Westboro, MA -- September 6, 2001 -- Applix, Inc., (NASDAQ: APLX), a leading provider of customer analytics, customer relationship management (CRM) and business planning software, today announced that it has secured a $5 million dollar credit facility from Silicon Valley Bank, a subsidiary of Silicon Valley Bancshares (NASDAQ: SIVB). Applix also announced that it is on track with forecasted expense savings this quarter and that its restructuring efforts are yielding favorable results.
"We successfully reduced expenses over the past two quarters, and while we don't immediately anticipate accessing the $5 million credit facility provided through Silicon Valley Bank, it gives us the financial flexibility to continue to pursue our strategic objectives, " said Ed Terino, Applix Chief Financial Officer. "We met with a number of lending institutions and found Silicon Valley Bank to be the most accommodating and understanding of our business needs. We look forward to a long relationship with Silicon Valley Bank."
Applix implemented a restructuring and expense reduction plan during the second quarter of 2001 aimed at streamlining worldwide operations. As a result of this and other initiatives, Applix successfully reduced its quarterly expense run-rate by approximately $3.5 million to $11 million. Applix is forecasting to close the third quarter ending September 30, 2001, with approximately $8.0 - $8.4 million in cash.
"Applix is a solid partner: a high-technology company with superior products and a sound vision," said Bryan Jadot, vice president, Silicon Valley Bank's Boston office. "We are happy to provide them the potential to access additional capital, giving them the added liquidity to execute their strategy and weather the current financial downturn."
Applix, Inc., (NASDAQ:APLX) is a leading global provider of customer analytics, CRM and business planning software that rapidly transforms information into knowledge -- enabling companies to obtain and retain customers through better decision-making. Applix captures information from every corner of a company's extended enterprise, including internal and external customers, financial operations, partners and suppliers. Its flexible, scalable products adapt to companies' unique and competitive business processes and provide real-time analysis, planning, measurement and response to changing customer requirements and business dynamics. Headquartered in Westboro, MA, Applix has offices in eight countries and more than 4,000 customers worldwide. For more information, visit www.applix.com.
About Silicon Valley Bank
Silicon Valley Bank serves emerging growth and middle market companies in targeted niches, focusing on technology and life sciences, while also addressing other specific industries in which it can provide a higher level of service and better manage credit through specialization and focus.
The Bank operates throughout the Silicon Valley: Santa Clara, Palo Alto and Sand Hill, the center of the venture capital community in California. Other regional offices within California include: Irvine, Los Angeles, Napa Valley, San Diego, San Francisco, Santa Barbara, and Sonoma. Office locations outside of California include: Phoenix, Arizona; Boulder, Colorado; West Palm Beach, Florida; Atlanta, Georgia; Chicago, Illinois; Boston, Massachusetts; Minneapolis, Minnesota; Durham, North Carolina; Portland, Oregon; Philadelphia, Pennsylvania; Austin, Texas; Dallas, Texas; Northern Virginia; and Seattle, Washington.
Notes to Investors
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results to differ materially. Specifically, comments related to the ability to execute cost reductions, future cash reserves, and the ability to return to profitability, may be considered forward-looking and subject to a number of risks and uncertainties, including but not limited to: the rate of growth in market demand for the products; the acceptance of the Company's products; intense competitive conditions, rapid technological change; frequent new product introductions and evolving domestic and international standards, which may render existing products and services obsolete. Refer to the Company's most recently filed Annual Report on Form 10-K for a list of factors as discussed under "Risk Factors". Applix does not undertake - and specifically declines any obligation - to publicly release the result of any revision that may be made to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events.
Applix Media Contact: Emily Porter, (508) 870-0300 x247, email@example.com.
Applix Investor Contact: Ed Terino, (508) 870-0300 x479, firstname.lastname@example.org
SVB Contact: Andrea McGhee, (408) 654-3078, email@example.com.