NEW YORK, March 2, 2005 /PRNewswire-FirstCall via COMTEX/ -- Advanced
Communications Technologies, Inc. (OTC Bulletin Board: ADVC) CEO Wayne Danson
has asked Congressman Michael Oxley to take action to help reduce legislative
burdens on small businesses. ADVC is a vertically integrated technology services
company with subsidiaries specializing in the repair and distribution of
computers, peripherals and consumer electronics.
Danson recently attended a meeting with Congressman Oxley to discuss the immense
burden placed on small businesses by the Sarbanes-Oxley Act of 2002. The act
lays out a set of rules and accountability standards for public companies. Oxley
was a major contributor in drafting the legislation, which was initiated in
response to a number of corporate scandals, such as the Enron scandal that
became public in November 2001.
Danson said that implementing Section 404 requirements of the legislation are
costing small businesses enormous and debilitating amounts of time and money.
Such companies also are experiencing difficulty in finding competent, qualified
professionals to serve on their boards of directors as well as financial experts
to chair board audit committees due to a lack of available D&O insurance. Danson
said the personal liability and potential consequences for independent directors
is making it increasingly difficult for these small businesses to attract
competent people.
In a letter to Oxley reiterating his concerns, Danson said, "While I
wholeheartedly believe that maintaining the integrity and vitality of our
financial markets is the cornerstone on which the S-O Act was passed, I also
believe that it is unjust to apply the same rules to the small business
community, the backbone of our national economic engine, that are applied to
Fortune 500 companies.
"Small businesses simply cannot afford to comply with the current regulations
under the S-O Act, and based on our physical and economic size, we cannot, and
should not, follow the same set of comprehensive procedures written for firms
like General Electric, Walt Disney and Exxon who have the financial resources
available to implement the internal control provision. In Advanced
Communications Technologies, Inc.'s case, the potential fees to be incurred in
meeting the requirements of this provision can be better spent on investing in
the growth of our business through new hires and proposed acquisitions.
"Accounting firms are growing and the small business manufacturers, distributors
and service providers are being stunted and forced out of an opportunity to
follow their goals and objectives to success. Surely, fairness and practicality
must be considered in establishing balanced rules and regulations in
implementing these requirements to the small cap market," Danson said.
Danson said he plans to continue lobbying his representatives on behalf of small
businesses who face unique challenges of implementing Section 404 of the
Sarbanes-Oxley Act.
About Advanced Communications Technologies, Inc.
Advanced Communications Technologies, Inc. is a publicly traded New York
City-based vertically integrated technology and services holding company that,
through its majority-owned subsidiary, Pacific Magtron International Corp., is a
distributor of hardware components, computer systems and software products, and
through its wholly owned subsidiary and principal operating unit Encompass Group
Affiliates, Inc., is a provider of board-level repair of technical products to
third-party warranty companies, OEMs, national retailers and national office
equipment dealers. Service options include advance exchange, depot repair, call
center support, parts and warranty management for office equipment, fax
machines, printers, scanners, laptop computers, monitors and multi-function
units, including high-end consumer electronics such as PDAs and digital cameras.
Additionally, through its wholly owned investment subsidiary Hudson Street
Investments, Inc., Advanced Communications makes strategic minority investments
in public and private companies. For more information, visit Advanced
Communications' website at
http://www.advancedcomtech.net A profile for investors on Advanced Communications may be found at the website
http://www.hawkassociates.com/advancedcommunications/profile.htm An online investor relations kit containing Advanced Communications' press
releases, SEC filings, current Level II price quotes, interactive Java stock
charts and other useful information for investors can be found at
http://www.hawkassociates.com and
http://www.hawkmicrocaps.com This release and oral statements made from time to time by the company's
representatives concerning the same subject matter may contain "forward- looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements can be identified by introductory words such as
"expects," "plans," "intends," "should," "believes," "will," "estimates,"
"forecasts," "projects" or words of similar meaning, and by the fact that they
do not relate strictly to historical or current facts. Many factors may cause
actual results to differ from forward-looking statements, including inaccurate
assumptions and a broad variety of risks and uncertainties, some of which are
known and others of which are not. Known risks and uncertainties include those
identified from time to time in the reports filed by the company with the
Securities and Exchange Commission, which should be considered together with any
forward-looking statement. No forward-looking statement is a guarantee of future
results or events, and one should avoid placing undue reliance on such
statements.
Contact Information
Hawk Associates, Inc.
Frank N. Hawkins, Jr. or Julie Marshall
Phone: (305) 852-2383
E-mail: info@hawkassociates.com
http://www.hawkassociates.com http://www.hawkmicrocaps.comSOURCE Advanced Communications Technologies, Inc.
CONTACT: Frank N. Hawkins, Jr., or Julie Marshall, both of Hawk Associates, +1-305-852-2383,
or info@hawkassociates.com, for Advanced Communications Technologies
URL:
http://www.prnewswire.com http://www.advancedcomtech.net http://www.hawkassociates.com http://www.hawkmicrocaps.com http://www.hawkassociates.com/advancedcommunications/profile.htmwww.prnewswire.comCopyright (C) 2005 PR Newswire. All rights reserved.
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