Tallagium Corporation
TSX VENTURE : TAA

Tallagium Corporation

November 28, 2006 19:04 ET

Tallagium Corporation: Press Release

CALGARY, ALBERTA--(CCNMatthews - Nov. 28, 2006) - Tallagium Corporation (TSX VENTURE:TAA) ("Tallagium") in a press release dated November 9, 2006 gave notice that it filed, with SEDAR, restated consolidated financial statements for 2005, the period ending March 31, 2006, the period ending June 30, 2006, and restated MD&As for 2005 and the periods ending March 31, 2006 and June 30, 2006. These documents were the wrong versions and must be disregarded and only those documents filed with SEDAR on November 28, 2006 must be used. Also the numbers that were stated in the press release dated November 9, 2006 were wrong and the correct numbers are listed below.

Tallagium previously announced that the Alberta Securities Commission ("ASC") was conducting a Continuous Disclosure Review ("Review") of Tallagium, in conjunction with its annual review of financial statements and continuous disclosure materials of reporting issuers, to monitor compliance with securities laws and to provide recommendations to increase the quality of financial reporting Tallagium has reviewed and rectified deficiencies raised by the ASC and has restated and filed its annual audited financial statements and MD & A for the year ended December 31, 2005; the interim financial statements and MD & A for the periods ended March 31, 2006 and June 30, 2006 (with the comparatives to those financial statements also reflecting the restatement); and the Annual Information Form for the period ended December 31, 2004.

The changes to the Annual Consolidated Financial Statements for the period ended December 31, 2005 and comparable 2004 period and for the first quarter period ended March 31, 2006 and second quarter period ended June 30, 2006 reflect the following:

- Changes to the Gross Revenue reducing Gross Revenue by:

- 2004- $447,134

- 2005- $690,647

- First Quarter 2006- $242,230

- Second Quarter 2006, 3 months ending June 30- $153,244

- Second Quarter 2006, 6 months ending June 30- $360,441

It should be noted that although the Gross Revenue was reduced there was no impact on the net profit for 2005. There was an increase of $19,976 on net profit for the first quarter 2006 and a decrease of $19,976 on net profit for the second quarter 2006. These impacts were due to Tallagium not accounting for commissions on an accrual basis for the first quarter 2006. There was no impact on the net profit for the six-month period ending June 30, 2006,

- Earnings were segmented by business type to better reflect how the Corporation's revenues were generated.

- The notes to the Consolidated Financials and in the MD&A and AIF relative to dividends received and paid were changed to better reflect this activity.

- The notes to the Consolidated Financials and the MD&A and AIF relative to the issuance of bonds and notes receivable were changed to better reflect this activity.

- The notes to the Consolidated Financial Statements and the MD&A relative to disclosure controls were changed to reflect the findings of the ASC and identify Management changes to improve these controls.

Tallagium's principal business is focused on the operations of MegaDox Corporation, a wholly-owned operating subsidiary. MegaDox is an Alberta e-commerce company which is in the business of selling self-help legal and business forms for the USA, Canada, UK, Australia, New Zealand, India and other countries.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Tallagium Corporation
    Mr. Arthur M. Szabo, Q.C.
    President
    (403) 245-1211
    (403) 245-0569 (FAX)