Tucson, AZ, May 07, 2018 (GLOBE NEWSWIRE) -- Applied Energetics, Inc. (OTCQB: AERG) today announced that Acting Chief Executive Officer Thomas C. Dearmin has issued the following letter to shareholders.
Fellow Shareholders,
On March 9th, 2018, a new management team was put in place by the shareholders of Applied Energetics (AE). The new Board of Directors (BOD) are Thomas C. Dearmin, an original cofounder and CEO of the company, Jonathon Barcklow and Brad Adamcayk. Our BOD and Scientific Advisory Board are highly qualified and bring invaluable experience to the company. Their bios are available on our new website, www.aergs.com. As the first line of business, Thomas Dearmin was appointed acting CEO by the new board. In the weeks since, the company has undertaken a series of activities focused on certain high priority areas. Most notable of these are: A) understanding where the company currently stands on its current debt situation, and B) the reverification of the company’s valuable patent portfolio. Management considers these two areas critical for the successful reconstitution of the company.
As such, the executive team has now developed a short-term action plan as follows:
- Create and maintain a freshly updated website for shareholders, visit our new website at www.aergs.com
- Assessing and publishing the status and nature of AE’s current intellectual property rights, available below and to shareholders via our website, www.aergs.com
- The recapitalization of the company and addressing of outstanding debt understood to be on the company’s balance sheet. Concerning this, the company is currently in the process of ‘paying in full’ a number of ‘time sensitive’ very dilutive convertible debt loans put in place by Applied Energetics previous single executive board.
- Corporate due diligence on ‘previous’ company financial and stock transactions with particular attention on large ‘dilutive events’, including issuance of shares that were registered on the company’s Registration Statement Form S1 and as executive compensation from March 2, 2015.
- Reestablishing Director & Officer (D&O) liability insurance that had lapsed with previous single executive board.
- Reviewing all recent SEC filings; 10-K, 10-Q, 8-K and Form S-1 Registration Statement for filing timeliness, and content. These filings are available on Edgar Online, www.sec.gov and at our www.aergs.com website.
- Consultant agreement with Cameron Associates and Kevin McGrath to act as investor relations advisors to the company, including investor conferences, quarterly communications, meetings, and shareholder and investor inquiries.
- Effectively using the AE Scientific Advisory Board (SAB) with emphasis on building corporate brand awareness, critical business contacts and participation in industry events.
- Agreement in principle with Stephen McCahon PhD to act as high level scientific advisor with Applied Energetics. Dr. McCahon is one of three original company cofounders, a former AE company Chief Scientific Officer and architect of much of the company’s critical intellectual property. Dr. McCahon will work on advanced technical innovation involving LGE projects with the DoD. Additionally, he will be actively involved in newly emerging commercial uses for directed energy projects, including LGE additive processes for Manufacturing 4.0, Technology 4.0 and the rapidly growing area of Internet of Things (IoT).
- Restart of R&D activities in Tucson, AZ; the company has a business plan in place for operations and personnel.
- Continuing to build a corporate leadership team with strong industry experience and relationships to assist in market pursuits and business development.
- Working on critical outside teaming arrangements with key industry players.
- Launch of targeted business development effort to engage the US Government and its existing teaming partners, while communicating the value of AE’s intellectual property and corporate capabilities.
- Evaluating options concerning selection of legal and SEC counsel with respect to representing the company on important corporate law matters going forward.
AE’s executive team is committed to providing full transparency and updates with respect to the nature and timing of events listed above. AE’s immediate goal will be to leverage the current strength of its patent portfolio and its executive team’s experience in this market to develop a product road map that enables AE to engage with clients on existing and new technologies.
Below is an updated list of AE’s patent portfolio
Applied Energetics (AE) has obtained and reviewed the status of its intellectual property from the US Patent Office. The information covered below was disclosed in an 8-K on April 10, 2018 and is current as of April 9, 2018. It covers all known active patents and patent applications* currently held by AE. The patents are as follows:
AE Publicly Held Patents
| Application No | Title | Filing Date | Patent No | Issue Date | Status |
