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|CMGI Changes Name to ModusLink Global Solutions, Affirming Leading Position in Global Supply Chain Business Process Management|
|WALTHAM, Mass., Sep 29, 2008 (BUSINESS WIRE) -- Former Internet operating and development company CMGI(R),
Inc. (NASDAQ: CMGI) has transformed from its legacy as an Internet
pioneer into a leading provider of global supply chain business process
management solutions. The transition is marked today with the renaming
of CMGI to ModusLink Global Solutions(TM),
Inc. Commencing with market open tomorrow, Tuesday, September 30, 2008,
ModusLink Global Solutions will trade on NASDAQ under the symbol MLNK.
During the last several years, the company executed many strategic and operational initiatives as part of its transformation, including investments in a globally integrated technology platform, introduction of new solutions and appointment of new senior leadership. The recent acquisitions of Open Channel Solutions(R) and PTS Electronics(TM) solidified the transition and complement the Company's existing operating company, ModusLink(R). ModusLink Global Solutions delivers an integrated portfolio of supply chain business process outsourcing and technology solutions across four core competencies: supply chain, aftermarket, e-Business and entitlement management.
"CMGI's 2004 acquisition of Modus Media began the company's transformation into a focused provider of supply chain business process management solutions," said Joseph C. Lawler, chairman, president and CEO of CMGI, now ModusLink Global Solutions. "The decision to change the name reflects the success and respect that ModusLink has earned as a leader in the supply chain outsourcing industry, and encompasses the market synergies enabled by the acquisitions of PTS and Open Channel Solutions. We have created a strong platform and believe that the business is ready to move from a transformational phase to a growth phase."
About ModusLink Global Solutions
ModusLink Global Solutions, Inc. is a leader in global supply chain business process management. The Company executes critical processes for clients in the high technology and communications industries to provide competitive differentiation and enable new channel and new market opportunities. An integrated portfolio of supply chain business process outsourcing and technology solutions span four core competencies: supply chain, aftermarket, e-Business and entitlement management. ModusLink Global Solutions has headquarters in Waltham, Massachusetts and more than 30 facilities in 13 countries -- giving it the largest global footprint in the industry. For additional information, visit www.moduslink.com.
This release contains forward-looking statements, which address a variety of subjects including, for example, expected future growth, the further execution of the Company's strategic business plan and impact of that plan, prospects for growth, the expected impact of strategic initiatives and financial performance, the expected benefits and impact of the OCS and PTS transactions and the expansion of capabilities expected to occur as a result of the transactions. All statements other than statements of historical fact, including without limitation, those with respect to the Company's goals, plans, expectations and strategies set forth herein are forward-looking statements. The following important factors and uncertainties, among others, could cause actual results to differ materially from those described in these forward-looking statements: the Company's success, including its ability to improve its cash position, expand its operations and revenue, lower its costs, improve its gross margins, sustain profitability, reach its long-term objectives and operate optimally, depends on its ability to execute on its business strategy and the continued and increased demand for and market acceptance of its services; global economic conditions, especially in the technology sector are uncertain and subject to volatility; demand for our clients' products may decline or may not achieve the levels anticipated by our clients; the Company's management may face strain on managerial and operational resources as they try to oversee the expanded operations; the Company may not be able to expand its operations in accordance with its business strategy; the Company's cash balances may not be sufficient to allow the Company to meet all of its business and investment goals; the Company may experience difficulties integrating technologies, operations and personnel in accordance with its business strategy; the Company derives a significant portion of its revenue from a small number of customers and the loss of any of those customers could significantly damage the Company's financial condition and results of operations; the Company frequently sells to its supply chain management clients on a purchase order basis rather than pursuant to contracts with minimum purchase requirements, and therefore its sales and the amount of projected revenue that is actually realized are subject to demand variability; risks inherent with conducting international operations; and increased competition and technological changes in the markets in which the Company competes. For a detailed discussion of cautionary statements that may affect the Company's future results of operations and financial results, please refer to the Company's filings with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. Forward-looking statements represent management's current expectations and are inherently uncertain. We do not undertake any obligation to update forward-looking statements made by us.
CMGI is a registered trademark and ModusLink Global Solutions is a trademark of ModusLink Global Solutions, Inc. ModusLink is a registered trademark of ModusLink Corporation. All other company names and products are trademarks or registered trademarks of their respective companies.
Farrah Phillipo, 781-663-5096