8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

January 22, 2014
Date of Report (Date of earliest event reported)

(Exact name of registrant as specified in its charter)

 

Delaware	000-21783	77-0142404
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification Number)

2125 O'Nel Drive
San Jose, CA    95131
(Address of principal executive offices including zip code)

(408) 727-1885
(Registrant's telephone number, including area code)

       Not Applicable       
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.    Results of Operations and Financial Condition.

On January 22, 2014, 8x8, Inc., or the Company, issued a press release announcing its financial results for the nine months ended December 31, 2013. A copy of this press release is furnished as Exhibit 99.1 to this report. The press release should be read in conjunction with the statements regarding forward-looking statements, which are included in the text of the release.

In addition to disclosing financial results calculated in accordance with U.S. generally accepted accounting principles (GAAP), management also presents information regarding the Company's performance over comparable periods based on net income and net income per share, exclusive of non-cash tax adjustments, stock-based compensation, amortization of acquired intangible assets, acquisition-related costs, facility exit costs, gain on patent sale, gain on disposal of discontinued operations, management transition and gain on escrow settlement. Because management discloses financial measures calculated without taking into account these items, these financial measures are characterized as "non-GAAP financial measures" under Securities and Exchange Commission rules.

The gain on patent sale in the first quarter of fiscal 2013 was a $12.0 million gain that management believes is not reflective of its ongoing operations.

Non-cash tax adjustments represented the difference between the amount of taxes the Company expect to pay and the GAAP tax provision each period. Management excludes non-cash tax adjustments because they are non-cash transactions.

Stock-based compensation charges represent non-cash charges related to equity awards granted by the Company. Although these are recurring charges to the Company's operations, management has excluded stock-based compensation expense because it relies on valuations based on future events, such as the market price of the Company's common stock, that are difficult to predict and are affected by market factors that are largely not within the control the Company. Thus, management believes that excluding these charges facilitates comparisons of the Company's operational performance in different periods, as well as with similarly determined non-GAAP financial measures of comparable companies.

Amortization of acquired intangible assets results from the Company's acquisitions of Contactual, Inc. and Zerigo, Inc. in fiscal 2012 and Voicenet Solutions Limited in fiscal 2014. Amortization of acquired intangible assets was excluded because it was a non-cash expense that the Company does not consider part of ongoing operations when assessing the Company's financial performance.

Acquisition-related expenses, expenses to exit facilities, gain on disposal of discontinued operations, management transition and gain on escrow settlement are attributable to non-routine transactions and are not part of ongoing operations that we measure for internal management reporting purposes.

Management and the Company's board of directors will continue to analyze these non-GAAP financial measures to assess the business and compare operating results to the Company's performance objectives. For example, the Company's budgeting and planning process utilizes these non-GAAP financial measures, along with other types of financial information.

The Company discloses these non-GAAP financial measures to the public as an additional means by which investors can assess the Company's performance and to identify the Company's operating results for investors on the same basis applied by management. The non-GAAP financial measures disclosed by the Company should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations to those financial statements should be carefully evaluated. The non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. The Company has provided reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures in the press release furnished as Exhibit 99.1.

Moreover, although these non-GAAP financial measures adjust expense, they should not be viewed as a pro forma presentation reflecting the elimination of the underlying share-based compensation programs, which are an important element of the Company's compensation structure. GAAP requires that all forms of share-based payments should be valued and included, as appropriate, in results of operations. Management believes these expenses are a material part of the Company's operating results.

Item 9.01.    Financial Statements and Exhibits

(d) Exhibits.

99.1    Press Release dated January 22, 2014

2

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: January 22, 2014

8X8, INC.

By:   /s/ Daniel Weirich

       Daniel Weirich

       Chief Financial Officer and Secretary

4

INDEX TO EXHIBITS

Exhibit	Description
99.1	Press release dated January 22, 2014

EX-99.1 2 exh99-1.htm PRESS RELEASE

For Immediate Release    

8x8, Inc. Announces Third Quarter Fiscal 2014 Financial Results

Record Revenue and New Services Sold, Up 24% and 38% Year-Over-Year

SAN JOSE, Calif. — January 22, 2014 — 8x8, Inc. (NASDAQ:EGHT), a provider of cloud-based unified communication and collaboration solutions, today announced operating results for the third quarter of fiscal 2014 ended December 31, 2013.

The Company generated record revenue of $32.7 million for the third quarter of fiscal 2014, an increase of 24% over revenue of $26.4 million for the third quarter of fiscal 2013. The number of new services sold during the quarter was a record 61,286, an increase of 38% from 44,366 new services sold in the same period last year.

