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CITY OF INDUSTRY, Calif. — (BUSINESS WIRE) — June 9, 2005 — Global ePoint, Inc. (Nasdaq: GEPT – News), a leading manufacturer of security technologies for the aviation, military, law enforcement, industrial and commercial markets, announced today that Astrophysics, a leading developer and manufacturer of X–ray scanning security systems, received purchase orders valued at $2.1 million for 75 baggage x–ray inspection machines to be used in Saudi Arabia, the Philippines and Australia. Global ePoint recently entered into a non–binding letter to intent to acquire Astrophysics, in a transaction scheduled to close curing the third quarter.
"Despite Astrophysics’ short operating history, it has already generated an impressive customer base," said Toresa Lou, Global ePoint’s CEO. "Francois Zayek, Astrophysics’ CEO, is a recognized knowledge leader in the X–ray technology industry, and his expertise in X–ray technologies has been sought by major X–ray detection companies in the U.S. resulting in several consulting arrangements. Starting Astrophysics allowed Francois to apply his expertise and experience to develop innovative security technology that we believe will play a role that is integral to the success of the Department of Homeland Security. With increased government spending on homeland defense, there are enormous opportunities that require X–ray scanning systems to secure our borders, airports and ports, Astrophysics has the technology to capitalize on this demand. Upon completion of this transaction, Global ePoint will have transformed itself from a contract manufacturing company to a cutting edge security technology company developing security solutions for one of the most rapidly growing in this country."
"The combination of Astrophysics and Global ePoint is an ideal one, as both companies are able to generate powerful synergies through joint marketing activities to both the Global AirWorks and Astrophysics customers," said Francois Zayek. "While we are seeing substantial interest from our North American customers for our x–ray scanning technology, we are increasingly seeing international countries purchasing our products. The combination with Global ePoint will allow us to develop the infrastructure to support and sustain rapid growth."
Astrophysics delivers turnkey x–ray inspection systems to customers worldwide for use at airports, government buildings, custom, banks, courthouses, hospitals, prisons and other locations. Astrophysics’ technology teams have developed leading proprietary products in baggage and cargo inspection. For more information please see www.astrophysicsinc.com
Global ePoint designs, manufactures and markets security products and systems for the aviation, military, law enforcement and industrial markets. Its contract manufacturing abilities not only provide a cost–advantage in the production of leading security technology products but also a steady stream of reliable revenue to help fund its expansion in to high growth, high technology markets related to security. Its vertical integration allows it to maintain superior operating efficiencies and to provide cost–advantaged products. For more information please see www.globalepoint.com
Subject to the completion of definitive agreements to acquire Astrophysics, the Global ePoint intends to file with the Securities and Exchange Commission a proxy statement, and other relevant documents in connection with the proposed acquisition, if and when available, because it will contain important information. Investors and security holders may obtain a free copy of the proxy statement, if and when available, and other documents filed by the company at the Securities and Exchange Commission’s web site at www.sec.gov. The proxy statement and such other documents may be obtained, if and when available, from the company by directing such request to Global ePoint, Inc. 339 S. Cheryl Lane, City of Industry, California 91789. Attention: Investor Relations. A description of any interests that any of Global ePoint’s directors and executive officers have in the proposed acquisition is included in Current Report on Form 8–k filed with the SEC on June 3, 2005 and will be available in the proxy statement.
This news release contain forward-looking statement within the meaning of the Private Security Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward–looking statements. Factors that could cause or contribute to differences include, but are not limited to, the risk that Astrophysics transaction may not be completed in 2005, or at all; risks related to the inability to obtain, or meet conditions to the consummation of the transaction, including approval by stockholders of Global ePoint; risks related to any uncertainty surrounding the transaction, and the costs related to transaction; risks related to the integration of GlobalePoint’s recently acquired operations; market acceptance of Global ePoint’ products; delays in the introduction of new products; production and/or quality control problems further approval of regulatory authorities and the denial, suspension or revocation of certifications and licenses by governmental authorities and Global ePoint’s ability to obtain capital as and when needed. For a discussion of these and other factors which may cause actual events or results to differ from projected, please refer to the company’s most recent annual report on Form 10–KSB and quarterly reports on Form 10–QSB, as well as other subsequent fillings with the Securities and Exchange Commission. The Company cautions readers not to place undue reliance on any forward looking statements. The Company does not undertake, and specifically disclaims any obligation, to update or revise such statements to reflect new circumstances or unanticipated events as they occur. |
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