|[June 09, 2005]
Columbia Ventures to Withold Votes for Metro One Directors
VANCOUVER, Wash. --(Business Wire)-- June 9, 2005 -- Columbia Ventures Corporation, the largest shareholder of Metro One Telecommunications, Inc. (NASDAQ:INFO) announced today it will withhold its votes for the election of the company's directors at Metro One's annual meeting scheduled to be held at 3:00 p.m. on Thursday June 16, 2005 at the company's headquarters in Beaverton, Oregon.
Columbia Ventures, which owns 3,090,000 shares or 12.31% of the outstanding common stock of Metro One, has proposed several steps to enhance shareholder value including appointing Kenneth D. Peterson, Jr. as interim Chief Executive Officer at a nominal salary of $1 per month; appointing Gary Henry, Metro One's current Chief Operating Officer, as the company's President; and selecting new, non-management directors who will be more responsive to the company's owners. "Metro One has not responded to these proposals," stated Kenneth D. Peterson, Jr., CEO of Columbia Ventures.
"The company is bleeding cash at a high rate, and has been doing so for two years. The company, in spite of offering superb products, has lost several large customers and has either been unwilling or unable to restructure the business so as to live within the remaining revenues. The company has spent $70 million in advertising and marketing a product that has yet to generate any significant revenues, let alone profits," Peterson wrote to Metro One in a letter dated June 2, 2005.
In that letter, Columbia Ventures offered to purchase 910,000 shares of new stock of Metro One at price of $1.10 per share to demonstrate its optimism about and commitment to its actions to enhance shareholder value.
Columbia Ventures has engaged Allen Nelson & Co. to assist in its efforts.
Columbia Ventures Corporation is a private investment company founded by Peterson in 1987 that today is focused principally on the international telecommunications industry. Its current portfolio companies include CTC Communications Corporation, Hibernia Atlantic, Globalstar Australia, Globalstar LLC and Columbia Fiber Solutions. For more information on Columbia Ventures please visit www.colventures.com
[ Back to the Next Generation Communications Community's Homepage ]