Communication Intelligence Corp. Interim Court Approval for Secured Financing
REDWOOD SHORES, Calif. — September 22, 1994 — Communication Intelligence Corp. (NASDAQ/CICIQ)(CIC) announced Thursday that on Sept. 9, 1994 the United States Bankruptcy Court, Northern District of California granted interim authority for CIC to enter into a secured financing and to draw down $250,000 of a total $1,000,000 financing, final approval of which is pending the result of a court hearing scheduled for Sept. 28, 1994.
This draw down occurred on Sept. 16, 1994. At that time, the company also issued to the lender a two year warrant to purchase 500,000 shares of common stock in CIC at the current market price of $0.50 per share.
On September 28th CIC expects to file its proposed Plan of Reorganization and Disclosure Statement to begin the process of an orderly exit from Chapter 11. The Plan of Reorganization will be subject to approval by the Court and the company's creditors and shareholders.
The secured loan of $1,000,000 has been negotiated to supply the company with the working capital to resume normal business operations and to acquire the permanent financing that will enable CIC to propose its Plan Of Reorganization. Subject to approval of the Plan, the loan may form part of the previously mentioned permanent financing. The terms of this financing will form part of the proposed Plan of Reorganization.
Communication Intelligence Corp.
Communication Intelligence Corp. (CIC) develops, markets, and licenses natural input computer technology — products that use pen and image for input. Founded in 1981, CIC is the leading supplier of pen computing products to hardware manufacturers throughout the world, particularly its multilingual Handwriter Recognition System and Dynamic Signature Verification software, and PenDOS and PenMac pen operating environments.
CIC's intention is to preserve user investments in installed hardware and software products by allowing existing and new pen applications to operate on all major hardware and operating system platforms, including handheld and PDA systems. CIC develops and sells software and hardware for pen computing-designing all of its products with an open-architecture to encourage alliances with other companies. The company's Handwriter Recognition System software is available in US and UK English, German, French, Italian, Spanish, and Japanese languages and is compatible with various operating systems. A Chinese language recognition system is currently under development.
CIC is headquartered in Redwood Shores, Calif., United States of America and has subsidiaries in Tokyo, Japan and Nanjing, China. CIC's stock is publicly traded as CICIQ on NASDAQ.
Note to Editors:
Company and product names used herein are trademarks or registered trademarks of their respective companies.
CONTACT:
CIC, Redwood Shores
Maurice Boucher, 604/689-8588
Beverly Scott, 415/802-7754