The Dixie Group (DXYN) Reports Second Quarter 2011 Results

The Dixie Group, Inc. (NASDAQ:DXYN) today reported financial results for the second quarter ended July 2, 2011. In the second quarter of 2011, the Company had sales of $69,200,000 and income from continuing operations of $808,000, or $0.06 per diluted share, compared with a loss from continuing operations of $684,000, or $0.05 per diluted share for the second quarter of 2010. Net sales increased 17.2% for the fiscal second quarter of 2011 as compared with the second quarter of 2010. For the year-to-date, sales are $135,154,000 and income from continuing operations is $1,452,000 or $0.11 per diluted share, compared with sales of $109,512,000 and a loss from continuing operations of $3,143,000, or $0.25 per diluted share, for the year-ago period. Net sales for the year-to-date are 23.4% above the same period of 2010.

Commenting on the results, Daniel K. Frierson, chairman and chief executive officer, said, Dixie had strong growth in the quarter with a 17% improvement in sales compared to modest growth for the industry. Our commercial products had growth of 20%, which we believe is significantly above the industry. Notable was growth in the modular carpet tile sector, which continues to exceed that of the broadloom product category in commercial products for both Dixie and the industry. Likewise, our residential product sales grew over 15% above the same period in 2010. This increase is in contrast with sales decline for the residential market. The residential carpet market, plagued by low sales of new and existing residential homes as well as by tight credit, is still working its way through the recovery from the severe economic downturn of the last few years.

Having completed six consecutive quarters of sales growth in excess of the industry, we believe that our strategy of continuing to invest in new products during this historic downturn has proven successful and positions us for the future. We have seen significant sales growth at the very high end as evidenced by double-digit sales growth during the period for our Fabrica business as well as for our Masland wool and rug products. We continue to believe that the upper end customer has regained confidence, as demonstrated by our improved sales to the upper end of the market. Our Dixie Home line has had particular success with the Stainmaster products introduced in the last year. Masland Contract continues to see excellent growth in the commercial market, particularly its modular carpet tile products and sales to end users.

During the second quarter we had rising raw material costs. We implemented a price increase but due to the timing differences, margins were compressed during the period. In addition, we had unusually heavy shipments to our larger commercial accounts; therefore, our gross profit, at 24.2% of net sales was below our margin of 25.8% for the same period a year ago. We have taken advantage of one-time opportunities for added business during the summer months, which we anticipate will continue to cause us to have tight margins during the third quarter. However, our selling, general and administrative expenses will continue to compare favorably to the prior year due to higher sales volumes in the current year. Our S,GA, at 21.6% of sales, was 3.8 percentage points below last years 25.4% of sales for the second quarter.

As we saw the industry slowdown late in the second quarter, we maintained a tight rein on running schedules, inventories and overtime; however, we have continued to see growth in all of our brands in the first four weeks of the third quarter.

Capital expenditures were $2.1 million for the year-to-date, while depreciation and amortization was $4.9million. We continue to underspend our depreciation and amortization levels. We anticipate total capital expenditures of $6.2 million for the year, the bulk of which will be used to expand our capacity and capabilities in our yarn operations. Total debt, which normally rises during the middle of the year, increased by $4.0 million during the quarter to $72.3 million. We recorded a gain of $563,000 in our facility consolidation and severance expense primarily due to the settlement of the lease on our Pullman facility, thus completing the last of the restructuring plans initiated during the recent economic downturn. The unused borrowing capacity under our credit lines was $11.3 million as of July 2, 2011, and $14.8 million as of August 3, 2011. We are in the due diligence phase with potential lenders regarding the replacement of our current revolving and term credit agreements. The purpose of such transactions is to repay the $9.7million of convertible subordinated debentures due in May of 2012, to extend our financing for another five-year period and to provide the funding needed to continue our growth.

Continued uncertainty in the economy, along with a stubbornly high unemployment rate and a weak housing recovery, will likely remain through the rest of the year. We continue to invest, however, in new products and processes as we maintain our goal of being the fashion leader in the industry. We feel that the continued investment in beautiful products, responsive operations and strong controls over expenses are the formulas needed to be able to continue to outgrow the industry during these uncertain times, Frierson concluded.

The Companys loss from discontinued operations was $42,000, or $0.00 per diluted share, for the second quarter of 2011, compared with a loss from discontinued operations of $60,000, or $0.01 per diluted share, for the prior year. Including discontinued operations, the Company reported net income of $766,000, or $0.06 per diluted share, for the second quarter of 2011 compared with a net loss of $744,000, or $0.06 per diluted share, for the year-earlier period. The Companys loss from discontinued operations was $62,000, or $0.00 per diluted share, for the six months ended July 2, 2011, compared with a loss from discontinued operations of $130,000, or $0.01 per diluted share, for the six-month period ended June 26, 2010. Including discontinued operations, the Company reported net income of $1,390,000 of $0.11 per diluted share, for the first six months of 2011 compared with a net loss of $3,273,000, or $0.26 per diluted share, for the prior period.

A listen-only Internet simulcast and replay of Dixie’s conference call may be accessed with appropriate software at the Company’s website or at www.earnings.com. The simulcast will begin at approximately 11:00 a.m. Eastern Time on August 4, 2011. A replay will be available approximately two hours later and will continue for approximately 30 days. If Internet access is unavailable, a listen-only telephonic conference will be available by dialing (913) 312-1481 at least ten minutes before the appointed time. A seven-day telephonic replay will be available two hours after the call ends by dialing (719) 457-0820 and entering 4372890 when prompted for the access code. For further information, please see updated investor presentation at www.thedixiegroup.com and click on the Investor Relations tab; file is listed under Overview – Featured Reports.

The Dixie Group (www.thedixiegroup.com) is a leading marketer and manufacturer of carpet and rugs to higher-end residential and commercial customers through the Fabrica International, Masland Carpets, Dixie Home, Masland Contract and Whitespace brands.

Statements in this news release, which relate to the future, are subject to risk factors and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements. Such factors include the levels of demand for the products produced by the Company. Other factors that could affect the Company’s results include, but are not limited to, raw material and transportation costs related to petroleum prices, the cost and availability of capital, and general economic and competitive conditions related to the Company’s business. Issues related to the availability and price of energy may adversely affect the Company’s operations. Additional information regarding these and other risk factors and uncertainties may be found in the Company’s filings with the Securities and Exchange Commission.

Use of Non-GAAP Financial Information:

(in thousands)

The Company believes that non-GAAP performance measures, which management uses in evaluating the Company’s business, may provide users of the Company’s financial information with additional meaningful bases for comparing the Company’s current results and results in a prior period, as these measures reflect factors that are unique to one period relative to the comparable period. However, the non-GAAP performance measures should be viewed in addition to, not as an alternative for, the Company’s reported results under accounting principles generally accepted in the United States.

The first six months of 2011 contained 27 operating weeks compared with 26 operating weeks in the first six months of 2010. Percentage changes in net sales have been adjusted to reflect the comparable number of weeks in the reporting periods.

The Company defines Adjusted Operating Income (Loss) as Operating Income (Loss) plus facility consolidation expenses and severance expenses, plus impairment of assets, plus impairment of goodwill, plus one-time items so defined.

Ultralife Corp. (ULBI) Reports Second Quarter Results

Ultralife Corporation (NASDAQ: ULBI) reported operating income from continuing operations of $2.9 million on revenue of $43.6 million for the quarter ended July 3, 2011. For the second quarter of 2010, the company reported operating income from continuing operations of $1.0 million on revenue of $33.6 million.

Revenue for our second quarter increased by 29% over last year. The growth was driven by solid demand from our defense customers, including resumed order activity from our core U.S. government customer, and further penetration of our batteries into the metering business in China, said Michael D. Popielec, Ultralifes president and chief executive officer. We are continuing to make progress towards improving the companys profitability through lean manufacturing, reductions in non-value-added overhead and the implementation of plans to further consolidate our facilities footprint. These operational efficiencies are unlocking resources that we are allocating to new product development and expanded sales coverage. Having exited the Energy Services business one quarter ahead of schedule, we are now channeling all of our attention on positioning the company for sustainable, profitable growth.

As a result of our financial performance, working capital management and cash generated from lean initiatives, we reduced our revolver balance by $6.5 million during the second quarter to $3.7 million at quarter end. Working capital efficiencies included the reduction in inventory levels and improved accounts receivable collections, added Philip A. Fain, Ultralifes chief financial officer.

Second Quarter 2011 Financial Results

During the quarter, Ultralife completed the exit of the Energy Services business. As a result, the Energy Services segment has been reclassified as a discontinued operation. In connection with exiting the Energy Services business, the company incurred closing costs of $2.9 million for the first six months of 2011, the cash component of which amounted to $2.0 million. All figures presented below represent results from continuing operations.

Revenue increased by 29% to $43.6 million, compared to $33.6 million for the second quarter of 2010, consisting of a 23% increase in Battery Energy Product sales and a 49% increase in Communications Systems sales.

Gross margin was $11.8 million, or 27.1% of revenue, compared to $9.0 million, or 26.8% of revenue, for the same quarter a year ago, reflecting a favorable mix of high-margin Communications Systems sales. Included in gross margin for the second quarter of 2011 was a $0.3 million severance charge related to overhead reductions.

