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TYPE: 425
SEQUENCE: 1
DESCRIPTION: NEWSPAPER ARTICLE FILED PURSUANT TO RULE 425
Filed by: RMI.NET, Inc. This
communication is filed pursuant to Rules
165 and 425, as promulgated under the
Securities Act of 1933, as amended.
Subject Company: Internet Communications
Corporation
Commission File No. 0-19578
THIS NEWSPAPER ARTICLE IS FILED BY RMI.NET, INC. PURSUANT TO RULES 165 AND 425
OF THE SECURITIES ACT OF 1933 AND IS THEREBY DEEMED FILED PURSUANT TO RULE
14A-12 UNDER THE SECURITIES EXCHANGE ACT OF 1934. INVESTORS ARE URGED TO READ
THE VARIOUS FILINGS OF RMI.NET, INC AND INTERNET COMMUNICATIONS CORPORATION THAT
HAVE BEEN AND WILL BE FILED WITH THE SECURITIES AND EXCHANGE COMMISSION WITH
RESPECT TO RMI.NET'S PROPOSED ACQUISITION OF INTERNET COMMUNICATIONS
CORPORATION, INCLUDING THE PROXY STATEMENT/REGISTRATION STATEMENT THAT IS
REQUIRED TO BE FILED WITH RESPECT TO THE PROPOSED ACQUISITION. THE SECURITIES
AND EXCHANGE COMMISSION FILINGS ARE AVAILABLE TO THE PUBLIC AT THE SECURITIES
AND EXCHANGE COMMISSION'S WEB SITE AT http://www.sec.gov. INVESTORS CAN ALSO
OBTAIN FREE COPIES OF THE DOCUMENTS RELATING TO RMI.NET, INC. BY CONTACTING
CHRISTOPHER J. MELCHER, VICE PRESIDENT AND GENERAL COUNSEL, RMI.NET, INC. LEGAL
DEPARTMENT, 999 EIGHTEENTH STREET, SUITE 2201, DENVER, COLORADO 80202, (303)
672-0700, http://www.rmi.net.
Set forth below are press releases issued by RMI.NET, Inc.
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CSG SYSTEMS TO INVEST $1 MILLION IN RMI.NET
DENVER, Oct. 19 /PRNewswire/ -- RMI.NET, Inc. (Nasdaq: RMII), a national web
solutions/e-commerce and connectivity company, announced today that CSG Systems
International, Inc. (Nasdaq: CSGS) will make a $1 million equity investment in
RMI.NET, with $750,000 already invested and the balance to come before June
2001. (Photo: http://www.newscom.com/cgi-bin/prnh/19990628/RMILOGO)
RMI.NET and CSG formed a strategic relationship in May 2000 whereby CSG Systems
will furnish enhanced billing services for RMI.NET's customers. This new process
is expected to generate significant monthly savings for RMI.NET, increase
revenues, and provide more accurate, timely billing of customers.
"This investment is another strong vote of confidence in RMI.NET," stated
Douglas H. Hanson, RMI.NET Chairman and CEO. "CSG is an important business
partner for us. Given how well they know our business, their investment shows
that they like how we're executing on our strategic action plan."
In June, RMI.NET announced a five-point strategic action plan to reach
profitability, under which RMI.NET will grow organic revenue, control operating
costs, retain customers, develop market-driven products, and upgrade its
network. RMI.NET remains on track to reach neutral EBITDA in December, according
to Hanson.
About RMI.NET
Denver-based RMI.NET is a national e-commerce and connectivity company focusing
on Web solutions for small and medium-sized businesses. The company specializes
in e-business applications; hosting and co-location; web design and web
marketing; and high-speed Internet access, including DSL service. RMI.NET has
annualized revenue of approximately $50 million and more than 100,000 customers
nationwide. The company wholly owns a shopping, e-commerce and portal site,
www.webzone.com. For more information, call (800) 411-6066 or visit RMI.NET's
website at www.rmi.net.
This press release may contain forward-looking statements. Although the company
believes these statements are based on reasonable assumptions, differences
between assumed facts and actual results can be material, depending on the
circumstances. For example, the conversion to CSG.net may not yield expected
results, or RMI.NET may not continue to receive capital infusions or may not
meet its cash-flow and profitability objectives, possibly resulting in an
inability to execute on all aspects of the company's business plan. Investors
should be aware of the important factors and risks that could have a material
impact on future cash results and should refer to the cautionary statements
sections of RMI.NET's periodic filings with the Securities and Exchange
Commission, including the most recent forms 10-K and 10-Q.
/CONTACT: Jeremy Bronson of RMI.NET, 303-672-0706, jbronson@rmi.net/
3
RMI.NET SIGNS AGREEMENT WITH TIME WARNER FOR CABLE OPEN ACCESS C COMPANY
SELECTED BY TWO LARGEST CABLE COMPANIES FOR CLOSELY WATCHED TRIALS
DENVER, Oct. 18 /PRNewswire/ -- RMI.NET, Inc. (Nasdaq: RMII), a national web
solutions/e-commerce and connectivity company, announced today that it has been
chosen as one of a select few Internet companies to test multiple-company
provision of high-speed Internet service over cable systems owned by Time Warner
Cable, a subsidiary of Time Warner, Inc. (NYSE: TWX).
