ID Watchdog Announces Credit Facility Borrowing and Officer Resignation
DENVER, Aug. 1, 2013 /PRNewswire/ -- ID Watchdog, Inc. (TSX VENTURE: IDW) (PINKSHEETS: IDWAF) ("ID Watchdog" or the "Company"), provider of consumer-facing identity theft protection and resolution services, today announced that on July 31, 2013, its wholly owned subsidiary Identity Rehab Corporation ("ID Rehab"), borrowed an additional $250,000 on its $500,000 secured credit facility (the "Credit Facility") with Costella Kirsch, a California based lender (the "Lender").
ID Rehab borrowed $250,000 on the Credit Facility at closing in February 2013 and achieved certain financial targets, as defined in the credit agreement, which allowed it to borrow the remaining $250,000 available under the Credit Facility (the "Second Draw"). By making the Second Draw, ID Rehab is required to issue 1,000,000 of its ordinary shares to the Lender as compensation. The Credit Facility matures on June 30, 2016, is secured by all of the assets of ID Rehab and the borrowings on the Credit Facility will be used for general corporate purposes.
Michael Greene, CEO, commented, "In addition to the $250,000 we borrowed on our Credit Facility, we were successful in generating over $60,000 of free cash flow during the second quarter of 2013, and these funds will position us to continue to invest in our employee benefit and our tech support channels."
The Company also announced the resignation of Mr. Rick Lunstrum, Vice President of Operations, effective July 31, 2013. Mr. Craig Ramsay, Chief Information Officer, will assume Mr. Lunstrum's duties. In making the announcement Mike Greene, CEO, said, "I personally want to thank Rick for his significant contribution to the Company over the last eight years. He was one of the Company's first employees, has been instrumental in managing our call center and resolutions groups and we wish him only the best in his retirement.
Financial information contained in this press release should be read in conjunction with the consolidated financial statements and notes thereto included in our most recent quarterly reports and our annual report. These documents are available online at www.sedar.com and in the "Company Overview" section of our website at www.IDWatchdog.com.
About ID Watchdog, Inc.
ID Watchdog was founded in 2005 and is headquartered in Denver, Colorado. The Company provides three-tiered comprehensive monitoring, detection and resolution for identity theft. ID Watchdog proactively detects identity theft problems at their source and provides immediate resolution services to ensure complete peace of mind for individuals. All the Company's services have been developed with input from industry experts; national consumer advocacy groups; federal, state, and local law enforcement agencies; consumer protection agencies; and adhere to guidelines published by the Consumer Federation of America. For more information, please visit www.IDWatchdog.com.
This news release includes certain "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 which address future events and conditions which are subject to various risks and uncertainties. The actual results could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. Although the Company believes that its expectations reflected in these forward-looking statements are reasonable, no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements are disclosed in the company's filings with Canadian regulators at www.sedar.com. ID Watchdog assumes no obligation to update the forward-looking statements of management beliefs, opinions, projections, or other factors should they change.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE ID Watchdog, Inc.