Operating expenses were $8.9 million, compared to $8.0 million a year ago reflecting higher new product development costs, higher selling expenses, and relocation and severance expenses that did not occur in the same period last year. As a percent of revenue, operating expenses were 20.5%, compared to 23.8% a year ago. Operating income grew to $2.9 million, representing an operating margin of 6.6%, compared to $1.0 million, for an operating margin of 2.9%, for the same quarter last year.

Net income from continuing operations was $2.6 million, or $0.15 per share, compared to $0.6 million, or $0.03 per share, for the second quarter of 2010. Net loss from discontinued operations was $2.1 million, or $0.12 per share, reflecting the cost of exiting the Energy Services business, compared to a net loss of $0.6 million, or $0.03 per share, for the same quarter last year. For the second quarter of 2010, the net loss from discontinued operations represented the operating loss of the Energy Services business.

Six Months Ended July 3, 2011 Financial Results

For the six month period ended July 3, 2011, revenue from continuing operations was $72.0 million, compared to $70.1 million for the same period a year ago. Year-to-date 2011 revenue was negatively impacted by a $2.7 million charge recorded in the first quarter to reflect the settlement with the U.S. Government related to exigent contracts completed between 2003 and 2004. This charge resulted in an operating loss of $1.3 million, compared to operating income of $2.8 million for the first half of 2010. The net loss from continuing operations was $1.5 million, or $0.08 per share, compared to net income of $1.8 million, or $0.11 per share, for the same period a year ago. The net loss from discontinued operations was $3.8 million, or $0.22 per share, including $2.9 million of costs related to the exit of the Energy Services business, compared to a net loss of $1.5 million, or $0.09 per share, for the first half of 2010.

Outlook

Management reaffirmed its guidance for 2011, which calls for revenue of approximately $162 million and operating income of approximately $7.8 million. Management cautions that the timing of orders and shipments may cause variability in quarterly results.

About Ultralife Corporation

Ultralife Corporation serves its markets with products and services ranging from portable power solutions to communications and electronics systems. Through its engineering and collaborative approach to problem solving, Ultralife serves government, defense and commercial customers across the globe.

Headquartered in Newark, New York, the company’s business segments include: Battery Energy Products and Communications Systems. Ultralife has operations in North America, Europe and Asia. For more information, visit www.ultralifecorp.com.

This press release may contain forward-looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include: uncertain global economic conditions, increased competitive environment and pricing pressures, disruptions related to restructuring actions and delays. The Company cautions investors not to place undue reliance on forward-looking statements, which reflect the Company’s analysis only as of today’s date. The Company undertakes no obligation to publicly update forward-looking statements to reflect subsequent events or circumstances. Further information on these factors and other factors that could affect Ultralife’s financial results is included in Ultralife’s Securities and Exchange Commission (SEC) filings, including the latest Annual Report on Form 10-K.

Conference Call Information

Ultralife will hold its second quarter earnings conference call today at 10:00 AM ET. To participate, please call (800) 915-4836, identify yourself and ask for the Ultralife call. The conference call will also be broadcast live over the Internet at http://investor.ultralifecorp.com. To listen to the call, please go to the web site at least fifteen minutes early to download and install any necessary audio software. For those who cannot listen to the live webcast, a replay of the webcast will be available shortly after the call at the same location.

Hardinge (HDNG) Reports Second Quarter 2011 Net Income of $3.1 Million

ELMIRA, N.Y., Aug. 4, 2011 /PRNewswire/ — Hardinge Inc. (NASDAQ: HDNG), a leading international provider of advanced metal-cutting solutions, today announced increased net income, sales and orders for the Company’s second quarter ended June 30, 2011.

Second Quarter 2011 Highlights:

• Orders were $108.1 million, a 26% increase compared to the prior year
• Sales were $86.7 million, a 45% increase compared to the prior year
• Net income was $3.1 million, or $0.27 per diluted share, compared with a net loss of $0.8 million, or ($0.07) per diluted share for the same period of 2010
• Dividend of $0.02 declared, up from $0.005

“Second quarter order and sales activity remained robust, consistent with the strengthening activity we’re seeing across much of the globe,” said Richard L. Simons, President and Chief Executive Officer. “The Company’s six month EBITDA of $10.5 million reflected the benefits of our comprehensive repositioning in 2009 which provided permanent cost reductions, along with more efficient coordination and utilization of our worldwide resources. As expected, we are now leveraging our lower cost structure to provide improved results as global demand for machine tools returns.”

“From all perspectives, our second quarter performance was very strong, and we are pleased by order and sales trends, improved margins, and focused expense management, all of which are contributing to improved profitability. We are gratified by our continued ability to leverage the Company’s global manufacturing and sales platform to effectively compete for new orders regardless of the point of origin. We remain confident that we’ll have a strong performance for the remainder of 2011,” said Mr. Simons.

The following tables summarize orders and sales by geographic region for the quarters and six months ended June 30, 2011 and 2010:

The strong growth in our North America order activity reflected industry demand trends, along with the growing effectiveness of our new distribution partners with whom we’ve been working for just over a year. European order activity for the first half of 2011 increased by 76% over the prior year, and our second quarter orders were the highest level since third quarter 2008. The growth rate for Asia and Other orders for the first half of 2011, slowed in comparison to prior periods, and second quarter orders were down 8%, reflecting the absence of any orders from the Chinese consumer electronics industry supplier which has contributed significantly to our orders in prior quarters. Absent these large orders from a single customer, Asia and Other orders for the second quarter and six months were up 82% and 94%, respectively.

“We remain pleased with the growing pace of demand for machine tools, which is occurring despite the uneven appearance of the economic recovery,” Mr. Simons said. “Some of the current strength of our product demand appears to be coming from customers who are anticipating inflationary pressure on pricing, along with customers looking to avoid the possibility of longer lead times for delivery.”

The Company’s second quarter 2011 gross profit was $23.3 million, an increase of $8.6 million, or 58.8%, compared to the prior year second quarter. Gross margin for the quarter was 26.9%, up from 24.5% for the same period in 2010. The improvement in the Company’s second quarter 2011 gross margin was driven by our product mix along with the continued favorable impact of volume against fixed expenses, cost management initiatives and lower competitive price discounting compared with 2010.

Selling, general and administrative expenses were $19.0 million, or 21.9% of net sales, for second quarter 2011 compared to $16.0 million, or 26.8% of net sales, for the prior year second quarter. The improvement in SGA as a percent of net sales is reflective of increasing sales volume as well as the favorable impact of the Company’s comprehensive restructuring program and the corresponding reduction in fixed expenses.

For the six months ended June 30, 2011, Hardinge generated net income of $4.5 million, or $0.39 per share, compared with a net loss of $6.0 million, or ($0.52) per share for 2010.

Dividend Declared

The Company’s Board of Directors declared a cash dividend of $0.02 per share on the Company’s common stock, payable on September 9, 2011 to stockholders of record as of August 31, 2011.

Non-GAAP Measures

This release contains the non-GAAP measure EBITDA (Earnings Before Interest Tax Depreciation and Amortization). Refer to the accompanying schedules for a discussion of this non-GAAP measure and reconciliation to the reported GAAP measure.

Conference Call

The Company will host a conference call today at 11:00 a.m. Eastern Time to discuss the results for the quarter. The call can be accessed live at 1-866-411-4706 (904-271-2008 for calls originating outside the U.S. and Canada) or via the internet at http://www.videonewswire.com/event.asp?id=80880. A recording of the call will be available approximately one hour after its conclusion at 888-284-7564 (904-596-3174 outside the U.S. Canada) using the reference number: 2670151. This telephone recording will be available through September 30, 2011.A transcript of the call will be available from the “Investor Relations” section of the Company’s website, www.hardinge.com, for one year.

Hardinge is a global designer, manufacturer and distributor of machine tools, specializing in SUPER PRECISION and precision CNC Lathes, high performance Machining Centers, high-end cylindrical and jig Grinding Machines, and technologically advanced Workholding Rotary Products. The Company’s products are distributed to most of the industrialized markets around the world with approximately 77% of the 2010 sales outside of North America. Hardinge has a very diverse international customer base and serves a wide variety of end-user markets. This customer base includes metalworking manufacturers which make parts for a variety of industries, as well as a wide range of end users in the aerospace, agricultural, transportation, basic consumer goods, communications and electronics, construction, defense, energy, pharmaceutical and medical equipment, and recreation industries, among others. The Company has manufacturing operations in Switzerland, Taiwan, the United States, China and the United Kingdom. Hardinge’s common stock trades on the NASDAQ Global Select Market under the symbol, “HDNG.” For more information, please visit http://www.hardinge.com.

This news release contains forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended). Such statements are based on management’s current expectations that involve risks and uncertainties. Any statements that are not statements of historical fact or that are about future events may be deemed to be forward-looking statements. For example, words such as “may,” “will,” “should,” “estimates,” “predicts,” “potential,” “continue,” “strategy,” “believes,” “anticipates,” “plans,” “expects,” “intends,” and similar expressions are intended to identify forward-looking statements. The Company’s actual results or outcomes and the timing of certain events may differ significantly from those discussed in any forward-looking statements. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

1. EBITDA, a non-GAAP financial measure, is defined as earnings before interest, taxes, depreciation and amortization. EBITDA is used by management to internally measure our operating and management performance and by investors as a supplemental financial measure to evaluate the performance of our business that, when viewed with our GAAP results and the accompanying reconciliation, we believe provides additional information that is useful to gain an understanding of the factors and trends affecting our business.

