SOURCE: Zcom Networks, Inc.

December 17, 2008 09:00 ET

Zcom Networks, Inc. Announces LOI to Acquire Real Estate Equity Holdings, Inc.

LOS ANGELES, CA--(Marketwire - December 17, 2008) - ZCOM NETWORKS, INC. (PINKSHEETS: ZCMN) announced today that the company has signed a letter of intent to acquire Real Estate Holdings, Inc. a real estate acquisition company specialized in purchasing undervalued real estates based in Tarzana, California.

In addition, management stated that having implemented an anti-dilutive strategy to enhance shareholder value that the board of directors has met to discuss actions necessary to complete the acquisition of Real Estate Equity Holdings, Inc. in accordance with the terms as set forth in the letter of intent. Though management reduced the company's issued and outstanding common shares by more than 28% the strategy did not initiate appreciation in the price per share necessary to cost-effectively close the acquisition of Real Estate Equity Holdings, Inc. and facilitate further mergers and acquisitions activities. As a result, and after much deliberation, the board of directors has approved a 200 for one reverse split of the company's outstanding common stock. The effective date will be Friday, December 19th, 2008.

"We reduced the issued and outstanding shares by 1,250,000,000 shares in our commitment to shareholder value. Unfortunately, in our opinion current market conditions were not conducive to any price per share appreciation, but we can not wait for the market to improve to cost-effectively enact our vision of growth," said Zcom President & CEO Dr. Alex Parsinia.

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About Zcom Networks, Inc.: Zcom is a multi-industry holding company with diversified interests including, among others, wholly owned subsidiaries, Allied Mineral Group, Inc., a mining development, exploration and extraction company with the 160 acre gold, silver, tungsten, platinum and copper placer mining claim CLS#12 in Ridgecrest, California; Pam TV International, Inc., a talk and music program provider offering a wide range of content through an interactive multi-media broadcast platform utilizing the internet, traditional radio and satellite radio; and Super Bazar International, Inc., a shopping network company marketing and promoting multiple products on TV, radio and internet including Super Fuel and TV Box.

This release include forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risk and uncertainties including, but not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment, or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel. The company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

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