TERREBONNE, QC, Aug. 13 /CNW Telbec/ - PowerTech Corporation Inc. ("PowerTech" or the "Company"; TSX-V: PWB) announced today that of the Company is forced to momentarily halt its operations and that it has ended employment with all of its management team members. The Company will however hire some of its former officers on a contractual basis to execute specific mandates in order to help the Company in further developing avenues to resume its operations. This situation results from the inability to close the acquisition transaction announced in the fall of 2009 combined with reducing revenues generated from its current operations due to the market conditions that have not yet recovered from the economic crisis.
The Chairman of the Company's board of directors, Mr. Luc Mainville, confirms that "The Company will continue to attempt to close an acquisition transaction and that it also evaluates other avenues to resume its operations or yet to potentially sell assets including its novel and patented technology.
PowerTech also announces the resignation of Mr. Dany Girard from its Board of Directors for personal reasons. The Company does not intend to replace him in the short term.
Mr. Mainville stated: "We still strongly believe that the Company's novel and patented technology will end up being widely deployed in the heavy equipment industry but it needs further resources. Moreover, while the Company was making great progress with the commercialization of its product line, the commercial gains were not sufficient to offset the negative impacts of the economic downturn and the difficult industry environment. We indeed thank all efforts from our former officers who had accepted to work without compensation since May 24th, 2010" concluded Mr. Mainville.
About Power Tech (www.powertechci.com)
Power Tech is the only company in the world that manufactures and commercializes percussion technology with interchangeable tools and accessories for the construction, demolition and military industries.
Power Tech's percussion technology is a technological breakthrough that combines the power of a hydraulic hammer with the stripping force and manoeuvrability of a conventional bucket. Power Tech's products are marketed under the PicBucket (R) and PicHammer (R) names as well as under world renowned private label brands thru OEM agreements with large manufacturers.
The trademarks PicBuckets (R), PicHammer (R) and the Power Tech logo are registered trademarks of Power Tech Canada Inc.
Certain statements included herein, including those that express management's expectations or estimates of the future performance of the Company, constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements.
Neither TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this release.
SOURCE POWERTECH CORPORATION INC.
For further information: For further information: Mr. Carol Murray, Director, PowerTech Corporation Inc., Tel.: (450) 963-6400 #101, Fax: (450) 963-4411, email@example.com