Contact:
Edward Gaio
Vice President and CFO
(607) 378-4207

Allied Motion (AMOT) Declares Dividend

Allied Motion Technologies Inc. (NASDAQ: AMOT) today announced that it will begin a quarterly cash dividend program. The Board of Directors has declared the first quarterly dividend payment of $.02 per share payable on August 29, 2011 to shareholders of record on August 17, 2011.

The dividend, when annualized, represents approximately 14% of net income achieved for the last twelve months, commented Dick Warzala, President and CEO of Allied Motion. The payment of a cash dividend is in keeping with managements commitment to increase shareholder value and is a demonstration of our confidence in the future of the company. The dividend does not affect our growth strategy as we fully intend to invest in the Company both organically and through acquisitions in the future. In addition, with the payment of a dividend, we would expect to attract new investors into our stock in the future.

Headquartered in Denver, Colorado, Allied Motion designs, manufactures and sells motion control products into applications that serve many industry sectors. Allied Motion is a leading supplier of precision and specialty motion control components and systems to a broad spectrum of customers throughout the world.

The statements in this press release that relate to future plans, events or performance are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply future results, performance, or achievements, and may contain the word believe, anticipate, expect, project, intend, will continue, will likely result, should or words or phrases of similar meaning. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results of the Company to differ materially from the forward-looking statements. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements as a prediction of actual results. The Company has no obligation or intent to release publicly any revisions to any forward looking statements, whether as a result of new information, future events, or otherwise.

AuthenTec (AUTH) Reports Second Quarter Financial Results

AuthenTec (NASDAQ:AUTH), a leading provider of security and identity management solutions, today reported financial results for the second quarter ended July 1, 2011.

Highlights:

• Second quarter revenue of $16.2 million exceeded guidance and was up 5 percent sequentially
• Smart Sensor revenue grew 5 percent sequentially and 43 percent year over year
• Embedded Security revenue grew 4 percent sequentially and 75 percent year over year
• Forecast third quarter revenue of $18.2 million to $19.2 million and a return to non-GAAP profitability

Revenue for the second quarter of 2011 was $16.2 million, which was above the Companys guidance of $15.0 million to $16.0 million. Second quarter revenue included $11.3 million from Smart Sensor Solutions (SSS), and $4.9 million from Embedded Security Solutions (ESS). This compares to revenue of $15.5 million in the first quarter of 2011, which consisted of $10.8 million of SSS revenue and $4.7 million of ESS revenue, and $10.7 million in the second quarter of 2010, which consisted of $7.9 million of SSS revenue and $2.8 million of ESS revenue.

GAAP Results:

Under Generally Accepted Accounting Principles in the United States of America (GAAP), consolidated net loss for the second quarter of 2011 was $4.8 million, or $0.11 per diluted share. This compares to a GAAP net loss of $5.6 million, or $0.13 per diluted share, in the first quarter of 2011 and a GAAP net loss of $3.9 million, or $0.13 per diluted share, in the second quarter of 2010.

GAAP gross margin in the second quarter of 47.8 percent was in line with the 48.0 percent in the first quarter of 2011 and compares to 51.4 percent in the second quarter of 2010. The year over year decrease in GAAP gross margin was due to increased sales mix of certain PC products acquired in connection with the UPEK transaction along with increased amortization of purchased intangibles. This impact was partially offset by higher margins in the Embedded Security Segment from increased licensing and royalty revenue in the quarter. Total operating expenses on a GAAP basis were $12.3 million, compared to $12.6 million in the first quarter of 2011 and $10.1 million in the second quarter of 2010. The $0.3 million sequential decrease in operating expenses was due to lower Selling and Marketing, General and Administrative and restructuring costs, which were slightly offset by higher RD spending in the quarter.

Non-GAAP Results:

On a non-GAAP basis, consolidated net loss for the second quarter of 2011 was $1.9 million, or $0.04 per diluted share, which exceeded the Companys guidance of a non-GAAP loss of $0.05 to $0.07 per share. Non-GAAP results exclude certain legal and other costs as well as stock-based compensation, the amortization of acquired intangible assets and severance. The second quarter loss compares to a non-GAAP net loss of $2.6 million, or $0.06 per diluted share, in the first quarter of 2011 and a non-GAAP net loss of $2.5 million, or $0.08 per diluted share, in the second quarter of 2010.

Non-GAAP gross margin in the second quarter was 53.7 percent, compared to 52.6 percent in the first quarter of 2011 and 54.6 percent in the second quarter of 2010. The sequential increase in gross margin was due primarily to the higher mix of Government and Access Control revenue and the year-over-year decrease can be attributed to increased sales mix of certain PC products in the Smart Sensor business in the quarter.

Total operating expenses on a non-GAAP basis were $10.4 million, which were in line with the first quarter of 2011 and up from $8.3 million in the second quarter of 2010. Operating expenses reflect higher R D expenses within the Embedded Security business partially offset by lower General and Administrative expenses in the quarter. A reconciliation of second quarter GAAP to non-GAAP results is provided in Table 2 following the text of this press release.

As of July 1, 2011, AuthenTec had approximately $20.2 million in cash and investments, compared to $24.4 million in cash and investments at the end of the first quarter of 2011. AuthenTec had no debt as of July 1, 2011 and April 1, 2011.

Business Update:

Our strong second quarter results reflect continued growth across both of our business segments, driven by increased demand for our portfolio of mobile and network security solutions. This growth, combined with the cost synergies realized as a result of the UPEK acquisition, contributed to revenue and EPS exceeding our guidance for the quarter, said AuthenTec CEO Larry Ciaccia.

During this past quarter, we increased sales of our TrueSuite identity management software which is now being shipped on HP consumer notebooks and is available on our new Web store. As the year continues, we expect versions of our software to be integrated on many more consumer notebook models. Also during the quarter, we secured several new sensor design wins for both the remainder of 2011 and into the 2012 production cycle, including a new laptop design win from a major OEM that should start volume production later this year.

In our Embedded Security business, we posted our fifth consecutive quarter of sequential revenue growth while also securing new customer wins in mobile and network security applications. Our products now provide security from the device to the cloud by securing data and communications, and by protecting content and streaming programming. Highlighting these expanding capabilities in mobile security, our content protection services are being utilized in the popular HBO GO application which has registered nearly 4 million downloads on iPhones, iPads and Android phones. During the quarter we also secured additional design wins around our IPsec solutions for VPN applications on mobile phones. At the device level, we announced new wins in the quarter with semiconductor chip providers who are incorporating our SafeXcel security engines in new gateway and multi-core processor chipsets. Companies are integrating our IP security (IPsec) into new chip designs to enhance the security and high-speed networking compatibility of their offerings.

To leverage what is expected to be a growth opportunity for our sensors in Near Field Communication (NFC)-based mobile commerce, we recently joined forces with several of the leading technology providers in the NFC mobile payment space. This week we announced collaboration with NXP and DeviceFidelity to create secure NFC mobile payment solutions, one of which was used to complete the first biometrically-enabled NFC mobile payment transaction in the U.S. We believe AuthenTec-enabled NFC reference designs created through these and other development efforts will help mobile phone OEMs and wireless carriers address the tremendous growth opportunity as the mobile payment ecosystem continues to mature.

Business Outlook:

Mr. Ciaccia concluded, For the third quarter, revenue is expected to sequentially increase 12 to 18 percent to a range of $18.2 million to $19.2 million. I am pleased to note, given this continued growth and cost management, we also expect to achieve non-GAAP profitability during the third quarter. Non-GAAP operating expenses are expected to be in a range between $9.7 million and $10.3 million. We exceeded our goal of achieving $10 million in annualized cost synergies with full realization of those synergies expected in the third quarter. Looking ahead, I am very excited about the opportunities before us. Our unique portfolio of solutions address growing markets around mobile and network security, and we strongly believe that AuthenTec is on the right course for revenue growth, profitability and continued success in the second half of 2011.

Second Quarter 2011 Financial Results Webcast and Conference Call:

AuthenTec will host a conference call to discuss its second quarter financial results and other information that may be material to investors at 5:00 p.m. Eastern Time (ET) today, August 4, 2011. Investors and analysts may join the conference call by dialing 800-215-2410 and providing the participant pass code 83712978. International callers may join the teleconference by dialing +1-617-597-5410 and using the same pass code. A replay of the conference call will be available beginning at 8:00 p.m. ET and will remain available until midnight ET on Thursday, August 11, 2011. The U.S. replay number is 888-286-8010, with a confirmation code of 96242881. International callers should dial +1-617-801-6888, with the same confirmation code. A live web cast of the conference call will be accessible from the Investor section of the Company’s web site athttp://investors.authentec.com. Following the live webcast, an archived version will be made available on AuthenTecs web site.

Use of GAAP and Non-GAAP Financial Metrics:

To supplement AuthenTecs consolidated financial statements presented in accordance with GAAP, the Company uses non-GAAP financial measures that exclude from the statement of operations the effects of stock-based compensation, certain acquisition-related charges, amortization of certain intangible assets, impairments on investments, and costs related to a reduction in workforce. AuthenTec uses the above non-GAAP financial measures internally to understand, manage and evaluate the business. Management believes it is useful for itself and investors to review, as applicable, both GAAP information and the non-GAAP measures in order to assess the performance of continuing operations and for planning and forecasting in future periods. The presentation of these non-GAAP measures is intended to provide investors with an understanding of the Companys operational results and trends that enables them to analyze the base financial and operating performance and facilitate period-to-period comparisons and analysis of operational trends. AuthenTec believes the presentation of these non-GAAP financial measures is useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision-making. Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered substitutes for or superior to GAAP results. In addition, our non-GAAP financial measures may not be comparable to similarly titled measures utilized by other companies since such other companies may not calculate such measures in the same manner as we do.