GAAP net income for the third quarter of fiscal 2014 was $89,000, or $0.00 per diluted share, with $3.2 million of stock-based compensation expense in the quarter, approximately half of which is related to management transitions. Non-GAAP net income for the quarter was $2.5 million, or $0.03 per diluted share, representing 8% of revenue.

"8x8's results for the third quarter of fiscal 2014 displayed continued momentum, with a 24% increase in total revenue and a significant uptick in the number of new services sold during the quarter," said 8x8 CEO Vik Verma. "Mid-market adoption of cloud-based communication and collaboration solutions is accelerating, and 8x8's comprehensive suite of services is resonating well with these customers."

Third Quarter Fiscal 2014 Financial Results:

• Revenue from business customers increased 26% year-over-year to a record $32.3 million and represented 99% of total revenue.
• Number of new services sold during the third quarter was a record 61,286 vs. 44,366 in the same period last year.
• Average number of subscribed services per new business customer added during the quarter grew 20% to a record 20.4 from 17.0 in the same period last year.
• Average monthly service revenue per business customer was a record $274, compared with $252 in the same period last year.
• Channel and mid-market sales comprised a record 35% of new monthly recurring revenue sold in the quarter, a 57% increase compared with the same period last year.
• Service margin was 81%, compared with 80% in the same period a year ago; overall gross margin was 71%, compared with 69% in the same year ago period.
• Monthly business service revenue churn was 1.5%, compared with 2.3% in the same period last year; monthly business customer churn was 1.6%, unchanged from the third quarter of fiscal 2013.
• Cash, cash equivalents and investments were $174.0 million in the third quarter of fiscal 2014, compared with $46.5 million in the same period last year.

"With the acquisition of Voicenet now complete, our Global Reach initiative moving forward with data center infrastructure deployed in London and Hong Kong, and a successful stock offering, 8x8 remains favorably positioned to capture the increasing worldwide demand we see for our cloud communication and collaboration services," Verma continued. "As we continue to expand domestically and internationally, we will maintain our increased investment in R&D, sales and marketing while targeting non-GAAP net income as a percentage of revenue in the high-single digit range."

Additional Third Quarter and Year-to-Date Business Highlights:

• Ended the quarter with 36,753 business customers, compared with 31,177 customers in the same period a year ago.
• Acquired Voicenet Solutions, one of the UK's leading providers of cloud telephony and unified communication solutions.
• Completed a common stock offering with net proceeds of $126 million.
• Named to Forbes 2013 List of 100 Best Small Companies in America
• Named a Market `Leader' by Gartner Inc. in its Magic Quadrant for Unified Communications as a Service (UCaaS) in North America.
• Recognized As `Cloud Partner of the Year' By Insight Enterprises.
• Awarded new Virtual Contact Center patent for a total of 92 issued patents

Non-GAAP Measures

We have provided in this release financial information that has not been prepared in accordance with Generally Accepted Accounting Principles (GAAP). We use these non-GAAP financial measures internally in analyzing our financial results and believe they are useful to investors, as a supplement to GAAP measures, in evaluating our ongoing operational performance. We believe that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating our ongoing operating results and trends and in comparing our financial results with other companies in our industry, many of which present similar non-GAAP financial measures to investors.

Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures below. A reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included below in this press release.

Non-GAAP net income and non-GAAP net income per share

We have defined non-GAAP net income as net income for GAAP plus non-cash tax adjustments, stock-based compensation, amortization of acquired intangible assets, acquisition-related costs, facility exit costs, gain on patent sale, gain on disposal of discontinued operations, management transition and gain on escrow settlement. We have excluded gain on patent sale, gain on disposal of discontinued operations and gain on escrow settlement because we consider these to have been isolated transactions and believe these are not reflective of our ongoing operations, and this reduces comparability of periodic operating results when these are included. Non-cash tax

adjustments represent the differences between the amount of taxes we expect to pay and our GAAP tax provision each period. We have excluded stock-based compensation expense because it relies on valuations based on future events, such as the market price of our common stock, that are difficult to predict and are affected by market factors that are largely not within the control of management. Amortization of acquired intangible assets is excluded because it is a non-cash expense that we do not consider part of ongoing operations when assessing our financial performance, as it relates to accounting for certain purchased assets. We have excluded acquisition-related expenses, including expenses to exit an acquired facility, and management transition expenses because these expenses are attributable to non-routine transactions and are not part of ongoing operations that we measure for internal management reporting purposes. We define non-GAAP net income per share as non-GAAP net income divided by the weighted-average diluted shares outstanding. We define non-GAAP net income percentage of revenue as non-GAAP net income divided by revenue. The GAAP and non-GAAP weighted average number of diluted shares to calculate GAAP and non-GAAP earnings per share are the same. We believe that such exclusions facilitate comparisons to our historical operating results and to the results of other companies in the same industry, and provides investors with information that we use in evaluating management's performance on a quarterly and annual basis.

