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 and Exchange Act of 1934

Date of Report (Date of earliest event reported): May 12, 2010

XETA Technologies, Inc.

(Exact name of registrant as specified in its charter)

Oklahoma	0-16231	73-1130045
(State or other jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

1814 West Tacoma, Broken Arrow, Oklahoma	74012
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: 918-664-8200

(Former name or 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

o   Soliciting material pursuant to Rule 14a-12 under the Exchange Act

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

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

Item 7.01 Regulation FD Disclosure

On May 12, 2010 the Company issued a news release announcing that it has entered into an agreement to acquire Hotel Technology Solutions, Inc., d/b/a/ Lorica Solutions.  A copy of the news release is attached as Exhibit 99.1 and incorporated herein by reference.

The information in this Form 8-K and the exhibit attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall they be deemed incorporated by reference in any filing under the Securities Exchange Act of 1933, except as shall be expressly set forth by specific reference in such filing.

Item 9.01  Financial Statements and Exhibits.

(d)Exhibits

99.1—News Release dated May 12, 2010 entitled “XETA Technologies Announces Agreement to Acquire Lorica Solutions.”

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.

	XETA Technologies, Inc.
	(Registrant)
Dated:   May 12, 2010	By	/s/ Robert B. Wagner
		Robert B. Wagner, Chief Financial Officer

2

EX-99.1

Exhibit 99.1

NEWS RELEASE

Date:	May 12, 2010
	FOR IMMEDIATE RELEASE
Contact:	Dave Mossberg
	Three Part Advisors, LLC
	(817) 310-0051
	Barrett Waller
	Waller & Company Public Relations
	(918) 587-1909

XETA Technologies Announces Agreement to Acquire Lorica Solutions

BROKEN ARROW, Okla., May 12, 2010 - XETA Technologies (NASDAQ: XETA), a national provider of converged communications solutions for the enterprise marketplace, today announced a definitive agreement to acquire Hotel Technology Solutions, Inc., dba Lorica Solutions (“Lorica”), a privately-held company headquartered in Buffalo, New York.

Lorica provides managed converged IP networks and High Speed Internet Access (HSIA) to more than 40,000 hotel rooms.  The company also provides proactive monitoring and support from a 24x7 network operations center and help desk. Lorica’s customers include many of the preeminent hospitality brands.

“The acquisition of Lorica and its proprietary technology, the Lorica Room Center, expands XETA’s addressable market with leading HSIA technologies and a turnkey converged network solution, both of which complement our existing voice and call accounting offerings,” said Greg Forrest, CEO of XETA.  “In the past we have successfully leveraged our reputation in the hospitality industry to bring new products to market.  With its proven technology, service, and value proposition, we are confident that we can significantly increase Lorica’s market presence.”

“This combination brings together Lorica’s leading technology and expertise in hospitality data networks and convergence with the resources, depth and scale of a large, established enterprise communications provider,” said Mark Holzberg, CEO of Lorica.

Subject to satisfactory completion of due diligence and other customary closing conditions, the transaction is targeted to close during XETA’s third fiscal quarter.

About XETA Technologies, Inc.

XETA Technologies, Inc. sells, installs and services advanced communication technologies for small, medium, and Fortune 1000 enterprise customers. The Company maintains the highest

level of technical competencies with multiple vendors including Avaya, Mitel, Nortel, Hitachi and Samsung. With a 28-year operating history and over 16,000 customers from coast to coast, XETA has maintained a commitment to extraordinary customer service. The Company’s in-house 24/7/365 contact center, combined with a nationwide service footprint, offers customers comprehensive equipment service programs that ensure network reliability and maximized network up-time. More information about XETA Technologies (Nasdaq:XETA) is available at www.xeta.com.

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The XETA Technologies Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=7103

About Lorica Solutions

Lorica Solutions (www.loricasolutions.com) is the leader in converged managed networks for the hospitality industry.  The Company’s Lorica Room Center (LRC) is a comprehensive solution addressing hardware, software, wiring, management and support for truly converged hotel IP based networks.  The LRC allows for significantly reduced costs while future proofing hotels and enhancing the guest experience.  In addition to providing hotels with the LRC, the company offers superior wired and wireless HSIA and total management, monitoring and help desk support through its state-of-the-art Network Operations Center located in New York State.

Lorica serves hotels ranging from five-star resorts to select service properties, including such brands as Marriott, Starwood, Hilton, Mandarin Oriental, Choice, Trump International, InterContinental, Radisson, and others. The company is headquartered in Buffalo, New York.

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include statements concerning the anticipated results of the intended transaction. These and other forward-looking statements (generally identified by such words as “expects,” “plans,” “believes,” “likely,” “anticipates,” “will” and similar words or expressions) reflect management’s current expectations, assumptions, and beliefs based upon information currently available to management. Investors are cautioned that all forward-looking statements are subject to certain risks and uncertainties which are difficult to predict and that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to:  the risk that various closing conditions for the transaction may not be satisfied or waived; and the integration of Lorica’s business into that of the Company and realization of anticipated synergies and growth opportunities from the transaction. Additional factors that could affect actual results are described in the “Risk Factors” section of the Company’s Form 10-K and Form 10-Q filings with the SEC.