IceWEB Shares Letter Received From Graeme Gibson, CEO of Computers & Telecom and KC NAP, Discussing Pending Merger & Compelling Advantages of Joining Forces
IceWEB Storage Corporation – (OTC BB:IWEB), an
award-winning Unified Data Storage appliance provider for cloud and
virtual environments, as well as the highly secure, scalable IceBOX BYOD
(Bring Your Own Device) Private Digital Cloud Solution, CEO,
Rob Howe today provided the following update regarding the pending
acquisition of Computers & Telecom, Inc. and KC NAP, the companies that
IceWEB has been in the process of acquiring.
“Mr. Gibson’s letter spells out in detail many of the reasons why we are
excited about this acquisition, why it has been a lengthy process to
complete, and shows the enthusiastic commitment of CTC/KC-NAP’s team to
become part of IceWEB as a Complete Cloud Services Company,” said Rob
Howe, IceWEB CEO.
Mr. Gibson’s Letter:
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An Open Letter to IceWEB
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July 7th, 2013
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Management & Stockholders:
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I felt it would be useful for both IceWEB’s management and its
stockholders to hear from us as we wind down the process of getting
through the due diligence & audit and soon prepare to be an IceWEB owned
pair of companies. It has been a difficult process, as we have had to
completely explain two very complex private closely held companies, with
unique assets for which there are no readily available comparable public
firms for appraisal or evaluation. After all, there are only 45 NAP’s in
the world, most run as closed subsidiaries of telephone companies or
real-estate investment trusts that do not publish independent data. Add
to this the fact that many of the vendor relationships of both CTC and
the NAP are not based on dollar denominated payments, but trades for
roof rights or bandwidth exchanges, and we have had the auditors and
IceWEB’s CFO hopping in casting the financials to GAAP standards.
However, that being said, here is what soon will happen: IceWEB will add
to its portfolio some 300 high quality commercial customers most with
recurring revenue. This includes firms like American Century
Investments, Crown Center, Dairy Farmers of America, Hallmark, Holiday
Inn, JE Dunn, Marriott Hotels and Sheraton Hotels. Most of our revenue
is based on contracts ranging from 24 to 60 months and our sales efforts
lock in long term stable revenue. This is one of the brightest aspects
of our future together. Rob Howe, IceWEB’s CEO, has extensive marketing
and sales experience and we give him a virtual smorgasbord of new
services to sell that complement the current offerings in every way. For
example, now when an IceBOX system is sold, IceWEB not only gets the one
time sale and the recurring revenue of license renewals, but also the
additional revenue of client co-location and bandwidth sales, or the
greater revenue of a fully-managed services system. We also get the
opportunity to sell the client additional services of data bandwidth,
phones, intercompany private networking, mail and web services.
More importantly, IceWEB clients moving to the cloud finally have the
availability from one company of the services of a systems manufacturer,
a domain registrar, a premium ISP and bandwidth exchange, a full
services data center, a systems integrator, a VoIP and Video provider,
and a disaster recovery facility. Most customers to secure these
services would be working with a minimum of 3-5 different firms with the
corresponding workload of coordinating these services. In selling this
broad mix of services we make the customers very “sticky,” as one vendor
usually cannot deliver this full range. We will save them that headache
and together ride the rising tide of recurring revenue generated in the
process.
So I hope you all see this is much more than IceWEB’s buying just a
multi-million dollar asset in the data center alone. It is in fact
buying that and a metro spanning two state wholly owned wireless network
encompassing 50 cities, and the capacity to bring dark fiber and
unlimited bandwidth to over 350 multi-tenant buildings near or along our
fiber rings with the ability to expand this to a national offering
covering thousands of sites as we tap additional regional assets. We see
a very bright future as we help broaden and enhance the base of the
company while mutually sharing in the growth of top line revenue. We
look forward to both the challenge and the opportunity.
Graeme Gibson, CDP, MCSE
President and CEO
CTC, Inc. and KC
NAP, LLC
For more information please call 800-465-4637 or visit www.iceweb.com.
To become part of the Company’s e-mail list for industry updates and
press releases, please send an e-mail to ir@iceweb.com.
This press release may contain forward-looking statements, which are
made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. In some cases you can identify those
so-called “forward-looking statements” by words such as “may” “will,”
“should”, “expects”, “plans”, “targets”, “believes”, “anticipates”,
“estimates”, “predicts”, “potential”, or “continue”, or the negative of
those words and other comparable words. These forward-looking statements
are subject to certain risks and uncertainties, product tests,
commercialization risks, availability of financing and results of
financing efforts that could cause actual results to differ materially
from historical results or those anticipated. Further information
regarding these and other risks is described from time to time in the
Company’s filings with the SEC, which are available on its website at: http://www.sec.gov.
We assume no obligation to update or alter our forward-looking
statements made in this release or in any periodic report filed by us
under the Securities Exchange Act of 1934, as amended, or other
document, whether as a result of new information, future events or
otherwise, except as otherwise required by applicable federal securities
laws.
Copyright Business Wire 2013