Versatile Systems Inc.

Versatile Systems Inc.

March 12, 2008 04:00 ET

Versatile Announces $13,300,000 of Credit Facilities

Increase in the bank line of credit and new supplier line of credit

VANCOUVER, CANADA--(Marketwire - March 12, 2008) - Versatile Systems Inc. (TSX VENTURE:VV)(AIM:VVS), announces that it has obtained a line of credit of $5,800,000 from the Commerce Bank, an increase from the previous line of credit of $3,000,000. Versatile has repaid the Commerce Bank Term Loan of $2,749,263 that was originally advanced on April 25, 2005. The Line of Credit is limited to 70% of eligible accounts receivable and bears interest at the prime rate of lending. Security for the Line of Credit consists of a first charge on the accounts receivable and other assets of certain U.S. subsidiaries.

Versatile has also obtained a new Vendor line of credit commencing March 11, 2008 for $5,500,000 and flexing up to $7,500,000 at the end of each quarter. The Vendor line of credit is non-interest bearing for amounts that are due in less than 45 days and has a second charge on the accounts receivable and other assets of certain U.S. subsidiaries.

About Versatile

Versatile provides business solutions that enable companies to improve sales, marketing and distribution of their products. Versatile also provides information technology services for the implementation, maintenance and security of mission-critical computer environments. Versatile has the ability to architect solutions involving both proprietary and third party components. For more information:

Forward-Looking Statements

This document may contain forward-looking statements relating to Versatile's operations or to the environment in which it operates, which are based on Versatile's operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict or are beyond Versatile's control. A number of important factors including those set forth in other public filings could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. In addition, these forward-looking statements relate to the date on which they are made. Versatile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

All amounts are expressed in U.S. dollars unless otherwise stated. (C) 2008 Versatile Systems Inc. All rights reserved.

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

Contact Information

  • Versatile Systems Inc.
    John Hardy
    Chairman and CEO
    1-800-262-1633 or International: 001-206-979-6760
    Versatile Systems Inc.
    Fraser Atkinson