MONTREAL, Dec. 12 /CNW Telbec/ - BUS Systems Inc. ("BUS" or "the
Company") (TSX-V: BUS) reported its results today for the second quarter and
six months ended October 31, 2007.
The Company launched its flagship product BUS Manager(TM) in the second
quarter and installed its first 20 licences. The Company also continued to
market its BUS Controller(TM) solution and BUS Connector(TM) software to
Quebec industry leaders in segments related to the automobile insurance claims
industry, namely insurance companies, collision repair groups, franchisors and
other key players.
BUS reported revenues of $29,558 for the second quarter ended October 31,
2007 compared to $67 the previous year, and incurred total expenses of
$558,331 compared to $127,559 a year earlier. Consequently, the net loss for
the second quarter of fiscal 2008 was $528,773 or $0.020 per share compared to
a loss of $127,492 or $0.016 per share the previous year. For the first six
months of the year, the Company posted revenues of $56,320 compared to $67 a
year earlier, and expenses totalled $976,477 compared to $132,282 the previous
year. The Company therefore incurred a net loss of $920,157 or $0.036 per
share for the period compared to a loss of $132,215 or $0.021 last year.
"The emphasis in recent months has been on the penetration of the BUS
solution with collision repairers", said Claude Savard, President and Chief
Executive Officer of BUS. "The launch of BUS Manager(TM) late in the second
quarter and the refocusing of our resources on sales should enable us to
increase revenues in the coming quarters. In our opinion, BUS's solution has
the best penetration of any such product with repairers in Quebec to date. It
involves an important innovation for users and consequently requires a greater
learning curve to make the change. We have adapted our product line in the
past months to enable the repairer networks to better support their members in
this transition. BUS has also started developing an application for repairer
networks that will enhance the pertinence of using an integrated network
The Company today closed a private placement in the amount of $240,580.
Pursuant to an undertaking by a private investor on the closing date of the
qualifying transaction, the Company issued 3,436,857 units consisting of one
common share and one warrant at a unit price of $0.07 for cash proceeds of
$240,580. Each warrant allows the holder to purchase one additional common
share at $0.10 for a 60-month period following the issue date.
Proceeds of the private placement will be used for marketing of the BUS
solution, technological development and working capital. The private placement
is subject to the approval of the TSX Venture Exchange.
Common shares and warrants issued by BUS pursuant to the private
placement are subject to a four-month hold period ending on April 12, 2008.
Including the shares issued under the private placement, there are currently
29,761,017 common shares of BUS issued and outstanding.
BUS operates an interactive, transactional internet portal for the
management, processing and follow-up of insurance claims, including management
of relations and the exchange of information between the participants.
The Company's mission is to offer an evolving, integrated electronic
solution that allows those involved in the claims sector or automotive events
industry to come together to exchange information, perform all of the
transactions required within the framework of their respective activities and
continuously improve the efficiency of claims processing.
For additional information about BUS, visit the Company's website at
This press release contains "Forward-Looking Statements" pursuant to the
securities legislation which are based on certain estimates and expectations.
Statements which are not based on historical fact, in particular statements on
management's views and expectations, are Forward-Looking Statements. These
statements are subject to certain risks and uncertainties and the actual
results could differ materially from those presented. The Company is under no
obligation to update any Forward-Looking Statement to take into account any
new information, future event or any other factor.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this press release.
For further information:
For further information: BUS Systems Inc.: Claude Savard, President and
CEO, (514) 350-5252, firstname.lastname@example.org; SOLAK Communications: François
Kalos, (450) 993-0828, email@example.com