(Photo: http://www.newscom.com/cgi-bin/prnh/19990628/RMILOGO)
"Broadband access is the future of our industry," stated Douglas H. Hanson,
RMI.NET Chairman and CEO. "We have been positioning RMI.NET for that future for
nearly two years and count this agreements among the multiple indicators of our
success."
RMI.NET recently announced that its digital subscriber line (DSL) customer
growth rate has more than tripled in 2000, and DSL continues to be a core
service product for the company. Cable open access has also been a key component
of the company's broadband strategy, and RMI.NET executives have testified
before the Federal Communications Commission and the Colorado legislature on
this issue.
"We are eager to help demonstrate that cable system operators and Internet
service providers can offer broadband Internet service over the same networks in
an environment of healthy competition," said Hanson, "and we are pleased that
the two largest national cable companies included RMI.NET in their trials."
The company had previously announced its selection to participate in the major
AT&T trial being conducted in Boulder, Colorado. The Time Warner project will
take place in Columbus, Ohio.
About RMI.NET
Denver-based RMI.NET is a national e-commerce and connectivity company focusing
on Web solutions for small and medium-sized businesses. The company specializes
in e-business applications; hosting, co-location, and web solutions, including
design and marketing; and high-speed Internet access, including digital
subscriber line (DSL) service. RMI.NET has annualized revenue of approximately
$50 million and more than 100,000 customers nationwide. The company wholly owns
a shopping, e-commerce and portal site, www.webzone.com. For more information,
call (800) 411-6066, or visit RMI.NET's web site at www.rmi.net.
This press release may contain forward-looking statements. Although the company
believes these statements are based on reasonable assumptions, differences
between assumed facts and actual results can be material, depending on the
circumstances. For example, RMI.NET may not be granted access to cable systems
in order to sell its service to them, or the company may not have sufficient
capital available to take advantage of such opportunities. Investors should be
aware of the important factors and risks that could have a material impact on
future results and should refer to the cautionary statements sections of
RMI.NET's periodic filings with the Securities and Exchange Commission,
including the most recent forms 10-K and 10-Q.
/CONTACT: Jeremy Bronson of RMI.NET, Inc., 303-672-0706,
jeremy.bronson@corp.rmi.net/
4
RMI.NET RANKS 7TH ON COLORADO'S 'TECHNOLOGY FAST 50' LIST
DELOITTE & TOUCHE REPORT NAMES RMI.NET SEVENTH-FASTEST
GROWING TECHNOLOGY COMPANY, WITH 2,455 PERCENT GROWTH
DENVER, Oct. 10 /PRNewswire/ -- RMI.NET, Inc. (Nasdaq: RMII), a national web
solutions/e-commerce and connectivity company, has once again been ranked by
Deloitte & Touche as one of the 50 fastest growing technology companies in
Colorado. Rankings are based on the percentage of growth in revenues during the
five-year period from 1995-1999.
(Photo: http://www.newscom.com/cgi-bin/prnh/19990628/RMILOGO)
RMI.NET was ranked seventh on the Colorado Fast 50 list in 2000, with 2,455%
growth over the measured period -- more than twice the average growth rate on
the Colorado Fast 50 list. The company is now automatically considered for
Deloitte & Touche's Fast 500 program, a nationwide list of the fastest-growing
technology companies that included RMI.NET in 1999.
"Winning this award demonstrates once again that we can and do achieve the
objectives we set," stated Douglas H. Hanson, RMI.NET Chairman and CEO. "We very
quickly built a national company with broad capabilities to serve our customers
and a $50 million revenue base. We have shown that we can grow effectively."
"Now we are focused on profitability, and we're on track to meet our stated
objective of EBITDA neutrality in December," added Hanson.
"The Fast 50 recognizes and honors the fastest growing regional technology
companies whose leaders have the vision and determination to beat the odds and
build companies that contribute to the world with long-term solutions," said
Steve Berthe, a Deloitte & Touche partner in the Denver office. "To attain a
listing on the Fast 50 is no easy feat, and we at Deloitte & Touche congratulate
RMI.NET for attaining this honor," Berthe added.
In addition to ranking in the top 10 of the Fast 50 two years in a row, RMI.NET
was recently named to the Denver Post Top 100 list and was just selected as one
of the 50 companies to watch in Denver by LocalBusiness.com.
In June 2000, RMI.NET announced a five-point strategic action plan, aimed at
increasing organic revenue, reducing operating costs, retaining customers,
selling market-driven products, and upgrading network infrastructure. Hanson
noted, "The company is organized to advance these five objectives, and we expect
continued good news on all five fronts in the weeks ahead."
About RMI.NET
Denver-based RMI.NET is a national e-commerce and connectivity company focusing
on solutions for small and medium-sized businesses. The company specializes in
e-business applications; web solutions, including design, hosting and marketing;
and high-speed Internet access, including digital subscriber line (DSL) service.
