New credit facility better suited to Verso's business objectives
ATLANTA, Georgia (December 19, 2001)
- Verso Technologies, Inc. (Nasdaq NMS: VRSO), an integrated
switching solutions company that is adapting cost savings of IP
networks to the unique requirements of voice, today announced
that it has closed on a one-year $5 million asset-based revolving
credit line with Silicon Valley Bank, which specializes in the
financial needs of technology companies. This credit facility
replaces Verso's facility with PNC Bank.
Juliet Reising, Verso's chief financial officer, commented, "When
the new management team came on board in September 2000, Verso
was in a very different business, and the existing credit
facility with PNC was appropriate based on the company's
operations and credit needs at that time. Based on where the
Company is today, we opted for a $5 million line with Silicon
Valley Bank because it is more representative of our current
asset base and borrowing needs; there was no reason to pay for
more credit than we needed."
Reising continued, "Silicon Valley Bank has established a
national reputation for its expertise in understanding the needs
of fast-growth technology companies. The relationship management
representatives at SVB have demonstrated that they clearly
understand our business objectives and were able to offer
flexible products and services that will allow Verso to promote
and sustain its growth."
"Verso has uniquely positioned itself to take advantage of the
large market opportunity that exists among communications service
providers seeking to deploy VoIP technologies to improve
operational efficiencies and generate new revenue streams," said
Alan Spurgin, senior vice president in Silicon Valley Bank's
Atlanta office. "We are pleased to have established this
relationship and look forward to helping Verso attain its goal of
becoming a dominant player in this space."
About Verso Technologies, Inc.
Verso Technologies provides integrated switching solutions for
communications service providers that want to develop IP-based
services with PSTN scalability and quality of service. Verso's
unique, end-to-end native SS7 capability enables customers to
leverage their existing PSTN investments by ensuring
carrier-to-carrier interoperability and rich billing features.
Verso's complete VoIP migration solutions include state of the
art hardware and software, OSS integration, the industry's most
widely used applications and technical training and support. For
more information about Verso Technologies, contact the company at
www.verso.com or by calling 678.589.3500.
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: Fremont, 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; New York, New York;
Durham, North Carolina; Portland, Oregon; Philadelphia,
Pennsylvania; Austin, Texas; Dallas, Texas; Northern Virginia;
and Seattle, Washington.
Andrea McGhee, Corporate Communications, (408) 654-3078,
Jennifer L. Pepper, Director of Investor Relations, (678)