News

SMO, NetBooth close in on merger

April 8, 2002

EVERSON, Wash. -- After spending more than a year working on development of a line of airport and shopping mall kiosks, SMO Multimedia Corp. (Pink Sheets:SMOC) is taking what it considers a logical step toward launching the project: a merger. SMO on April 9 announced that it is in merger talks with kiosk services provider NetBooth Corp.

SMO Chief Executive Officer Robert Pratt said his company has signed a letter-of-intent to merge with the privately held NetBooth. No financial details were announced. Pratt said he expects the merger to be completed by late April.

Based in Las Vegas, NetBooth is a full-service provider, operating a group of companies that provide hardware, software, and other creative and consumer services. The company's clients range from a variety of Las Vegas casino companies to the United States Air Force.

Pratt said the merger would allow SMO greater control over technology and manufacturing issues revolving around its kiosks. The company's proposed line of e-Station kiosks will offer mall directions, coupons, and store and loyalty program information. At airports, the kiosks will provide terminal information and directions.

"With the final development work now completed on our system, plus the additions and know-how we will receive from NetBooth, we have now covered all deployment issues that would normally need to be outsourced," Pratt said in a news release.

In the same release, NetBooth President and Chief Executive Officer Tony Caporicci said his company was impressed with SMO and Pratt's vision.

"The merger makes a lot of sense, both from a cost-efficiency viewpoint, and because of the greater force we will become in the public kiosk market," Caporicci said.

Pratt said once the deal is consummated, the merged company would move to file for inclusion on the OTC Bulletin Board stock listings.