Investors are encouraged to review the reconciliation of these non-GAAP financial measures to the comparable GAAP results, which is provided in Table 2 after the text of this release. For additional information regarding these non-GAAP financial measures, and management’s explanation of why it considers such measures to be useful, refer to the filings made from time to time with the Securities and Exchange Commission.

Forward Looking Statements:

This press release contains statements that may relate to expected future results and business trends that are based upon AuthenTecs current estimate, expectations, and projections about the industry, and upon managements beliefs, and certain assumptions it has made that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including, without limitation, statements relating to integration of our TrueSuite identity management software on additional consumer notebook models by year end, the timing of volume production from design wins for 2011 and 2012, our growth opportunities in the NFC market, revenue, operating expenses and non-GAAP net income in our third quarter, growth opportunities for our technologies and software, annual cost-savings from the UPEK acquisition and revenue growth, profitability and continued success in the second half of 2011. Words such as anticipates, guidance, expects, intends, plans, believes, seeks, estimates, may, should, will, prospects, outlook, forecast, and variations of these words or similar expressions are intended to identify forward-looking statements. In addition, any statements that refer to expectations, projections, or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. Such statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Therefore, the Companys actual results may differ materially and adversely from those expressed in any forward-looking statement as a result of various factors. These factors include, but are not limited to:the Companys ability to integrate the UPEK business, the Companys ability to operate the acquired business profitably, demand for, and market acceptance of, new and existing fingerprint sensors, identity management software and embedded security products, the Companys ability to secure design wins for enterprise and consumer laptops, wireless devices and products aimed at Government markets, customer design wins materializing into production programs, the timely introduction of new products, the rate at which the Company increases its activity and opportunities in the wireless market, and additional opportunities in various markets for applications that might use AuthenTecs products, the Companys ability to develop and capitalize on its NFC solutions and changes in product mix, as well as other risks detailed from time to time in its SEC filings, including those described in AuthenTecs annual report on Form 10-K filed with the SEC on March 17, 2011. These forward-looking statements are made only as of the date hereof, and the Company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

About AuthenTec

AuthenTec is the worlds #1 provider of fingerprint sensors, identity management software, and embedded security solutions. AuthenTec solutions address enterprise, consumer and government applications for a growing base of top tier global customers. Already shipped on hundreds of millions of devices, the Company’s smart sensor products, software and embedded security solutions are used virtually everywhere, from the PC on your desk to the mobile device in your hand to the server in the cloud. AuthenTec offers developers and users secure and convenient ways to manage today’s rapidly evolving digital identities and security needs. For more information, visitwww.authentec.com or follow us at twitter.com/authentecnews.

Arena (ARNA) and Eisai Announce Completion of Study Measuring Lorcaserin Concentrations

SAN DIEGO and WOODCLIFF LAKE, N.J., Aug. 2, 2011 /PRNewswire/ — Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) and Eisai Inc. announced today the completion of a clinical study that measured lorcaserin concentrations in human cerebrospinal fluid (CSF) and plasma and related data analyses. The study was conducted to provide additional data that may be informative for determining the human relevance of the observation of brain astrocytoma in male rats. Using the results of this study and other preclinical and clinical studies, Arena estimates that the mean exposure of the human brain to lorcaserin at the clinically tested dose (10 mg dosed twice daily (BID)) is approximately 1.7 times the exposure in the human plasma. In contrast, the measured exposure of the male rat brain to lorcaserin at the dose at which no brain astrocytoma was observed (10 mg/kg/day) is approximately 24 times the exposure in the rat plasma.

“We estimate that humans concentrate lorcaserin in the brain to a much lower extent than do rats,” said William R. Shanahan, M.D., Arena’s Senior Vice President and Chief Medical Officer. “We believe these results may be helpful in assessing the human relevance of the observation of brain astrocytoma in the rat carcinogenicity study.”

This study is one of the activities intended to address the observation of brain astrocytoma in male rats as part of the overall plan to submit a response to the lorcaserin Complete Response Letter (CRL). Activities intended to address the observation of mammary adenocarcinoma in female rats and other issues identified by the US Food and Drug Administration (FDA) are ongoing.

Study Rationale, Design and Related Analyses

Brain astrocytoma was observed in male rats given certain doses of lorcaserin during a two-year carcinogenicity study. One approach to estimating a safety margin for this finding would be to use plasma concentrations in humans at the clinically tested dose of lorcaserin and in rats at the dose of lorcaserin at which no brain astrocytoma was observed; the human plasma exposure to lorcaserin 10 mg BID is approximately five times lower than the male rat plasma exposure to lorcaserin 10 mg/kg/day.

Because lorcaserin might enter the brain differently in rats and humans, relative brain exposure may more accurately estimate the safety margin than relative plasma exposure. The apparent consistent relationship of the lorcaserin brain to CSF exposure ratios in three animal species (mice, rats and monkeys) measured in five preclinical studies conducted by Arena provides a method to estimate human brain exposure by using CSF measurements from humans and assuming a similar brain to CSF ratio found in animals.

In this clinical study, lorcaserin CSF and plasma concentrations were measured in nine healthy obese volunteers after oral administration of lorcaserin 10 mg BID for seven days. On Day 7, lumbar CSF and plasma were serially collected simultaneously over a 12-hour period. Arena calculated the estimated ratio of lorcaserin exposure in the brain relative to plasma in humans using the mean brain to CSF exposure ratio from the preclinical studies of 101, with a range of 75-117, and the measured human CSF and plasma exposures (mean AUCss (standard deviation)) of 9.3 (+/-3.9) hr-ng/mL and 540 (+/-157) hr-ng/mL, respectively, from this study.

It is important to note that Arena’s estimates are based on certain assumptions and extrapolations. The FDA may accept Arena’s assumptions and extrapolations or may use different ones in analyzing the data, which could lead the FDA to estimate a different exposure margin. The FDA also may or may not view the estimates as reliable or predictive of the safety margin.

About Lorcaserin

Lorcaserin is an investigational drug candidate intended for weight management, including weight loss and maintenance of weight loss, in patients who are obese (BMI >30) or patients who are overweight (BMI >27) and have at least one weight-related co-morbid condition. Lorcaserin is a new chemical entity that is believed to act as a selective serotonin 2C receptor agonist. The serotonin 2C receptor is expressed in the brain, including the hypothalamus, an area believed to be involved in the control of appetite and metabolism. Arena has patents that cover lorcaserin in the United States and other jurisdictions that in most cases are capable of continuing into 2023 without taking into account any patent term extensions or other exclusivity Arena might obtain.

Arena submitted a New Drug Application (NDA) for lorcaserin to the FDA in December 2009, and the FDA issued a CRL in October 2010. Arena’s wholly owned subsidiary, Arena Pharmaceuticals GmbH, has granted Eisai Inc. exclusive rights to market and distribute lorcaserin in the United States subject to FDA approval of the NDA for lorcaserin.

About Arena Pharmaceuticals

Arena is a clinical-stage biopharmaceutical company focused on discovering, developing and commercializing oral drugs that target G protein-coupled receptors, an important class of validated drug targets, in four major therapeutic areas: cardiovascular, central nervous system, inflammatory and metabolic diseases.

Arena Pharmaceuticals® and Arena® are registered service marks of the company.

About Eisai Inc.

Eisai Inc. was established in 1995 and is ranked among the top-25 US pharmaceutical companies (based on retail sales). The company began marketing its first product in the United States in 1997 and has rapidly grown to become a fully integrated pharmaceutical business. Eisai’s areas of commercial focus include neurology, gastrointestinal disorders and oncology/critical care. The company serves as the US pharmaceutical operation of Eisai Co., Ltd., a research-based human health care (hhc) company that discovers, develops and markets products throughout the world.

Eisai has a global product creation organization that includes US-based R&D facilities in Massachusetts, New Jersey, North Carolina and Pennsylvania as well as manufacturing facilities in Maryland and North Carolina. The company’s areas of R&D focus include neuroscience; oncology; vascular, inflammatory and immunological reaction; and antibody-based programs. For more information about Eisai, please visit www.eisai.com/us.

