart devices in Guangdong province.

Second Quarter Financial Results Summary

Peak generated $72,500 in revenue from royalties in the three months ended June 30, 2013 compared to $20,087 in the comparable period of 2012.

Expenses for the second quarter amounted to $434,778 compared to $931,781 in the comparable period of 2012. The second quarter expenses include R&D expenditures of $141,413 compared $126,945 in the comparable period of 2012. These costs are before deducting investment tax credits, which are accounted for on an annual basis only.

The net loss for the three month period ending March 31, 2013 was $362,278, down from $911,694 in the comparable period of 2012.

Full details of the Company's second quarter 2013 financial results can be found in the Unaudited Consolidated Financial Statements and Management's Discussion and Analysis (MD&A) for the three-and six-month periods ended June 30, 2013 and 2012, which are available at www.sedar.com.

Grant of Stock Options

On August 27, 2013, the Company granted stock options to acquire 1,925,000 common shares at a price of $0.05 to certain employees, directors and consultants. The options will vest over a two-year period and will be exercisable over a period of five years expiring August 27, 2018.

About Peak Positioning Technologies Inc.:

Peak Positioning Technologies Inc. (TSX VENTURE:PKK), is a Canadian software developer for mobile smart devices, and application provider to mobile network operators (MNO) worldwide. In association with its partner, LongKey-Hong Kong Ltd, the company has developed the AiNi™ Mobile Cloud platform. AiNi™ is an enhanced version of the mobile smart device O/S equally designed for the benefit of consumers and MNOs, and marketed to MNOs as a solution to increase and maintain their mobile subscriber bases. AiNi™ comes with a suite of standard applications and features and offers MNOs the possibility to have additional custom applications and features developed and integrated to the platform. For more information: http://www.peakpositioning.com

Forward-Looking Statements / Information

This news release may include certain forward-looking information, including statements relating to business and operating strategies, plans and prospects for revenue growth, using words including "anticipate", "believe", "could", "expect", "intend", "may", "plan", "potential", "project", "seek", "should", "will", "would" and similar expressions, which are intended to identify a number of these forward-looking statements. Forward-looking information reflects current views with respect to current events and is not a guarantee of future performance and is subject to risks, uncertainties and assumptions. The Company undertakes no obligation to publicly update or review any forward-looking information contained in this news release, except as may be required by applicable laws, rules and regulations. Readers are urged to consider these factors carefully in evaluating any forward-looking information.

The TSX Venture Exchange has in no way passed upon the merits of this transaction and has neither approved nor disapproved the contents of this press release. Neither the TSX Venture Exchange, Inc. nor its Regulation Service Provider (as that term is defined under the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of the contents of this press release.

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