Conference Call Information:

Management will host a conference call to discuss these results and other matters related to the Company's business today, January 22, 2014 at 4:30 pm EDT. The call is accessible via the following numbers and webcast links:

Dial In:	(877) 843-0417, domestic (408) 427-3791, international
Replay:	(855) 859-2056, domestic (Conference ID #26394910) (404) 537-3406, international (Conference ID #26394910)
Webcast:	http://investors.8x8.com/

Participants should plan to dial in or log on ten minutes prior to the start time. A telephonic replay of the call will be available three hours after the conclusion of the call until midnight January 28, 2014. The webcast will be archived on 8x8's website for a period of one year. For additional information, visit http://investors.8x8.com.

About 8x8, Inc.

8x8, Inc. (NASDAQ:EGHT) is a provider of cloud-based unified communication and collaboration (UCC) solutions to small and medium businesses and mid-market and distributed enterprises. The company delivers a broad suite of UCC services to in-office and mobile devices spanning cloud business phone service, virtual meeting web conferencing, contact center software and virtual desktop through our proprietary unified software as a service, or SaaS, platform. For additional information, visit www.8x8.com, or connect with 8x8 on Google+, Facebook, LinkedIn and Twitter.

Forward Looking Statements

This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. These statements include, without limitation, information about future events based on current expectations, potential product development efforts, near and long-term objectives, potential new business, strategies, organization changes, changing markets, future business performance and outlook. Such statements are predictions only, and actual events or results could differ materially from those made in any forward-looking statements due to a number of risks and uncertainties. Actual results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors. These factors include, but are not limited to, market acceptance of new or existing services and features; success of our efforts to target mid- market and larger distributed enterprises; changes in the competitive dynamics of the markets in which we compete; customer cancellations and rate of churn; impact of current economic climate and adverse credit markets on our target customers; our ability to scale our business; our reliance on infrastructure of third-party network services providers; risk of failure in our physical infrastructure; risk failure of our software; our ability to maintain the compatibility of our software with third-party applications and mobile platforms; continued compliance with industry standards and regulatory requirements; the amount and timing of costs associated with recruiting, training and integrating new employees; introduction and adoption of our cloud communication and collaboration services in markets outside of the United States; and general economic conditions. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's reports on Forms 10-K and 10-Q, as well as other reports that 8x8, Inc. files from time to time with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by this cautionary statement, and 8x8, Inc. undertakes no obligation to update publicly any forward-looking statement for any reason, except as required by law, even as new information becomes available or other events occur in the future.

# # #

Investor Relations Contact:
Joan Citelli
Joan.citelli@8x8.com
(408) 654-0970

8X8, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts; unaudited)

		Three Months Ended				Nine Months Ended
		December 31,				December 31,
		2013		2012		2013		2012
Service revenue	$	29,737	$	24,023	$	84,062	$	69,314
Product revenue		3,008		2,382		8,749		6,656
Total revenue		32,745		26,405		92,811		75,970
Operating expenses: (1)
Cost of service revenue		5,584		4,890		15,579		15,184
Cost of product revenue		4,041		3,203		11,171		8,585
Research and development		3,325		2,117		8,301		5,973
Sales and marketing		16,051		11,561		42,868		32,629
General and administrative		5,547		2,119		11,444		6,226
Gain on patent sale		-		-		-		(11,965)
Total operating expenses		34,548		23,890		89,363		56,632
Income (loss) from operations		(1,803)		2,515		3,448		19,338
Other income, net		586		73		602		90
Income (loss) from continuing operations before
provision (benefit) for income taxes		(1,217)		2,588		4,050		19,428
Provision (benefit) for income taxes		(1,306)		814		481		7,494
Income from continuing operations		89		1,774		3,569		11,934
Income from discontinued operations,
net of income tax provision		-		146		301		344
Gain on disposal of discontinued operations,
net of income tax provision of $463		-		-		589		-
Net Income	$	89	$	1,920	$	4,459	$	12,278
Income per share - continuing operations:
Basic	$	0.00	$	0.03	$	0.05	$	0.17
Diluted	$	0.00	$	0.03	$	0.05	$	0.16
Income per share - discontinued operations:
Basic	$	0.00	$	0.00	$	0.01	$	0.00
Diluted	$	0.00	$	0.00	$	0.01	$	0.00
Net income per share:
Basic	$	0.00	$	0.03	$	0.06	$	0.17
Diluted	$	0.00	$	0.03	$	0.06	$	0.16
Weighted average number of shares:
Basic		79,742		71,611		75,071		71,197
Diluted		83,182		74,988		78,389		74,483
(1) Amounts include stock-based compensation expense, as follows:
		Three Months Ended				Nine Months Ended
		December 31,				December 31,
		2013		2012		2013		2012
Cost of service revenue	$	101	$	63	$	237	$	149
Cost of product revenue		-		-		-		1
Research and development		339		125		634		295
Sales and marketing		660		355		1,400		979
General and administrative		2,132		222		2,974		403
	$	3,232	$	765	$	5,245	$	1,827