Forward-Looking Statements

Certain statements in this press release are forward-looking statements that involve a number of risks and uncertainties. Such forward-looking statements include statements about the advancement, therapeutic indication and use, safety, efficacy, tolerability, mechanism of action and potential of lorcaserin; the significance of the results from the human CSF clinical study of lorcaserin, including the use of the results of the clinical study in determining the human relevance of, and addressing, the observation of brain astrocytoma in male rats, in estimating the exposure of the human brain to lorcaserin, and estimating safety margin; the accuracy of estimates of safety margin based on relative brain exposure; the FDA’s analysis of data and its view and acceptance of the CSF data, estimates, and Arena’s assumptions, extrapolations and analysis; the response to the CRL for the lorcaserin NDA, including related plans and activities; the Eisai collaboration and potential activities thereunder; lorcaserin’s patent coverage; and Arena’s focus, goals, strategy, research and development programs, and ability to develop compounds and commercialize drugs. For such statements, Arena claims the protection of the Private Securities Litigation Reform Act of 1995. Actual events or results may differ materially from Arena’s expectations. Factors that could cause actual results to differ materially from the forward-looking statements include, but are not limited to, the following: the estimated human brain exposure of lorcaserin is an extrapolation that depends on the assumptions made and the particular human CSF and plasma and animal brain, CSF and plasma measurements used, and the estimate may differ depending on the analysis; the timing of regulatory review and approval is uncertain; the risk that data and other information related to Arena’s research and development programs may not meet safety or efficacy requirements or otherwise be sufficient for regulatory approval; Arena’s response to the CRL for the lorcaserin NDA or submission of a Marketing Authorization Application for regulatory approval of lorcaserin may not be submitted when anticipated, if at all; the FDA may request other information prior to or after Arena submits such response or approval of the lorcaserin NDA; unexpected or unfavorable new data; risks related to commercializing new products; Arena’s ability to obtain and defend its patents; the timing, success and cost of Arena’s research and development programs; results of clinical trials and other studies are subject to different interpretations and may not be predictive of future results; clinical trials and other studies may not proceed at the time or in the manner expected or at all; Arena’s ability to obtain adequate funds; risks related to relying on collaborative agreements; the timing and receipt of payments and fees, if any, from collaborators; and satisfactory resolution of pending and any future litigation or other disagreements with others. Additional factors that could cause actual results to differ materially from those stated or implied by Arena’s forward-looking statements are disclosed in Arena’s filings with the Securities and Exchange Commission. These forward-looking statements represent Arena’s judgment as of the time of this release. Arena disclaims any intent or obligation to update these forward-looking statements, other than as may be required under applicable law.

Contacts: Arena Pharmaceuticals, Inc.

Investor Inquiries:

Media Inquiries: Russo Partners

Cindy McGee

David Schull

cmcgee@arenapharm.com

david.schull@russopartnersllc.com

858.453.7200, ext. 1479

858.717.2310

Reed’s Inc. (REED) Second Quarter Revenues Increase 26%

LOS ANGELES, CA — (Marketwire) — 08/02/11 — Reed’s, Inc. (NASDAQ: REED), maker of the top-selling sodas in natural food stores nationwide, today announced its revenues for its second quarter ended June 30, 2011.

Revenues for the second quarter of 2011 increased to $6.2 million from $4.9 million in the second quarter of 2010.

“This is our 7th quarter of double-digit revenue growth,” stated Chris Reed, Founder and CEO of Reed’s, Inc. “Our branded products continue to drive growth in the first part of 2011. We expect continued strong growth for the balance of the year.”

The Company will conduct a conference call @ 4:15 EDT on Thursday, August 11th to discuss its 2011 second quarter results and outlook for the rest of 2011. To participate in the call, please dial the following number 5 to 10 minutes prior to the scheduled call time 1-877-852-0653. International Callers should dial 512-225-9559. The conference ID is 645933#.

Conference Call will be recorded and be available on www.reedsinc.com.

Reed’s Facebook Fan Page at: http://www.facebook.com/pages/Reeds-Ginger-Brew-and-Virgils-Natural-Sodas/57143529039?ref=nf.

About Reed’s, Inc.

Reed’s, Inc. makes the top-selling natural sodas in the natural foods industry sold in over 10,500 natural food markets and supermarkets nationwide. In 2009, Reed’s started producing Private Label natural beverages for select national chains. Its six award-winning non-alcoholic Ginger Brews are unique in the beverage industry, being brewed, not manufactured and using fresh ginger, spices and fruits in a brewing process that predates commercial soft drinks. The Company owns the top-selling root beer line in natural foods, the Virgil’s Root Beer product line, and the top-selling cola line in natural foods, the China Cola product line. Recently, Reed’s introduced its Reed’s All Natural Ginger Nausea Relief product for the over-the-counter stomach aisle for all retail channels and acquired the Sonoma Sparkler brand, a sparkling juice celebration drink with an established customer base. Other product lines include: Reed’s Ginger Candies and Reed’s Ginger Ice Creams.

Reed’s products are sold through specialty gourmet and natural food stores, mainstream supermarket chains, retail stores and restaurants nationwide, and in Canada, as well as through private label relationships with major supermarket chains. For more information about Reed’s, please visit the company’s website at: http://www.reedsinc.com or call 800-99-REEDS.

Safe Harbor Statement

Some portions of this press release, particularly those describing Reed’s goals and strategies, contain “forward-looking statements.” These forward-looking statements can generally be identified as such because the context of the statement will include words, such as “expects,” “should,” “believes,” “anticipates” or words of similar import. Similarly, statements that describe future plans, objectives or goals are also forward-looking statements. While Reed’s is working to achieve those goals and strategies, actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. These risks and uncertainties include difficulty in marketing its products and services, maintaining and protecting brand recognition, the need for significant capital, dependence on third party distributors, dependence on third party brewers, increasing costs of fuel and freight, protection of intellectual property, competition and other factors, any of which could have an adverse effect on the business plans of Reed’s, its reputation in the industry or its expected financial return from operations and results of operations. In light of significant risks and uncertainties inherent in forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by Reed’s that they will achieve such forward-looking statements. For further details and a discussion of these and other risks and uncertainties, please see our most recent report on Form 10-K and, as filed with the Securities and Exchange Commission, as they may be amended from time to time. Reed’s undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

About Wall Street Communications Group Inc

Wall Street Communications Group Inc is a specialized IR firm focusing on emerging growth companies. WSCG has assisted many small and mid cap companies in reaching their financial goals over the last 15 years by helping drive revenues and spearheading various marketing campaigns with its extensive contacts both domestically and globally.

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Contact:
Michael Sclafani
President
Wall Street Communications Group Inc
Tel. 303-541-0970

SPAR Group (SGRP) Announces Second Quarter and Year to Date Earnings per Share of $0.02 and $0.04, Respectively

TARRYTOWN, NY, Aug 02, 2011 (MARKETWIRE via COMTEX) — SPAR Group, Inc.  (the “Company” or “SPAR Group”), a leading supplier of retail merchandising and other marketing services throughout the United States and internationally, today announced second quarter revenue of $15.9 million, net income of $509,000 and earnings of per share of $0.02. For the six month period ending June 30, 2011, the Company reported revenue of $32.4 million, net income of $762,000 and earnings per share of $0.04.

“Management is pleased with the Company’s strong 18% increase in earnings and operational success that we have achieved during our typically slower first half of the calendar year,” stated Gary Raymond, Chief Executive Officer of SPAR Group. “Our international division continues to improve its financial performance. We are pleased with our joint venture partnership re-alignments in the high growth markets of India with Krognos Integrated Marketing Services and in China with Shanghai Wedone Marketing Consulting and we are confident in management’s ability to close on several targeted profitable acquisition candidates with hopes of integrating them during this calendar year. Due to our traditionally more favorable seasonal performance in the latter half of the year, and encouraging merchandising activity, we believe that the second half of 2011 will bring improved financial results for the Company. We remain focused on increasing sales, expanding margins and improving overall profitability.”

2011 Company Highlights

        
        --  Signed new Joint Venture in India that will expand annual revenue and
            profitability in this important growth market.
        --  Revenue for the first six months 2011 increased 13% to $32.4 million
            compared to $28.7 million in 2010.
        --  Gross profit for the first six months 2011 increased 8% to $10.2
            million compared to $9.5 million in 2010.
        --  Operating income for the first six months 2011 increased 17% to
            $954,000 compared to $814,000 in 2010.
        --  Net income for the first six months 2011 increased 18% to $762,000 or
            $0.04 per share compared to $648,000 or $0.03 per share for the same
            period in 2010.

Three Month Financial Results for the period ended June 30, 2011

        
                                                Three Months Ended June 30,
                                                       (in thousands)
                                         -----------------------------------------
                                            2011       2010           Change
                                         ---------  ---------  -------------------
        Net Revenue:                                               $          %
                                                               ---------  --------
          Domestic                       $   9,367  $   9,915  $    (548)       (6)%
          International                      6,577      5,699        878        15%
                                         ---------  ---------  ---------
          Total                          $  15,944  $  15,614  $     330         2%
        Gross Profit:
          Domestic                       $   2,930  $   3,413  $    (483)      (14)%
          International                      2,027      1,798        229        13%
                                         ---------  ---------  ---------
          Total                          $   4,957  $   5,211  $    (254)       (5)%
        Net Income (loss):
          Domestic                       $     560  $     841  $    (281)      (33)%
          International                        (51)      (229)       178        78%
                                         ---------  ---------  ---------
          Total                          $     509  $     612  $    (103)      (17)%

Revenue for the quarter ended June 30, 2011 totaled $15.9 million, an increase of 2% compared to $15.6 million for the second quarter ended June 30, 2010. Domestic revenue for the second quarter of 2011 was $9.4 million compared to $9.9 million for the same period in 2010. The decrease in domestic revenue was mainly attributable to extraordinary project revenue realized in the second quarter of 2010. International revenue increased 15% to $6.6 million compared to $5.7 million during the same period 2010. The increase in international revenue was due to strong performances in the China and Australian markets.

