PWNX Powerlinx Inc (CE)

PowerLinx, Inc. (OTCBB:PWLX), a developer, manufacturer, and seller of powerline communication products today announced that it has effected a one for fifty reverse split of its common stock as approved by its Board of Directors on March 3, 2006. Upon today's market open, March 22nd, PowerLinx's common stock will begin trading on a split-adjusted basis under the new trading symbol "PWNX" (OTCBB:PWNX). Mike Tomlinson, Chief Executive Officer stated, "The reverse stock split was an agreed upon provision under the terms of our new financing agreement that we announced on March 16, 2006; and is part of our overall long-term plan to improve our equity structure and to attract new investors. We believe that this decision, coupled with financing that allows our management team to now focus entirely on the implementation of its business plan; will contribute to shareholder value." As a result of the reverse stock split, every fifty shares of common stock of PowerLinx that is issued and outstanding shall automatically be combined into one issued and outstanding share without any change in the par value of such shares. The number of shares of PowerLinx's common stock issued and outstanding will be reduced from 238,987,200 as of March 21, 2006 to approximately 4,779,745 shares post-split. The number of shares the Company is authorized to issue was also reversed in the same one for fifty ratio. The reverse stock split affects all shares of common stock, stock options, and warrants outstanding as of the effective time of the reverse stock split. PowerLinx will pay cash to shareholders in lieu of any fractional shares. About PowerLinx, Inc.: PowerLinx, Inc., http://www.power-linx.com, develops, manufactures, and markets products and applications that transmit voice, video, audio and data either individually or in any and all combinations over power lines, twisted-pair wires and coax in AC and DC power environments, on any and all power grids. The Company has also developed, manufactured, and marketed different kinds of underwater video cameras, lights and accessories for the marine, commercial and consumer retail markets. Web site: http://www.power-linx.com E-mail: investor@power-linx.com This press release may contain "forward-looking statements" that involve risks and uncertainties, including statements regarding our plans, future events, objectives, expectations, forecasts, or assumptions. Any statement in this press release that is not a statement of historical fact is a forward-looking statement, and in some cases, words such as "believe," "estimate," "project," "expect," "intend," "may," "anticipate," "plans," "seeks," and similar expressions identify forward-looking statements. These statements involve risks and uncertainties that could cause actual outcomes and results to differ materially from the anticipated outcomes or result, and undue reliance should not be placed on these statements. These risks and uncertainties may include: the adoption of our new products by customers; our ability to identify, develop, and commercialize new applications for our products; the ability to manage our anticipated growth; scaling-up our manufacturing capabilities; protecting our intellectual property; and other risks and uncertainties discussed in filings made with the Securities and Exchange Commission (including risks described in subsequent reports on Form 10-Q, Form 10-K, Form 8-K, and other filings). PowerLinx, Inc. disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.