8X8, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, unaudited)

		December 31,		March 31,
		2013		2013
ASSETS
Current assets
Cash and cash equivalents	$	172,114	$	50,305
Investments		1,901		1,964
Accounts receivable, net		5,169		3,880
Inventory		828		511
Deferred tax assets		4,532		6,096
Other current assets		2,214		914
Total current assets		186,758		63,670
Property and equipment, net		7,485		6,673
Intangible assets, net		15,606		10,194
Goodwill		38,235		25,150
Deferred tax assets, non-current		47,366		46,352
Other assets		1,101		572
Total assets	$	296,551	$	152,611
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	6,497	$	5,644
Accrued compensation		5,311		3,629
Accrued warranty		634		452
Deferred revenue		3,208		1,236
Other accrued liabilities		3,820		2,774
Total current liabilities		19,470		13,735
Other liabilities		1,684		1,843
Total liabilities		21,154		15,578
Total stockholders' equity		275,397		137,033
Total liabilities and stockholders' equity	$	296,551	$	152,611

8X8, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands, unaudited)

		Nine Months Ended
		December 31,
		2013		2012
Cash flows from operating activities:
Net income	$	4,459	$	12,278
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation		1,888		1,816
Amortization of intangible assets		1,074		1,071
Amortization of capitalized software		92		-
Gain on disposal of discontinued operations		(589)		-
Gain on escrow settlement		(565)		-
Stock-based compensation		5,245		1,827
Deferred income tax provision		87		7,359
Other		490		409
Changes in assets and liabilities:
Accounts receivable, net		(1,104)		(1,700)
Inventory		(245)		(25)
Other current and noncurrent assets		(570)		(48)
Deferred cost of goods sold		211		(18)
Accounts payable		(1,290)		(38)
Accrued compensation		1,217		663
Accrued warranty		182		35
Accrued taxes and fees		62		495
Deferred revenue		757		61
Other current and noncurrent liabilities		172		1,806
Net cash provided by operating activities		11,573		25,991
Cash flows from investing activities:
Purchases of property and equipment		(2,081)		(5,245)
Acquisition of businesses, net of cash acquired		(18,474)		-
Proceeds from disposition of discontinued operations, net of transaction costs		3,000		-
Cost of capitalized software		(590)		-
Net cash used in investing activities		(18,145)		(5,245)
Cash flows from financing activities:
Capital lease payments		(26)		(73)
Repurchase of common stock		(320)		(285)
Proceeds from issuance of common stock, net of issuance costs		125,758		-
Proceeds from issuance of common stock under employee stock plans		2,959		1,743
Net cash provided by financing activities		128,371		1,385
Effect of exchange rate changes on cash		10		-
Net increase in cash and cash equivalents		121,809		22,131
Cash and cash equivalents at the beginning of the period		50,305		22,426
Cash and cash equivalents at the end of the period	$	172,114	$	44,557

8x8, Inc.
Selected Operating Statistics (1)
	Three Months Ended
	June 30, 2012	Sept. 30, 2012	Dec. 31, 2012	March 31, 2013	June 30, 2013	Sept. 30, 2013	Dec. 31, 2013
Gross business customer additions (2)	2,912	2,908	2,612	2,800	2,693	2,961	3,001
Number of new services sold (2)(3)	40,986	42,853	44,366	50,670	47,318	52,412	61,286
Average number of subscribed services per
new business customer (4)	14.1	14.7	17.0	18.1	17.6	17.7	20.4
Business subscriber acquisition cost per service (5)	$ 93	$ 86	$ 97	$ 91	$ 96	$ 94	$ 92
Total business customers (2)(6)	29,593	30,191	31,177	32,242	33,374	34,674	36,753
Average number of subscribed services per
business customer (7)	10.2	10.8	11.3	11.6	12.0	12.2	12.6
Business customer average monthly service
revenue per customer (8)	$ 242	$ 247	$ 252	$ 256	$ 263	$ 268	$ 274
Monthly business customer churn (less cancellations
within 30 days of sign-up) (9)	1.7%	2.4%	1.6%	1.7%	1.5%	1.5%	1.6%
Monthly business service revenue churn	2.3%	0.9%	2.3%	1.2%	1.2%	1.2%	1.5%
Overall service margin	77%	77%	80%	81%	82%	81%	81%
Overall product margin	-30%	-22%	-34%	-17%	-22%	-27%	-34%
Overall gross margin	68%	69%	69%	71%	72%	71%	71%