Gross profit at $5.0 million for the second quarter of 2011, was down slightly when compared to $5.2 million the same period of 2010. Domestically, our gross profit margin was 31.3% for the second quarter 2011 compared to 34.4% in 2010. The decrease in gross profit margin was directly attributable to an unfavorable mix of syndicated and project work compared to last year. Internationally, our gross profit margin was 30.8% for the second quarter of 2011 compared to 31.6% for the same period in 2010. These changes are primarily due to the mix of business predominately in the China market.

Net income for the second quarter of 2011 was $509,000 or $0.02 per share compared to $612,000 or $0.03 per share for the same period of 2010.

Mr. Raymond continued, “While domestic sales were impacted during the second quarter of 2011, we are well positioned to capitalize on numerous opportunities within the expanding retail merchandising markets going forward. Therefore, we expect our U.S. operations to have improved financial results for the remainder of 2011, while our international business continues its impressive resurgence. A key to our future growth is the improvements we have made in our working capital position and current ratio. Having availability under our credit facilities allows SPAR to seek out the best growth opportunities to increase earnings without shareholder dilution. With continued guidance and support from our Board of Directors, SPAR Group’s Management will continue to opportunistically invest our capital for maximum financial gains.”

Six Months Financial Results for Period Ended June 30, 2011

        
                                           Six Months Ended June 30, (in thousands)
                                           ----------------------------------------
                                              2011       2010          Change
                                           ---------  ---------  ------------------
        Net Revenue:                                                 $         %
                                                                 --------- --------
          Domestic                         $  18,889  $  17,461  $   1,428        8%
          International                       13,474     11,281      2,193       19%
                                           ---------  ---------  ---------
          Total                            $  32,363  $  28,742  $   3,621       13%
        Gross Profit:
          Domestic                         $   6,208  $   6,168  $      40        1%
          International                        3,985      3,313        672       20%
                                           ---------  ---------  ---------
          Total                            $  10,193  $   9,481  $     712        8%
        Net Income (loss):
          Domestic                         $   1,059  $     979  $      80        8%
          International                         (297)      (331)        34       10%
                                           ---------  ---------  ---------
          Total                            $     762  $     648  $     114       18%

Revenue for the first six months 2011 increased 13% to $32.4 million compared to $28.7 million in 2010. Domestic revenue for the six month period ended June 30, 2011 was $18.9 million compared to $17.5 million during the same period 2010. Domestic net revenues increased by $1.4 million primarily attributable to continued growth from the Company’s syndicated services as well as growth in our assembly services. Internationally, revenue for the six month period ended June 30, 2011 was $13.5 compared to $11.3 during the same period 2010. This increase is due to strong performance from China, Australia and Canada.

Gross profit for the first six months 2011 increased 8% to $10.2 million compared to $9.5 million for the same period in 2010. Domestic margins for the first half of 2011 were 32.9% compared to 35.3% during the same period 2010. The changes in domestic gross profit margins are related to an unfavorable mix of syndicated and project work compared to last year. Internationally, gross profit margins for the six month period ended June 30, 2011 were 29.6% compared to 29.4% in the previous year.

Net income for the first six months of 2011 totaled $762,000 or $0.04 per share compared to net income of $648,000 or $0.03 per share, for the same period in the prior year. Domestically, net income for the six month period ended June 30, 2011 totaled $1.1 million compared to net income of $979,000 for the same period in 2010. Internationally, a net loss for the first half of 2011 totaled $297,000 compared to a net loss of $331,000 for the same period in 2010.

Balance Sheet as of June 30, 2011

As of June 30, 2011 working capital improved to $5.9 million and its current ratio increased to 1.7 to 1. Total current assets and total assets were $14.2 million and $17.0 million, respectively and cash and cash equivalents totaled $1.3 million at June 30, 2011. Total current liabilities and total liabilities were $8.3 million and $8.7 million, respectively and total equity was $7.8 million at June 30, 2011.

The Company intends to file the Form 10-Q with the Securities and Exchange Commission on or before August 5, 2011 and host a shareholder conference call on August 9, 2011 at 2:00 pm eastern daylight time. We will provide conference call detail in a later press release.

Shareholder Update Call The Company will host a conference call on Tuesday, August 09, 2011, at 2:00 p.m. Eastern Time. During the call management will discuss the company’s Second Quarter 2011 financial results.

Conference Call Details: Date: Tuesday, August 09, 2011 Time: 2:00 p.m. EDT Dial In-Number: 1-877-941-8418 International Dial-In Number: 1-480-629-9761

It is recommended that participants dial in approximately 5 to 10 minutes prior to the start of the 2:00 p.m. call. A telephonic replay of the conference call may be accessed approximately two hours after the call through August 16, 2011, by dialing 1-877-870-5176 or 1-858-384-5517 for international callers and entering the replay access code 4462779.

There will also be a simultaneous audio feed webcast and archived recording of the conference call available at http://www.sparinc.com under the “Investor Relations” menu section and “News Releases” sub-menu of the website or you may use the link audio feed and archived recording of the conference call available at http://viavid.net/dce.aspx?sid=00008AD3 .

About SPAR Group

SPAR Group, Inc. is a diversified international merchandising and marketing services company and provides a broad array of services worldwide to help companies improve their sales, operating efficiency and profits at retail locations. The Company provides merchandising and other marketing services to manufacturers, distributors and retailers worldwide, primarily in mass merchandisers, office supply, grocery and drug store chains, independent, convenience and electronics stores, as well as providing furniture and other product assembly services, in-store events, radio frequency identification (“RFID”) and related technology services and marketing research. The Company has supplied these project and product services in the United States since certain of its predecessors were formed in 1979 and internationally since the Company acquired its first international subsidiary in Japan in May of 2001. Product services include product additions; placement, reordering, replenishment, labeling, evaluation and deletions, and project services include seasonal and special product promotions, product recalls and complete setups of departments and stores. The Company operates throughout the United States and internationally in 8 of the most populated countries, including China and India. For more information, visit the SPAR Group’s Web site at http://www.sparinc.com/ .

Certain statements in this news release and such conference call are forward-looking, including (without limitation) growing revenues and profits through organic growth and acquisitions, attracting new business that will increase SPAR Group’s revenues, continuing to maintain costs and consummating any transactions. Undue reliance should not be placed on such forward-looking statements because the matters they describe are subject to known and unknown risks, uncertainties and other unpredictable factors, many of which are beyond the Company’s control. The Company’s actual results, performance and trends could differ materially from those indicated or implied by such statements as a result of various factors, including (without limitation) the continued strengthening of SPAR Group’s selling and marketing functions, continued customer satisfaction and contract renewal, new product development, continued availability of capable dedicated personnel, continued cost management, the success of its international efforts, success and availability of acquisitions, availability of financing and other factors, as well as by factors applicable to most companies such as general economic, competitive and other business and civil conditions. Information regarding certain of those and other risk factors and cautionary statements that could affect future results, performance or trends are discussed in SPAR Group’s most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings made with the Securities and Exchange Commission from time to time. All of the Company’s forward-looking statements are expressly qualified by all such risk factors and other cautionary statements.

Tables Follow

        
                                      SPAR Group, Inc.
                             Consolidated Statements of Income
                                        (unaudited)
                           (in thousands, except per share data)

                                             Three Months Ended   Six Months Ended
                                                  June 30,            June 30,
                                            ------------------- -------------------
                                               2011      2010      2011      2010
                                            --------- --------- --------- ---------

        Net revenues                        $  15,944 $  15,614 $  32,363 $  28,742
        Cost of revenues                       10,987    10,403    22,170    19,261
                                            --------- --------- --------- ---------
        Gross profit                            4,957     5,211    10,193     9,481

        Selling, general, and administrative
         expenses                               4,137     4,199     8,711     8,171
        Depreciation and amortization             265       237       528       496
                                            --------- --------- --------- ---------
        Operating income                          555       775       954       814

        Interest expense                           24        67       106       102
        Other (income) expense                     (2)       88         7        91
                                            --------- --------- --------- ---------
        Income before provision for income
         taxes                                    533       620       841       621

        Provision for income taxes                 29        17        53        34
                                            --------- --------- --------- ---------
        Net income                                504       603       788       587
        Net (income) loss attributable to
         the non-controlling interest              (5)       (9)       26       (61)
                                            --------- --------- --------- ---------
        Net income attributable to SPAR
         Group, Inc.                        $     509 $     612 $     762 $     648
                                            ========= ========= ========= =========

        Basic/diluted net income per common
         share:

        Net income - basic                  $    0.03 $    0.03 $    0.04 $    0.03
                                            ========= ========= ========= =========

        Net income - diluted                $    0.02 $    0.03 $    0.04 $    0.03
                                            ========= ========= ========= =========

        Weighted average common shares -
         basic                                 20,012    19,139    19,826    19,139
                                            ========= ========= ========= =========

        Weighted average common shares -
         diluted                               21,656    20,411    21,387    20,359
                                            ========= ========= ========= =========

                                      SPAR Group, Inc.
                                Consolidated Balance Sheets
                      (in thousands, except share and per share data)

                                                          June 30,     December 31,
                                                            2011           2010
                                                       -------------  -------------
                                                        (unaudited)       (note)
        Assets
        Current assets:
          Cash and cash equivalents                    $       1,264  $         923
          Accounts receivable, net                            11,985         13,999
          Prepaid expenses and other current assets              928          1,283
                                                       -------------  -------------
        Total current assets                                  14,177         16,205

