SOURCE: Spare Back Up

November 23, 2010 06:00 ET

Spare Backup, Inc. Sees Recent Launches With Distribution Partners Yielding Revenue of $500,000 to $1 Million in 4th Quarter 2010

Management Sees a Progressive Increase in Recurring Revenue With Current Distribution Partners Totaling $20 to $25 Million in 2011

PALM DESERT, CA--(Marketwire - November 23, 2010) - Spare Backup, Inc. (OTCBB: SPBU) announced today that management sees the recent launches made by a number of distribution partners in North America and Europe yielding revenue ranging between $500,000 and $1 million in the 4th quarter. Additionally, as these rollouts continue into 2011, management estimates recurring revenue will total between $20 and $25 million based on its current distribution agreements. 

As referenced in its November 3, 2010 press release Spare Backup was selected by Simplexity to power a revolutionary cloud-based mobile data backup and transfer service for Simplexity's wireless retail site, Wirefly.com and its other affiliate sites. This new service, called Wirefly Mobile Backup allows cell phone users the ability to backup, store, sync, and share, retrieve and coordinate all their data across all their devices, regardless of manufacturer, including PCs, cell phones and PDAs via a central web-based interface. Additionally, as referenced in its October 4, 2010 press release, the Carphone Warehouse Limited (CPW), a unit of Best Buy Europe Distributions Limited (BBE), had begun the launch of its Geek Squad Max Computing and Max Mobile protection programs bundled with Spare Backup's Co-branded My-Hub backup and cloud computing services along with Spare Mobile. A further launch of a $2.99 monthly version of My-Hub is slated for launch in December on a new version of "My Hub." This enables both companies to now offer an "affordable monthly "solution in- store at the point of sale. 

After reviewing current customer acceptance trends for various offerings made by these as well as other Spare Backup distribution partners, management sees a progressive increase in recurring revenue ranging between $20 and $25 million in calendar 2011. Management's estimates are based on our products being positioned alongside, or bundled with, other warranty and security offerings by our distribution partners with similar adoption rate calculations to those experienced by them historically. Spare Backup is also in various stages of negotiations with other potential partners for its PC and mobile backup, and cloud computing platforms, as well as, its mobile security products. 

Mr. Cery Perle, CEO of the Spare Backup, Inc., commented, "Our efforts over the course of the majority of 2010 have been focused on the redesign and more importantly, the repositioning of our product lines coupled with the broadening or our distribution base. With the addition of mobile security, we now a have a full line of cloud-based product offerings which have been optimized to generate a significant and scalable recurring revenue stream in 2011. We as a team at Spare have worked very hard to get to this point, and we believe we are poised to be able to operate through cash flow generation and enter into a period of rapid growth in both our top and bottom line for the benefit of our shareholders."

About Spare Backup, Inc.:

Spare Backup, Inc. specializes in helping consumers, small office/home office users and small to mid-sized businesses protect their computer data quickly, automatically and cost-effectively. The company's flagship Spare Backup product is the first totally automated online backup service that intelligently selects, secures and stores files without any user intervention, automatically backing up documents, email, music, photos and other PC files on a continuous basis or according to the schedule of the user's choice. The company recently launched a suite of cloud computing products along with its new mobile platforms and security products. The company is headquartered in Palm Desert, California.

Safe Harbor Statement:

The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking information made on the company's behalf. All statements, other than statements of historical facts, which address the company's expectations of sources of capital or which express the company's expectation for the future with respect to financial performance or operating strategies can be identified as forward-looking statements. Such statements made by the company are based on knowledge of the environment in which it operates, but because of the possibility of unknown factors, as well as other factors beyond the control of the company, actual results may differ materially from the expectations expressed in the forward-looking statement. An investment in our common stock involves a significant degree of risk. You should not invest in our common stock unless you can afford to lose your entire investment. You should consider carefully all risk factors and other information in our annual report and quarterly filings before deciding to invest in our common stock. If any of the following risks and uncertainties develops into actual events, our business, financial condition or results of operations could be materially adversely affected and you could lose your entire investment in our company.

Forward-Looking Statements

Statements in this press release that are not strictly historical in nature, including future performance, management's expectations, beliefs, intentions, estimates or projections, constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. Some can be identified by the use of words (and their derivations) such as "need," "possibility," "offer," "development," "if," "negotiate," "when," "begun," "believe," "achieve," "will," "estimate," "expect," "maintain," "plan," and "continue," or the negative of these words. Factors that could cause or contribute to such differences include, but are not limited to, the risk the Company's products are not adopted or viewed favorably by the healthcare community; risks related to the current uncertainty and instability in financial and lending markets, including global economic uncertainties; variations in our quarterly operating results; product integration in physician practices and hospitals; timing and volume of sales and installations; length of sales cycles and the installation process; market acceptance of new product introductions; ability to establish and maintain strategic relationships; ability to identify and integrate acquisitions; relationships with licensees; competitive product offerings and promotions; changes in government laws and regulations and future changes in tax legislation and initiatives in the healthcare industry; undetected errors in our products; possibility of interruption at our data centers; risks related to third party vendors; risks related to obtaining and integrating third-party licensed technology; acceptance of the Company's marketing and promotional campaigns; risks related to a security breach by third parties; maintaining, developing and defending our intellectual property rights including those pertaining to our biotechnology assets; risks associated with recruitment and retention of key personnel; uncertainties associated with doing business internationally across borders and territories; and additional risks discussed in the Company's filings with the Securities and Exchange Commission. Additionally, we are a developing early-stage company and many variables can affect revenues and/or projections, including factors out of our control. The Company is providing this information as of the date of this release and, except as required by law, does not undertake any obligation to update any forward-looking statements contained in this release as a result of new information, future events or otherwise.

Contact Information

  • Contact:
    Spare Backup, Inc.
    Richard Galterio
    760-779-0251
    760-779-0251 x224
    ir@sparebackup.com