(1)	Selected operating statistics table include continuing operations and excludes dedicated server hosting business sold September 30, 2013.
(2)	Does not include customers of Virtual Office Solo, DNS or Cloud VPS.
(3)	Number of recurring revenue services sold to business customers during the period.
(4)	Number of new services sold divided by gross business customer additions.
(5)	The combined costs of advertising, marketing, promotions, sales commissions and equipment subsidies for new services sold during the period divided by the number of new services sold during the period.
(6)	Business customers are defined as customers paying for service. Customers that are currently in the 30- day trial period are considered to be customers that are paying for service. Customers subscribing to Virtual Office Solo, DNS or Cloud VPS services are not included as business customers.
(7)	The simple average number of subscribed services divided by the simple average number of business customers during the period. The simple average number of subscribed services is the number of subscribed services on the first day of the period plus the number of subscribed services on the last day of the period divided by two. The simple average number of business customers is the number of business customers on the first day of the period plus the number of business customers on the last day of the period divided by two.
(8)	Business customer average monthly service revenue per customer is service revenue from business customers in the period divided by the number of months in the period divided by the simple average number of business customers during the period.
(9)	Business customer churn is calculated by dividing the number of business customers that terminated (after the expiration of the 30-day trial) by the simple average number of business customers and dividing the result by the number of months in the period. In the second quarter of fiscal 2013, an affiliate with 411 business customers representing approximately $9,000 of monthly service revenue cancelled service. Excluding these 411 cancellations, business customer churn (less cancellations within 30 days of sign-up) was 1.9%.

8x8, Inc
RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME
AND NON-GAAP NET INCOME PER SHARE
(In thousands, except per share amounts; unaudited)
		Three Months Ended				Nine Months Ended
		December 31,				December 31,
		2013		2012		2013		2012
Net income	$	89	$	1,920	$	4,459	$	12,278
Gain on patent sale		-		-				(11,965)
Gain on escrow settlement		(565)				(565)		-
Gain on disposal of discontinued operations		-		-		(589)		-
Non-cash tax adjustments		(1,502)		780		87		7,359
Amortization of intangible assets		403		357		1,074		1,071
Stock-based compensation expense		3,232		765		5,245		1,827
Acquisition-related expense		672		-		815		-
Management transition		204		-		337		-
Facility exit expense		-		-		-		305
Non-GAAP net income	$	2,533	$	3,822	$	10,863	$	10,875
Weighted average number of shares:
Diluted		83,182		74,988		78,389		74,483
GAAP net income per share - Diluted	$	0.00	$	0.03	$	0.06	$	0.16
Gain on patent sale		-		-		-		(0.16)
Gain on escrow settlement		(0.01)		-		(0.01)		-
Gain on disposal of discontinued operations		-		-		(0.01)		-
Non-cash tax adjustments		(0.02)		0.01		-		0.10
Amortization of intangible assets		0.01		-		0.02		0.01
Stock-based compensation expense		0.04		0.01		0.07		0.03
Acquisition-related expense		0.01		-		0.01		-
Management transition		-		-		-		-
Facility exit expense		-		-		-		0.01
Non-GAAP net income per share - Diluted	$	0.03	$	0.05	$	0.14	$	0.15
GAAP net income percentage of revenue		0%		7%		5%		16%
Gain on patent sale		-		-		-		-16%
Gain on escrow settlement		-2%		-		-1%		-
Gain on disposal of discontinued operations		-		-		-1%		-
Non-cash tax adjustments		-4%		3%		-		10%
Amortization of intangible assets		1%		1%		1%		1%
Stock-based compensation expense		10%		3%		7%		2%
Acquisition-related expense		2%		-		1%		-
Management transition		1%		-		-		-
Facility exit expense		-		-		-		1%
Non-GAAP net income percentage of revenue		8%		14%		12%		14%

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EX-99.1

For Immediate Release