RMI.NET has annualized revenue of over $50 million and more than 100,000
customers nationwide. The company wholly owns a shopping, e-commerce and portal
site, www.webzone.com , which includes the proprietary search engine, Infohiway.
For more information, call (800) 411-6066, or visit RMI.NET's web site at
www.rmi.net.
This press release may contain forward-looking statements. Although the company
believes these statements are based on reasonable assumptions, differences
between assumed facts and actual results can be material, depending on the
circumstances. For example, RMI.NET may not continue to grow at a rate
commensurate with past performance, and the company may not meet its cash-flow
and profitability objectives, possibly resulting in an inability to execute on
all aspects of the company's business plan. Investors should be aware of the
important factors and risks that could have a material impact on future results
and should refer to the cautionary statements sections of RMI.NET's periodic
filings with the Securities and Exchange Commission, including the most recent
forms 10-K and 10-Q.
/CONTACT: Jeremy Bronson of RMI.NET, Inc., 303-672-0706,
jeremy.bronson@corp.rmi.net/
5
RMI.NET ON TRACK TO REACH EBITDA NEUTRAL BY YEAR-END; FIVE
POINT STRATEGIC ACTION PLAN HAVING DESIRED IMPACT
DENVER, Oct. 4 /PRNewswire/ -- RMI.NET, Inc. (Nasdaq: RMII), a national web
solutions/e-commerce and connectivity company, announced today that significant
progress in all areas of its five-point strategic action plan is having the
desired impact. The company is on-track to achieve EBITDA (Earnings Before
Interest, Taxes, Depreciation and Amortization) neutrality by year-end.
(Photo: http://www.newscom.com/cgi-bin/prnh/19990628/RMILOGO)
Since announcing its new strategic action plan in June, the company has grown
organic revenues, reduced operating expenses, introduced systems to improve
customer retention, developed a new market driven product and has significantly
upgraded its network.
"RMI.NET is not the same company it was nine months ago," said Douglas H.
Hanson, RMI.NET Chairman and CEO. "Every employee in this company is focused on
providing outstanding customer service and doing it cost effectively. This
focused effort is beginning to have an impact. We are so confident in our
direction that we now are looking beyond EBITDA neutrality to profitability," he
explained.
The first point of the plan is to grow organic revenue by selling more services
to existing customers. In June the company initiated a major effort to increase
DSL sales. Since August, RMI has added 1,000 DSL customers per month, versus 300
per month during the first half of the year. The company expects this trend to
accelerate through direct sales, referral partner programs and a new wholesale
division.
The company also has made considerable progress in its ongoing cost reduction
program. Since June, the company has reduced operating expenses by 43 percent
and anticipates further reductions throughout the remainder of the year. It is
on target to reach EBITDA neutrality by year-end.
To improve customer satisfaction, the third point of the plan, the company has
introduced a new national customer care center and consolidated its billing
operations into a more customer-friendly interface. The new national customer
care center replaces five regional operations. It provides one point of contact
for all customer telephone calls and introduces a new web-based self-care
service option.
The new web-based billing system, designed and operated by CSG Systems Inc.,
replaces 11 separately run systems providing a more effective and efficient
system for customers. The new single billing system that substantially reduces
operating expenses, is being launched October 23.
The fourth point of the strategic action plan is to develop market driven
products. The company has just released Marketplace v2.0 providing its
e-commerce customers with a new set of tools to effectively do business on the
web. This next generation platform enables online shopping, purchasing and
fulfillment. It also offers customer relationship and inventory management and
advanced merchandising capabilities. Further, the program has been designed to
integrate third party accounting and payment options.
As announced in August, the company also is on track to upgrade its network with
its agreement with Global Crossing North America. This $46 million five-year
agreement provides RMI.NET with a nationwide fiber backbone giving its customers
upgraded connections, the ability to connect toll-free nationwide and the
ability to access data and video services more efficiently.
About RMI.NET
Denver-based RMI.NET is a national e-commerce and connectivity company focusing
on solutions for small and medium-sized businesses. The company specializes in
e-business applications; web solutions, including design, hosting and marketing;
and high-speed Internet access, including digital subscriber line (DSL) service.
RMI.NET has annualized revenue of over $50 million and more than 100,000
customers nationwide. The company wholly owns a shopping, e-commerce and portal
site, www.webzone.com, which includes the proprietary search engine, Infohiway.
For more information, call (800) 411-6066, or visit RMI.NET's web site at
www.rmi.net.
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This press release may contain forward-looking statements within the scope of
the Securities Act of 1933 and the Securities Exchange Act of 1934. Although the
company believes these statements are based on reasonable assumptions, it can
give no assurance that its goals will be achieved. Differences between assumed
facts and actual results can be material depending on the circumstances and
investors should be aware of the important factors that could have a material
impact on future results. Please refer to the cautionary statements section of
RMI.NET's 10-K dated December 31, 1999, and other Securities and Exchange
Commission filings subsequent to this date.
/CONTACT: Alex Burney of RMI.NET, Inc., 303-672-0882, alex.burney@corp.rmi.net/