NEWS:9/30 "SMTC Corporation Files Charter..".SMTC Corporation Files Charter Amendment For Reverse Stock
Split
9/30/04
TORONTO, Sep 30, 2004 (Canada NewsWire via COMTEX) --
SMTC Corporation (Nasdaq: SMTX) today announced that it will
be filing with the Delaware Secretary of State an amendment to
the Company's charter to effect a one-for-five reverse stock split
of its outstanding shares of common stock. The amendment
was approve d by stockholders at the Company's Annual
Meeting held on May 20, 2004, and the reverse stock split will
become effective at 12:01 A.M. (Eastern Time) on Monday,
October 4, 2004. The Company expects that its common stock
will begin trading on a post-split basis on October 4, 2004 under
the temporary trading symbol "SMTXD" for approximately 20
trading days before reverting to "SMTX" on or about November 1,
2004.
As a result of the reverse stock split, approximately 38.8 million
of the Company's outstanding shares will be reduced to
approximately 7.8 million shares. In addition, the number of
authorized shares of common stock will be reduced from 130
million to 26 million shares. The Company will pay cash in lieu
of issuing any fractional shares that would otherwise be
issuable to its stockholders of record as a result of the split. The
Company's transfer agent, Mellon Investor Services LLC, will
serve as the exchange agent to implement the split and will
notify record holders of the procedures to exchange their stock
certificates. Stockholders holding shares of common stock in
brokerage accounts or in street name will not be required to take
any further action to effect the exchange of their stock certificates.
SMTC's subsidiary, SMTC Manufacturing Corporation of Canada,
will implement a one-for-five reverse stock split of its outstanding
exchangeable shares effective as of October 4, 2004 so that one
exchangeable share will continue to be exchangeable for one
share of common stock following the reverse stock split.
About the Company: SMTC Corporation is a global provider of
advanced electronic manufacturing services. The Company's
electronics manufacturing, technology and design centers are
located in Appleton, Wisconsin; Boston, Massachusetts; San
Jose, California; Toronto, Canada; and Chihuahua, Mexico with a
third party facility in Chang An, China. SMTC offers technology
companies and electronics OEMs a full range of value-added
services. SMTC supports the needs of a growing, diversified
OEM customer base primarily within the industrial, networking,
communications and computing markets. SMTC is a public
company incorporated in Delaware with its shares traded on the
Nasdaq National Market System under the symbol SMTX and on
The Toronto Stock Exchange under the symbol SMX. Visit
SMTC's web site, www.smtc.com, for more information about the
Company.
Note for Investors: The statements contained in this release that
are not purely historical are forward-looking statements which
involve risk and uncertainties that could cause actual results to
differ materially from those expressed in the forward-looking
statements. These statements may be identified by their use of
forward-looking terminology such as "believes", "expect", "may",
"should", "would", "will", "intends", "plans", "estimates",
"anticipates" and similar words, and include, but are not limited
to, statements regarding the expectations, intentions or
strategies of SMTC Corporation. For these statements, we claim
the protection of the safe harbor for forward-looking statements
provisions contained in the Private Securities Litigation Reform
Act of 1995. Risks and uncertainties that may cause future
results to differ from forward-looking statements include the
challenges of managing quickly expanding operations and
integrating acquired companies, fluctuations in demand for
customers' products and changes in customers' product
sources, competition in the EMS industry, component shortages,
and others discussed in the Company's most recent filings with
securities regulators in the United States and Canada. The
forward-looking statements contained in this release are made
as of the date hereof and the Company assumes no obligation
to update the forward-looking statements, or to update the
reasons why actual results could differ materially from those
projected in the forward-looking statements.
VIEW ADDITIONAL COMPANY-SPECIFIC INFORMATION:
https://www.newswire.ca/en/releases/orgDisplay.cgi?okey=78156
For further information: Jane Todd, Senior Vice President and
Chief Financial Officer, (905) 479-1810, jane.todd(at)smtc.com
News release via Canada NewsWire, Calgary 403-269-7605
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