In working with Avatech, KCSA will implement a comprehensive investor relations campaign designed to build greater awareness of the Company's unique engineering consulting services, and design software integration and implementation capabilities among the investment community. Over its nearly four-decade history, KCSA has established a strong reputation for its work representing numerous public and private technology companies. Todd Fromer, Managing Partner of KCSA, will lead the investor relations program and provide strategic counsel on financial communications matters for Avatech.
"Since coming in as Chief Executive Officer in May 2007, we have implemented several initiatives to cut costs and improve profitability, while broadening our revenue stream with an emphasis on the engineering services component of our business. As a result of these initiatives, Avatech delivered solid results for its second quarter ended December 31, 2007, with net income increasing 69 percent and services revenue growing 11 percent year over year," said George Davis, President and CEO of Avatech Solutions. "We believe that the Company is now moving in the right direction and that this is the appropriate time to implement a more aggressive communications program. We chose to partner with KCSA for their proven ability to implement strong communications programs, broad capital markets expertise and experience interacting with micro- and small-cap investors."
"Avatech presents a compelling value story based on its strong turnaround program and recent earnings results. The Company is focused on growing its business by leveraging its position as a leading solution provider of Autodesk software products and integrator of Facilities Management solutions to it's more than 18,000 clients, through the continued expansion of its diverse engineering and consulting services. By driving enhanced utilization of its broad base of in-house engineers, consultants and solution experts across the U.S., the Company looks to add value to its base and create additional diverse revenue streams. We look forward to working with management to actively raise awareness of the Company's compelling value proposition to the investment community," said Mr. Fromer.
About KCSA Strategic Communications
Now in its 39th year, KCSA Strategic Communications (www.kcsa.com) is an integrated communications agency that helps clients synchronize their brand messages across investor relations, public relations and all other strategic marketing channels. The firm offers its clients a rare opportunity to achieve true brand alignment and develop close, meaningful relationships with their key audiences. KCSA is a founding member of ECP Global (www.ecpglobal.com), an international alliance of premier independent communication consultancies.
About Avatech Solutions, Inc.
Avatech Solutions, Inc. (OTC BB: AVSO) is the recognized leader in design and engineering technology with unparalleled expertise in design automation, data management and process optimization for the manufacturing, engineering, building design and facilities management markets. Headquartered in Owings Mills, Maryland, the company specializes in consulting, software systems integration and implementation, standards development and deployment, education, and technical support. Avatech is one of the largest integrators of Autodesk software worldwide and a leading provider of PLM solutions. The company's clients include industry leaders from Fortune 500 and Engineering News Record's Top 100 companies. Visit http://www.avatech.com for more information.
This press release contains forward-looking statements about the expectations, beliefs, plans, intentions, and strategies of Avatech Solutions, Inc. There are a number of important factors that could cause actual results to differ materially from those anticipated by any forward-looking information. Statements that are not historical in nature, including those that include the words "goal," "expect," "anticipate," "estimate," "should," "believe," "intend," and similar expressions, are based on current expectations, estimates and projections about, among other things, the industry and the markets in which Avatech operates, and they are not guarantees of future performance. Whether actual results will conform to expectations and predictions is subject to known and unknown risks and uncertainties, including risks and uncertainties discussed in this report; general economic, market, or business conditions; changes in interest rates, and demand for our products and services; changes in our competitive position or competitive actions by other companies; the ability to manage growth; changes in laws or regulations or policies of federal and state regulators and agencies; and other circumstances beyond our control. Consequently, all of the forward-looking statements made in this document are qualified by these cautionary statements, and there can be no assurance that the actual results anticipated will be realized, or, if substantially realized, will have the expected consequences on our business or operations.
This release is available on the KCSA Strategic Communications Web site at www.kcsa.com.