"Photographing America" Project Accelerated
SCOTTSDALE, AZ, Aug. 21 /CNW/ - Zaio Corporation (TSX-V: ZAO) announced
today that its wholly owned USA subsidiary, Zaio Inc., has closed its planned
acquisition of the assets of Chicago, Illinois based Virtual Imaging
Corporation (VIC). Virtual Imaging Corp. has produced 30 million interior and
exterior photographs of buildings since 1980 and is the nation's most
experienced and largest firm in this industry. Zaio has successfully
photographed 7.5 million homes and is currently taking photos at the rate of
over 58,000 photos per day. The acquisition is expected to have a significant
impact on Zaio's rate of photography and database build-out.
Zaio is rapidly building the nation's largest "Appraisal Knowledge
Warehouse(TM)" that contains exterior street level photos, interior photos,
site verified property data, proprietary "GeoScore(TM)" property ratings, and
official appraised values of all buildings in the USA. The Company now has the
ability to deliver a full range of appraisal services in all 50 states, and is
delivering those services to 400 revenue generating clients. Zaio is working
to accelerate the geographic coverage and availability of its "instant"
Thomas Inserra, CEO of Zaio Corporation stated, "This deal is directly
inline with our strategic initiative and it provides the resources necessary
to significantly increase our database growth. We are focused on accelerating
our national roll-out and delivering on those plans. We will continue to
explore other ways to expedite completion of the database and continue to grow
The "Sub-Prime" lending crisis in the United States underscores the
critical need for many types of customers to more quickly value the underlying
real estate used as collateral in Mortgage Backed Securities, a $20 trillion
market. While stocks and bonds can typically be valued instantly in real-time,
official appraisals of real estate often take 7 days to 7 weeks to be
That lengthy lag time in valuing real estate can lead to liquidity
problems for lenders and the Mortgage Backed Securities market, particularly
when real estate values are rapidly changing. Zaio is the only known company
in North America that has a solution for this significant market problem by
supplying customers with official appraised values in real-time (seconds).
Customers access official appraisal reports prepared by licensed local
appraiser experts who prepared their valuations in accordance with tough
federal standards. The appraisals are obtained by customers much the same way
they access credit reports from a secure credit database, and customers can
more quickly and efficiently value one property or an entire portfolio of real
Additionally, Rod Mitton, CFO of Zaio indicated that, "Zaio remains debt
free and has a sizeable cash reserve that can be tapped if necessary to
further accelerate our growth. We recently announced another solid quarter
and, as previously stated our strong balance sheet is providing us the
leverage to continuing our rapid pace of growth and execution on a number of
strategic acquisitions to solidify Zaio leadership position in the
Mr. Mitton also confirmed that the Company has received approval for its
Normal Course Issuer Bid from the TSX. The Bid will run from August 21, 2007
to August 20, 2008.
About Virtual Imaging Corporation
Chicago Illinois based Virtual Imaging Corporation (VIC) was established
in 1980 and is the nation's largest supplier of photos and virtual tour
services to Realtors and MLS boards. More company information can be found at
Zaio is the North American leader in developing and maintaining a
site-verified database of photos, valuations and property information of
virtually every property for entire cities, using a proprietary "GeoScore(TM)"
property rating system. Zaio and its network of premiere, local appraiser
experts photograph and appraise entire cities, one building at a time from the
Zaio is a public corporation that trades under the symbol "ZAO" on the
TSX-V Exchange in Canada. Additional information is available for US investors
under the symbol "ZAOFF".
For investors who would like to be added to Zaio's investor distribution
list, please contact Collum Hunter at firstname.lastname@example.org.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this press release.
This press release contains forward-looking statements which may include
financial and business prospects, as well as statements regarding the
Company's future plans, objectives or economic performance and financial
outlooks, including without limitation, a forecast on expected annual
revenues. Such statements are subject to risk factors associated with the real
estate industry, and the overall economy in both Canada and the United States.
There can be no assurance that the synergies and current revenues of the
businesses acquired will continue and grow at the levels anticipated by
management. The Company believes that the expectations reflected in this press
release are reasonable, but actual results may be affected by a variety of
variables and may be materially different from the results or events predicted
in the forward-looking statements. Readers are therefore cautioned not to
place undue reliance on these forward-looking statements.
In evaluating forward-looking statements readers should consider the risk
factors which could cause actual results or events to differ materially from
those indicated by such forward-looking statements. These forward-looking
statements are made as of the date hereof, and unless otherwise required by
applicable securities laws, the Company does not intend nor does it undertake
any obligation to update or revise any forward-looking statements to reflect
subsequent information, events, results or circumstances or otherwise.
For further information:
For further information: visit our website at www.zaio.com or please
contact: Thomas J. Inserra, President and CEO, (480) 575-5111; Rodney D.
Mitton, CFO, (403) 802-2033; Thomas Beverly, CEO, Virtual Imaging Corporation,