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INVESTNEWSWIRE WEEK IN REVIEW
Week Ending June 8, 2001 IN THIS ISSUE: * Company Highlight : Learncom, Inc.(OTCBB - LRCM) * This Week's Top 10 News Links COMPANY SPOTLIGHT : Learncom, Inc. Lloyd Singer, President and CEO of Learncom (OTCBB: LRCM - news) in an open letter to shareholders provided the following recap of its strategy and progress since the company started its business in January, 1999: Said Singer: "Our goal is to become the major supplier of soft skills training resources and related services in the highly fractionated $60 billion training industry. From humble beginnings, with just twelve employees - all shareholders or option holders - housed in our warehouse in Bensenville, Illinois, we've been successful in acquiring four synergistic product-centric businesses with copyright or distribution rights to several thousand training videos, CD-ROMs and e-learning courses. Two other acquisitions are anticipated for 2001. The same low overhead, flat organization approach to the business that we started with has been a cornerstone of our corporate culture. Build the salespower. Encourage cross-selling. Reduce the redundant overheads inherent in an acquisition strategy. Everybody an owner. The first acquisition in January, 1999 included the high quality video assets (several hundred titles) of WingsNet, Inc. and provided the foundation to get the business started. By midyear, '99 we were cash neutral on just $750,000 in sales and provided our backers with the confidence to fund further growth. In August, 1999, we acquired the stock of BNA Communications, a 50 year producer/distributor of high quality video courseware specializing in harassment prevention, diversity and employment law. The company had been a subsidiary of The Bureau of National Affairs, the large Washington, D.C. publisher and information provider to the legal and HR professions. The business also included a start-up consulting practice in the same subject areas. The top ten video courses all had generated sales in excess of $2 million in revenue - a very strong result in our business. As announced a few weeks ago, we're now preparing the release of A WINNING BALANCE II, the sequel to the title of the same name which has generated revenues of over $5 million and is believed to be the best selling diversity course in history. These courses have been produced by ProGroup, Inc. a leading consulting company in the diversity area. Another major change we've made with the BNAC business model is the sales approach. For years, BNAC had rejected the ``open'' sales model used in the training business. In this model, titles are sold by the producer's own sales staff as well as through other distributors. LearnCom has just signed a non-exclusive deal with a small, but highly productive distributor to sell BNAC best-sellers. In addition, LearnCom's other sales units will be selling BNAC courses. Ultimately we expect to roll out the product to more than 200 distributors with 300 salespeople. Early results are encouraging from these decisions.. In January, 2001, we acquired the stock of venerable distributor, VideoLearning Systems, Inc. (VLS). This deal provided an additional eight salespeople, and three excellent managers. Integration is proceeding on schedule. VLS is on track to generate $2.5 million in revenue in 2001. In March, we announced "agreement in principle" to acquire the trainseek.com website, www.trainseek.com. This huge B2B site, which provides access to over one million training titles across the broad spectrum of platforms and formats is expected to become the main marketing engine for the company. With over 19,000 visitors monthly and its large e-mail list, we can now sell the largest product line ever assembled in the training industry to the largest potential customer base. TrainSeek, Inc. had invested over $7 million in developing the site and establishing the brand. This deal is expected to close in early July. Next up for 2001 is a distribution deal that has the potential to double our size to the $11million level. More importantly, on a proforma basis, we'll have the scale to break into the black...a key goal for management since we opened our doors in that warehouse just 30 months ago. Last week, we announced the $4 million fund-raising that will facilitate closing of the new transaction as well as providing capital for additional transactions and working capital for sales, marketing and product development. I'm pleased but not complacent with our progress. This is all about dedicated people, all owners or owners-to-be working to serve thousands of customers with an outstanding lineup of training products and services that enhance employee performance in thousands of companies. This is also about stockholders who continue to have faith in our Vision and Growth." ABOUT LEARNCOM, INC. LearnCom, Inc.'s four Business Units provide single-source learning resources and consulting services to businesses, government agencies and other non-profit organizations. The Company focuses on human resources, management and safety training - specializing in diversity and critical compliance areas including harassment prevention, employment law and OSHA-required training. LearnCom's resources are provided in a variety of formats including Internet and Intranet delivery, video and CD-ROM. For additional information, visit www.learncom.com, www.videolrn.com and www.trainseek.com. NEWS LINKS - THIS WEEK'S SMALL-CAP HIGHLIGHTS Fonix Selected in Compaq's TrailBlazer Program for Further Integration Of FAAST Framework http://www.investnewswire.com/articles.php?entryID2=422 Unigene Successfully Delivers Oral Insulin http://www.investnewswire.com/articles.php?entryID2=423 eNetpc, Inc. Increases Fiscal Year 2001 Revenue 303% Over Previous Year http://www.investnewswire.com/articles.php?entryID2=420 eAutoclaims Announces $2.4 Million Contract With Commerce West Insurance Company http://www.investnewswire.com/articles.php?entryID2=421 PC World Ranks travelbyus Web Site at Top http://www.investnewswire.com/articles.php?entryID2=415 Maxxon Announces Delivery of Two Injection Molded Parts for Its Safety Syringe http://www.investnewswire.com/articles.php?entryID2=414 EClickMD, Inc. and X10NET Announce Intent to Form Channel Partnership http://www.investnewswire.com/articles.php?entryID2=419 FastComm Communications and Teleprime Inc. Announce Global Channel Partner and Support Agreement http://www.investnewswire.com/articles.php?entryID2=416 Cyber Digital, Inc. Signs an Agreement with Omomia Associates of Nigeria http://www.investnewswire.com/articles.php?entryID2=417 Ravenwood Resources Inc: Record Quarterly Results http://www.investnewswire.com/articles.php?entryID2=413 DISCLAIMER: This is a free publication provided to the subscribers of InvestNewswire. The words contained within this email are those of the noted contributors, and not those of InvestNewswire. This publication shall not constitute an offer to sell or the solicitation of an offer to buy. Please check with your broker or with the companies mentioned to determine whether the securities of said companies may be purchased or sold in your state of residence prior to effecting a transaction. --- You are currently subscribed to investnewswire as: alewis@ect.enron.com To unsubscribe send a blank email to leave-investnewswire-36864D@utarget.sparklist.com
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