        Property and equipment, net                            1,489          1,452
        Goodwill                                                 848            848
        Intangibles                                              333            362
        Other assets                                             164            226
                                                       -------------  -------------
        Total assets                                   $      17,011  $      19,093
                                                       =============  =============

        Liabilities and equity
        Current liabilities:
          Accounts payable                             $       1,779  $       1,804
          Accrued expenses and other current
           liabilities                                         1,713          2,733
          Accrued expense due to affiliates                    1,306          1,575
          Customer deposits                                      294            471
          Lines of credit and other debt                       3,196          5,263
                                                       -------------  -------------
        Total current liabilities                              8,288         11,846
        Other long-term liabilities                              413              -
                                                       -------------  -------------
        Total liabilities                                      8,701         11,846

        Equity:
        SPAR Group, Inc. equity
          Preferred stock, $.01 par value:
            Authorized and available shares -
             2,445,598
            Issued and outstanding shares - None -
             June 30, 2011
            554,402 - December 31, 2010                            -              6
          Common stock, $.01 par value:
            Authorized shares - 47,000,000
            Issued and outstanding shares - 20,062,033
             - June 30, 2011 and
            19,314,306 - December 31, 2010                       201            193
          Treasury stock                                           -             (1)
          Additional paid-in capital                          13,796         13,549
          Accumulated other comprehensive loss                  (117)          (142)
          Accumulated deficit                                 (6,046)        (6,808)
                                                       -------------  -------------
        Total SPAR Group, Inc. equity                          7,834          6,797
        Non-controlling interest                                 476            450
                                                       -------------  -------------
        Total liabilities and equity                   $      17,011  $      19,093
                                                       =============  =============

Note: The Balance Sheet at December 31, 2010, is excerpted from the consolidated audited financial statements as of that date but does not include certain information and footnotes required by accounting principles generally accepted in the United States for complete financial statements.

        
        Contact:
        James R. Segreto
        Chief Financial Officer
        SPAR Group, Inc.
        (914) 332-4100

        Investors:
        Alan Sheinwald
        Alliance Advisors, LLC
        (212) 398-3486
        Email Contact

        Or

        Chris Camarra
        Alliance Advisors, LLC
        (212) 398-3487
        Email Contact

Asia Entertainment & Resources Ltd. (AERL) Announces Record US$2.213 Billion Rolling Chip Turnover for July 2011

HONG KONG–(EON: Enhanced Online News)–Asia Entertainment & Resources Ltd. (“AERL”) (NASDAQ: AERL), which operates through its subsidiaries and related promoter companies as a VIP room gaming promoter, today announced unaudited Rolling Chip Turnover (as defined below) for the month of July 2011 at the company’s VIP rooms in Macau was a record US$2.213 billion, up 154% year-over-year compared to US$871 million for the month of July 2010.

This compares with a year-over-year increase in gross gaming revenue for Macau of 48% for July 2011. AERL’s Rolling Chip Turnover increased 47% sequentially from June to July while gross gaming revenue for Macau increased 16% for the same period; for the first seven months of 2011, AERL’s Rolling Chip Turnover was US$10.618 billion (an average of $1.517 billion per month), up 104% year-over-year, compared to US$5.213 billion for the first seven months of 2010. By way of comparison, Macau gross gaming revenue increased 45% for the first seven months of 2011.

The exceptional growth in Rolling Chip Turnover was attributable to having five full weekends in July, organic growth, increasing cage capital from the increased line of credit provided by Galaxy Macau and the Venetian Macao-Resort-Hotel allowing for higher levels of Rolling Chip Turnover, the completion of the acquisition of 100% of the profit interest in the operations of King’s Gaming Promotion Limited (“KGP”), thereby adding to AERL a VIP room at the Venetian Macao-Resort-Hotel in Cotai and the recent opening of a VIP room at the new Galaxy Macau™ in Cotai.

The Company’s VIP rooms are primarily focused on high stakes baccarat. Baccarat accounts for approximately 88% of total Macau casino winnings according to the Macau Gaming Inspection and Coordination Bureau (DICJ). In Macau, two remuneration methods are used to compensate VIP room gaming promoters. On a fixed commission basis, VIP room gaming promoter revenues are based on an agreed percentage of Rolling Chip Turnover. On a win/loss split basis, the VIP room gaming promoter receives an agreed percentage of the “win” in the VIP gaming room (plus certain incentive allowances), and is required to also bear the same percentage of losses that might be incurred. Compared to the fixed commission basis, the win/loss split basis subjects the VIP room gaming promoter to the risk of losses from the gaming patron’s activity and greater volatility.

AERL’s VIP rooms at the Galaxy Star World in Downtown Macau, Venetian Macao-Resort-Hotel and Galaxy Macau™ in Cotai are based on a fixed commission. Because all of AERL’s revenues are now directly related to Rolling Chip Turnover, the Company is concentrating its marketing efforts to increase the number of patrons and the amount of play at its VIP gaming rooms. Consequently, in order to increase the Rolling Chip Turnover, the Company reinvests its earnings to increase the amount of cage capital available to finance the increased patron activity. AERL’s net profit before general and administrative expenses is approximately 0.45% of the Rolling Chip Turnover.

Definition of Rolling Chip Turnover

Rolling Chip Turnover is used by casinos to measure the volume of VIP business transacted and represents the aggregate amount of bets players make. Bets are wagered with “non-negotiable chips” and winning bets are paid out by casinos in so-called “cash” chips. “Non-negotiable chips” are specifically designed for VIP players to allow casinos to calculate the commission payable to VIP room gaming promoters. Commissions are paid based on the total amount of “non-negotiable chips” purchased by each player. VIP room gaming promoters therefore require the players to “roll,” from time to time, their “cash chips” into “non-negotiable” chips for further betting so that they may receive their commissions (hence the term “Rolling Chip Turnover”). Through the promoters, “non-negotiable chips” can be converted back into cash at any time. Betting using rolling chips, as opposed to using cash chips, is also used by the DICJ to distinguish between VIP table revenue and mass market table revenue.

About Asia Entertainment & Resources Ltd.

AERL, formerly known as CS China Acquisition Corp., acquired Asia Gaming & Resort Limited (“AGRL”) on February 2, 2010. AERL is an investment holding company which operates through its subsidiaries and related promoter companies as a VIP room gaming promoter, and is entitled to receive all of the profits of the VIP gaming promoters from VIP gaming rooms. AERL’s VIP room gaming promoters currently participate in the promotion of three major luxury VIP gaming facilities in Macau, China, the largest gaming market in the world. One VIP gaming room is located at the top-tier 5-star hotel, the Star World Hotel & Casino in downtown Macau, and another is located in the luxury 5-star hotel, the Galaxy Macau™ Resort in Cotai, each of which is operated by Galaxy Casino, S.A. The third VIP gaming room is located at the Venetian Macao-Resort-Hotel in Cotai.

Forward Looking Statements

This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward looking statements are statements that are not historical facts. Such forward-looking statements, based upon the current beliefs and expectations of AERL’s management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements.

Akorn (AKRX) to Acquire a Minority Stake in Aciex Therapeutics

LAKE FOREST, Ill.–(BUSINESS WIRE)– Akorn, Inc. (NASDAQ:AKRX), a niche specialty pharmaceutical company, today announced that it has entered into an agreement to acquire a minority ownership in Westborough, MA, based Aciex Therapeutics Inc., an ophthalmic drug development company with a focus on developing novel therapeutics to treat ocular diseases. Aciex’s pipeline consists of both clinical stage assets and pre-IND stage assets. In addition, Akorn signed a global licensing agreement for a novel over-the-counter eye care product and manufacturing agreement for one of Aciex’s lead prescription products.

Raj Rai, Chief Executive Officer commented, “We are excited to partner with Aciex and have the opportunity to bring novel over-the-counter and prescription eye care products to the market. With this partnership, we have rounded out our strategy in ophthalmology to include generics, branded and over-the-counter pharmaceuticals.”

Les Kaplan, Ph.D., Executive Chairman of Aciex Therapeutics, Inc., stated: “Aciex is excited to have Akorn as a strategic investor in our company. Along with capital, they bring complementary expertise that we believe will help accelerate the development of our pipeline of innovative ophthalmic products”.

About Aciex Therapeutics, Inc.

Aciex Therapeutics, Inc., located in Westborough, MA, is a venture-backed ophthalmic pharmaceutical company focused on developing first-in-class products to treat ocular diseases. Existing investors in Aciex include Bay City Capital, HealthCare Ventures, New Enterprise Associates and Ora Investment Group. Aciex’s product pipeline, which includes both clinical stage and pre-IND assets, is designed to fill significant unmet therapeutic needs and allow the Company to build a sustainable ophthalmic franchise. For more information about Aciex, visit www.aciexrx.com.

About Akorn, Inc.

Akorn, Inc. is a niche specialty pharmaceutical company engaged in the development, manufacture and marketing of multisource and branded pharmaceuticals. Akorn has manufacturing facilities located in Decatur, Illinois and Somerset, New Jersey where the Company manufactures ophthalmic and injectable pharmaceuticals. Additional information is available on the Company’s website at www.akorn.com.

