NEW YORK and LONDON, Dec. 4, 2006 (PRIME NEWSWIRE) -- Electronic Game Card(tm), Inc. (OTCBB:EGMI), the creator of a proprietary credit card-sized pocket game combining interactive capability with "instant win" excitement called the Electronic GameCard(tm), today confirmed that it has filed an 8K detailing agreement with the required majority in interest of investors to resolve outstanding obligations and issues in its previously completed offering pursuant to the Securities Purchase Agreement dated March 15, 2005.
As a result, the Company has authorized the filing of the previously approved amendment to authorize its Series A Convertible Preferred Stock. With that filing, its outstanding Promissory Notes automatically convert to the Series A Convertible Preferred Shares. This conversion will simplify the capital structure of the company.
"The successful conversion of the Electronic Game Card(tm) promissory notes to preference stock allows the company to focus on the sales and marketing of the GameCards in our $100 billion global markets of state and national lotteries, Indian gaming, gaming and the sales promotion and incentive markets. The strategy is for the company to continue expanding the customer base across all sectors, which will result in an increased order book allowing the company to achieve solid organic growth, increased operating income, and strong cash flow," commented a company spokesperson.
About Electronic Game Card. Inc.
Electronic Game Card(tm) Inc., (OTCBB:EGMI), develops, produces and markets innovative games to the lottery, casino, and promotional industry worldwide. The Company's lead product is the Electronic GameCard, a unique credit card-sized pocket game combining proprietary technology of interactive capability with "instant win" excitement. The "Electronic GameCard(tm)" can be programmed to suit a variety of gaming and promotion applications with over 20 software programs available.
Electronic Game Card's(tm) client base is across the $100 billion global market of state and national lotteries, gaming and casinos, Indian gaming and the expanding sales promotion and incentive markets. Electronic Game Card(tm) develops sales and marketing relationships with agents globally and has a joint venture with a major lottery-focused, U.S.-listed corporation that owns approximately 8% of the Electronic Game Card(tm) common stock. For further information please visit www.electronicgamecard.com
July 2005, the Public Gaming Research Institute (PGRI) named the Electronic GameCard(tm) as a 2005 Lottery Product of the Year during its conference in Las Vegas. The PGRI award recognizes the importance of new products to the growth and continuing success of worldwide lotteries.
Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the Securities and Exchange Act of 1934. The Company believes that its expectations, as expressed in these statements are based on reasonable assumptions regarding the risks and uncertainties inherent in achieving those expectations. These statements are not, however, guarantees of future performance and actual results may differ materially. Risk factors are listed in the most recent Annual Report on Form 10-KSB and Quarterly Report on Form 10-QSB filed with the Securities and Exchange Commission.