| 11/345,416 | ELECTRICAL ENERGY DISCHARGE CONTROL | 2/1/2006 | 7345430 | 3/18/2008 | Issued |
| 11/126,509 | SYSTEMS AND METHODS FOR IGNITING EXPLOSIVES | 5/9/2005 | 7987760 | 8/2/2011 | Issued |
| 11/787,423 | DISABLING A TARGET USING ELECTRICAL ENERGY | 4/16/2007 | 8004816 | 8/23/2011 | Issued |
| 11/345,173 | HIGH VOLTAGE GENERATION | 2/1/2006 | 7542314 | 6/2/2009 | Issued |
| 11/277,386 | BARRIER PIERCING ELECTRODE | 3/24/2006 | 7944674 | 5/17/2011 | Issued |
| 10/640,304 | GENERATION OF OPTICAL FILAMENTS BY USE OF PHASE PLATE | 8/14/2003 | 7050469 | 5/23/2006 | Issued |
| 10/640,336 | GENERATION OF OPTICAL FILAMENTS BY USE OF LOCALIZED OPTICAL INHOMOGENEITIES | 8/14/2003 | 7277460 | 10/2/2007 | Issued |
| 11/357,701 | CONTROLLED OPTICAL FILAMENT GENERATION AND ENERGY PROPAGATION | 2/17/2006 | 7903698 | 3/8/2011 | Issued |
| 11/970,916 | REGENERATIVE LASER AMPLIFIER | 1/8/2008 | 7982947 | 7/19/2011 | Issued |
| 09/379,224 | METHOD AND APPARATUS FOR HIGH SPEED ELECTRON BEAM RAPID PROTOTYPING | 8/23/1999 | 6537052 | 3/25/2003 | Issued |
| 10/357,200 | LOOSELY COUPLED PARALLEL RESONANT CONVERTER | 2/4/2003 | 6934165 | 8/23/2005 | Issued |
| 12/436,018 | INTRINSICALLY SAFE SYSTEMS AND METHODS FOR GENERATING BI-POLAR HIGH VOLTAGE | 5/5/2009 | 8358521 | 1/22/2013 | Issued |
| 11/780,245 | ELECTRICAL ENERGY DISCHARGE CONTROL | 7/19/2007 | 7465900 | 12/16/2008 | Issued |
| 12/954,308 | AXIAL WALK OFF MULTI-PASS AMPLIFIERS | 11/24/2010 | 8896915 | 11/25/2014 | Issued |
| 12/954,329 | OFF AXIS WALK OFF MULTI-PASS AMPLIFIERS | 11/24/2010 | 8749880 | 6/10/2014 | Issued |
| 13/357,253 | MULTI-PASS OPTICAL SYSTEM FOR A PUMP LASER | 1/24/2012 | 8665516 | 3/4/2014 | Issued |
| 13/164,506 | REGENERATIVE LASER AMPLIFIER | 6/20/2011 | 8891162 | 11/18/2014 | Issued |
| 13/363,071 | SYSTEMS AND METHOD FOR IGNITING EXPLOSIVES | 1/31/2012 | 8499675 | 8/6/2013 | Issued |
| 13/692,600 | OPTICAL SURVEILLANCE SYSTEMS AND METHODS | 12/3/2012 | 9103723 | 8/11/2015 | Issued |
AE Patents Held Under Secrecy Order of the US Government
| 11/126,512 | SYSTEMS AND METHODS FOR TRANSFERRING ELECTRICAL ENERGY | 5/9/2005 | Secrecy Order | ||
| 10/548,012 | LASER INDUCED SEEDED CHANNEL PLACEMENT | 9/30/2005 | Secrecy Order | ||
| 11/126,519 | SYSTEMS AND METHODS FOR TRANSFERRING ELECTRICAL ENERGY | 5/9/2005 | Secrecy Order | ||
| 11/126,520 | SYSTEMS AND METHODS FOR GENERATING AN ENERGY CHANNEL | 5/9/2005 | Secrecy Order | ||
| 10/548,008 | ELECTRICAL ENERGY TRANSFER | 9/30/2005 | Secrecy Order | ||
| 10/548,010 | SENDING ENERGY TRANSFER CHANNELS WITH A LASER AND THE OPTICAL ELEMENTS AND METHODS THEREOF | 9/30/2005 | Secrecy Order | ||
| 11/414,808 | SYSTEMS AND METHODS FOR DISCHARGING ELECTRICAL ENERGY | 5/1/2006 | Secrecy Order | ||
| 11/520,162 | AIMING AND ENERGY DISCHARGE ELECTRODE | 8/30/2006 | Secrecy Order | ||
| 11/520,160 | PLASMA LOCATION | 8/30/2006 | Secrecy Order | ||
| 11/999,007 | HIGH VOLTAGE CATHODE | 4/15/2008 | Secrecy Order | ||
| 13/134,431 | ELECTRICAL ENERGY TRANSFER | 6/29/2011 | Secrecy Order |
As defined by Section 35 of the US Code of Federal Regulations (CFR): A Secrecy Order remains in effect for a period of 1 year from its date of issuance. A Secrecy Order may be renewed for additional periods of not more than 1 year upon notice by a government agency that the national interest so requires. The applicant is notified of any such renewal.
Sincerely,
Thomas C. Dearmin,
Acting Chief Executive Officer
About Applied Energetics, Inc.
Applied Energetics, Inc., based in Tucson, Arizona, specializes in development and manufacture of advanced high-performance lasers, high voltage electronics, advanced optical systems, and integrated guided energy systems for defense, aerospace, industrial, and scientific customers worldwide. Applied Energetics pioneered and holds all intellectual property rights to the development and use of Laser Guided Energy(TM) (LGE(TM)) technology, and related solutions for commercial, defense and security applications.
FORWARD LOOKING STATEMENTS
Certain statements in this press release constitute forward-looking statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements include all statements that do not relate solely to the historical or current facts and can be identified by the use of forward looking words such as "may", "believe", "will", "expect", "project", "anticipate", “estimates", "plans", "strategy", "target", "prospects" or "continue", and words of similar meaning. These forward-looking statements are based on the current plans and expectations of our management and are subject to a number of uncertainties and risks that could significantly affect our current plans and expectations, as well as future results of operations and financial condition and may cause our actual results, performances or achievements to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. We do not assume any obligation to update these forward-looking statements to reflect actual results, changes in assumptions, or changes in other factors affecting such forward-looking statements.