Solos Endoscopy Reduces Liabilities by More than $570,000 Company Expected to Achieve Positive Net Book Value for the Second Quarter 2012
BOSTON, April 25, 2012 /PRNewswire/ -- Solos Endoscopy, Inc.'s (OTCPK: SNDY) is pleased to announce that the Company has successfully reduced its liabilities on its Balance Sheet by more than $570,000. As a result, the Company expects to achieve a Positive Net Book Value when it posts its second quarter financials, and show significant reduction of its liabilities for the period ended March 31, 2012.
Solos Endoscopy recently issued Preferred Stock valued at $10 per share in order to reduce its liabilities by $315,000 and has reduced the remaining $140,000 in Preferred Stock payable as a forgiveness of debt. In addition, as result of other equity investments received, Solos Endoscopy has been able to reduce its payables by an additional $120,000. Solos Endoscopy previously consummated agreements, which resulted in the forgiveness of $457,471 in debt for the Company. The signed settlement agreement and new consulting agreement resulted in a reduction of ongoing expenses by approximately $60,000 per quarter that carried over into 2012. As a result, Solos Endoscopy was able to reduce its total liabilities to approximately $285,000.
Throughout 2011 and the first quarter of 2012, Solos has been focused on reducing its debt, and strengthening its Balance Sheet. The Company expects to be virtually debt free by the 2nd Quarter of 2012, and will begin to build its asset base by purchasing additional inventory of endoscopic equipment. Solos Endoscopy has developed several new modifications to its endoscopic instrument lines to accommodate the continual advances in Laparoscopic surgical procedures. The significant advances over the past several years have led to a number of advantages to the patient with laparoscopic surgery versus an open procedure (laparotomy). The demand for endoscope services is increasing due to an increase in the aging and chronically ill population worldwide. Advancements in endoscopic technologies and inclusion of various types of lighting sources, video cameras, real-time conversion of data into three-dimensional images are also driving this market.
The Solos MammoView® system is currently in use at various teaching hospitals across the United States. From July through November, mammary ductoscopy instrument sales accounted for approximately 40% of the total sales for the period.
"Solos management has made a real effort to reduce debt and position the Company for profitability. By working with its various creditors, management believes the Company can be virtually debt free by the 2nd quarter of 2012," stated Bob Segersten, President of Solos Endoscopy, Inc.
About Solos Endoscopy, Inc.:
Solos Endoscopy, Inc. is a HealthCare instrument company whose mission is to develop and market high quality and innovative instruments for the screening, diagnosis, treatment and management of medical conditions. Additional information on its FDA approved products is available on the Company's website at: www.solosendoscopy.com.
Safe Harbor: This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approval for anticipated actions.
SOURCE Solos Endoscopy, Inc.