|Press Release 8/18/03|
|Global ePoint Announces Signing of New Corporate Customers|
Initial Orders to be Delivered in the 2003 Third
Quarter Totaling Approximately $500,000 in Additional Revenue
Customers Mark Expansion of Customer Base and Potential
Increase in Annual Revenues of $5 Million to $10 Million
||CITY OF INDUSTRY, California. --- August 18, 2003--- GLOBAL EPOINT, INC. (the “Company”) (NASDAQ SC: GEPT) today announced that its recently acquired McDigit division (“McDigit”), which manufactures customized computers and provides comprehensive solutions for industrial personal computer, commercial personal computer and contract manufacturing markets, has signed two new corporate customers. Under the arrangements with the new customers, McDigit will be providing industrial personal computers to the customers for use with the customers’ advanced security technology. The relationships are expected to be on going, and the customers have initially ordered approximately $500,000 of industrial personal computers to be fully delivered in the 2003 third quarter. Although there can be no certainties to continuing orders, it is anticipated that the customers could order $400,000 to $800,000 of industrial personal computers per month once the initial orders are delivered, potentially providing approximately $5 million to $10 million of additional annual revenue over the next year.|
|“We are pleased to add these new customers to our expanding customer base,” said Toresa Lou, Chief Executive Officer of McDigit. “Although McDigit only began operations in 2001, within just two years it now provides approximately 80% of the industrial personal computers used in X-ray scanning equipment in U.S. domestic airports. With that as our base, we are now expanding into other security surveillance equipment markets as well as into non-security markets, such as medical applications. As a result of our expansion, we anticipate our existing core business to show excellent revenue growth during the third and fourth quarters of this year.”|
|Ms. Lou further commented, “We also anticipate continuing McDigit’s market expansion over the next two quarters. McDigit has the infrastructure in place to dramatically increase production and handle all anticipated expansion plans over the near term. Over the next few months we will also be working on integrating all of Global ePoint’s business opportunities into a more unified strategic plan designed to further enhance shareholder value.”|
As a result of the merger, the Company now has two main operating divisions. One operating division manufactures customized computers and provides comprehensive solutions for industrial personal computer, commercial personal computer and contract manufacturing markets. This division currently provides approximately 80% of the industrial computers to companies that supply x-ray security equipment for the airline industry. The Company is now expanding its manufacturing into other markets, such as medical applications. The Company’s other operating division, Sequent Technologies, is beginning to establish initial market acceptance of its long-range video, audio and data transmission system, called the "RAIDIUS System," including the "Ranger" and "Paladin" products. Sequent’s systems are designed to transmit video, audio and data streams from anywhere using virtually any data transmission system and the Internet. Sequent’s ability to network video surveillance systems and provide secure access via existing Internet, cellular and computer interfaces is designed to enhance the potential use of video in Law Enforcement, Public Safety, Commercial Security, Homeland Defense, Airport/Airline, and Military applications.
statements in this release are made pursuant to the "safe harbor"
provisions of the Private Securities Litigation Act of 1995. Investors
are cautioned that actual results may differ substantially from such forward-looking
statements. Forward-looking statements involve risks and uncertainties
including, but not limited to, the successful completion of equity raises,
which may be necessary for Global to implement its plans to develop new
market opportunities, continued acceptance of Global’s products
and services in the marketplace, competitive factors, new products and
technological changes, Global’s successful entry into new markets,
Global’s ability to increase its customer base, as well as general,
political and other uncertainties related to customer purchases and agreements
and other risks detailed in Global’s periodic filings with the Securities
and Exchange Commission.