Forward Looking Statement

This press release includes statements that may constitute “forward-looking statements”, including projections of certain measures of Akorn’s results of operations, projections of certain charges and expenses, and other statements regarding Akorn’s goals, regulatory approvals and strategy. Akorn cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statements. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Because such statements inherently involve risks and uncertainties, actual future results may differ materially from those expressed or implied by such forward-looking statements. You can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. Factors that could cause or contribute to such differences include, but are not limited to: statements relating to future steps we may take, prospective products, future performance or results of current and anticipated products, sales efforts, expenses, the outcome of contingencies such as legal proceedings, and financial results. These cautionary statements should be considered in connection with any subsequent written or oral forward-looking statements that may be made by the company or by persons acting on its behalf and in conjunction with its periodic SEC filings. You are advised, however, to consult any further disclosures we make on related subjects in our reports filed with the SEC. In particular, you should read the discussion in the section entitled “Cautionary Statement Regarding Forward-Looking Statements” in our most recent Annual Report on Form 10-K, as it may be updated in subsequent reports filed with the SEC. That discussion covers certain risks, uncertainties and possibly inaccurate assumptions that could cause our actual results to differ materially from expected and historical results. Other factors besides those listed there could also adversely affect our results.

Conn’s, Inc. (CONN) Announces Expansion and Extension of Revolving Credit Facility

Conns, Inc. (NASDAQ/NM: CONN), a specialty retailer of consumer electronics, home appliances, furniture, mattresses, computers and lawn and garden products, today announced that on July 28, 2011, it completed a $55 million expansion of its revolving credit facility to $430 million and extended the term by 20 months to July 2015.

The Company received increased commitments from several of the existing participants in the bank group and received a commitment from one new lender. In addition to the increased commitments and extended term, there were reductions in the unused fees to be charged and a reduction in the interest rate if the Companys leverage ratio is reduced below specified levels. The Company estimates that diluted earnings per share will benefit by approximately $0.03 per year as a result of the interest rate changes. After completion of the amendment, repayment of the term loan and funding of a new $8 million real estate loan, the Company had $290.0 million outstanding under the revolving credit facility, excluding $1.8 million of letters of credit, and had immediate borrowing availability under that facility of approximately $82.4 million.

We are fortunate to have the support of such strong financial partners, commented Theodore Wright, the Companys Chairman. Together with our recently completed real estate loan and the expected cash flow to be received from continued reductions in the credit portfolio balance, this enhanced revolving credit facility provides us a stable source of capital to support long-term growth. Additionally, in combination with the recent payoff of the term loan, the revolving credit facility gives us a cost of debt capital that will allow our credit segment to operate more profitability. With the refinancing transactions completed, management can narrow its focus to operational execution and continued development and implementation of our long-term growth strategy.

After completion of the financing transactions discussed above, the Company had approximately $138.2 million of total borrowing capacity remaining under the revolving credit facility, subject to increasing eligible inventory or credit portfolio collateral under the borrowing base, to fund future store and credit portfolio growth.

About Conns, Inc.

The Company is a specialty retailer currently operating 71 retail locations in Texas, Louisiana and Oklahoma: with 23 stores in the Houston area, 18 in the Dallas/Fort Worth Metroplex, eight in San Antonio, three in Austin, five in Southeast Texas, one in Corpus Christi, four in South Texas, six in Louisiana and three in Oklahoma. It sells home appliances, including refrigerators, freezers, washers, dryers, dishwashers and ranges, and a variety of consumer electronics, including LCD, LED, 3-D, plasma and DLP televisions, camcorders, digital cameras, computers and computer accessories, Blu-ray and DVD players, video game equipment, portable audio, MP3 players, GPS devices and home theater products. The Company also sells furniture for the living room, dining room, bedroom and related accessories, and mattresses, as well as lawn and garden equipment, and continues to introduce additional product categories for the home to help respond to its customers’ product needs and to increase same store sales. Unlike many of its competitors, the Company provides flexible in-house credit options for its customers. In the last three years, the Company financed, on average, approximately 60% of its retail sales under its in-house financing plan.

This press release contains forward-looking statements that involve risks and uncertainties. Such forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “could,” “estimate,” “should,” “anticipate,” or “believe,” or the negative thereof or variations thereon or similar terminology. Although the Company believes that the expectations reflected in such forward-looking statements will prove to be correct, the Company can give no assurance that such expectations will prove to be correct. The actual future performance of the Company could differ materially from such statements. Factors that could cause or contribute to such differences include, but are not limited to:

• the Companys ability to amend, renew or replace its existing credit facilities before the maturity dates of the facilities;
• the Company’s ability to fund operations, debt repayment and expansion from cash flow from operations, borrowings on its revolving lines of credit and proceeds from securitizations and from accessing debt or equity markets;
• the ability of the Company to obtain additional funding for the purpose of funding the receivables generated by the Company;
• the ability of the Company to maintain compliance with the covenants in its financing facilities or obtain amendments or waivers of the covenants to avoid violations or potential violations of the covenants;
• reduced availability under the Companys credit facilities as a result of borrowing base requirements and the impact on the borrowing base calculation of changes in the performance or eligibility of the customer receivables financed by that facility;
• delinquency and loss trends in the receivables portfolio;
• the Companys ability to offer flexible financing programs;
• the Company’s growth strategy and plans regarding opening new stores and entering new markets;
• the Company’s intention to update, relocate or expand existing stores;
• the effect of closing or reducing the hours of operation of existing stores;
• the Company’s estimated capital expenditures and costs related to the opening of new stores or the update, relocation or expansion of existing stores;
• the Company’s ability to introduce additional product categories;
• the ability of the financial institutions providing lending facilities to the Company to fund their commitments;
• the effect on borrowing costs of downgrades by rating agencies or changes in laws or regulations on the Companys financing providers;
• the cost of any amended, renewed or replacement credit facilities;
• growth trends and projected sales in the home appliance, consumer electronics and furniture and mattresses industries and the Company’s ability to capitalize on such growth;
• the pricing actions and promotional activities of competitors;
• relationships with the Company’s key suppliers;
• interest rates;
• general economic and financial market conditions;
• weather conditions in the Company’s markets;
• the outcome of litigation or government investigations;
• changes in the Company’s stock price; and
• the actual number of shares of common stock outstanding.

Further information on these risk factors is included in the Company’s filings with the Securities and Exchange Commission, including the Company’s annual report on Form 10-K filed on April 1, 2011. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Except as required by law, the Company is not obligated to publicly release any revisions to these forward-looking statements to reflect the events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

ULURU Inc. (ULU) Raises $125,000 in Convertible Debt Offering

ADDISON, Texas, Aug. 1, 2011 /PRNewswire/ — ULURU Inc. (NYSE AMEX: ULU), a specialty pharmaceutical company focused on the development of a portfolio of wound management and oral care products, today announced it has completed a $125,000 convertible debt financing with Kerry P. Gray, the Company’s Chairman, President, and Chief Executive Officer. The Company intends to use the funds for general corporate purposes.

The convertible notes will bear interest at the rate of 10.0% per annum, with annual payments of interest commencing on July 1, 2012. The full amount of principal and any unpaid interest will be due on July 28, 2014. The outstanding principal balance of the notes may be converted into shares of ULURU Inc. common stock, at the option of the note holder and at any time, at a conversion price of $1.08 per share or 115,741 shares of common stock. The company may force conversion of the convertible note if the common stock trades for a defined period of time at a price greater than $2.16. The convertible note is secured by the grant of a security interest in the inventory, accounts receivables and capital equipment held by the Company. The securities issuable on conversion have not been registered under the Securities Act of 1933 and may not be sold absent registration or an applicable exemption from the registration requirements.

As part of the convertible debt financing, Mr. Gray will also receive a warrant to purchase up to 34,722 shares of ULURU Inc.’s common stock. The warrant has an exercise price of $1.08 per share and is exercisable at any time until July 28, 2016.

About ULURU Inc.:

ULURU Inc. is a specialty pharmaceutical company focused on the development of a portfolio of wound management and oral care products to provide patients and consumers improved clinical outcomes through controlled delivery utilizing its innovative Nanoflex® Aggregate technology and OraDisc™ transmucosal delivery system. For further information about ULURU Inc., please visit our website at www.ULURUinc.com. For further information about Altrazeal®, please visit www.Altrazeal.com.

This press release contains certain statements that are forward-looking within the meaning of Section 27a of the Securities Act of 1933, as amended. These statements are subject to numerous risks and uncertainties, including but not limited to the risk factors detailed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2010, and other reports filed by us with the Securities and Exchange Commission.

Contact: Company
Kerry P. Gray
President & CEO
Terry K. Wallberg
Vice President & CFO
(214) 905-5145

Windstream (WIN) to Acquire PAETEC (PAET)

Windstream Corp. (Nasdaq: WIN) has entered into a definitive agreement to acquire PAETEC Holding Corp. (Nasdaq: PAET), based in Fairport, N.Y., in a transaction valued at approximately $2.3 billion.

“This transaction significantly advances our strategy to drive top-line revenue growth by expanding our focus on business and broadband services,” said Jeff Gardner, president and CEO of Windstream. “The combined company will have a nationwide network with a deep fiber footprint to offer enhanced capabilities in strategic growth areas, including IP-based services, data centers, cloud computing and managed services. Financially, we improve our growth profile and lower the payout ratio on our strong dividend, offering investors a unique combination of growth and yield.”

“Both PAETEC and Windstream are built on a customer and employee-focused culture. Together, with far denser network assets, an expansive fiber infrastructure, and larger data center footprint, I believe our brightest days are ahead,” said Arunas A. Chesonis, chairman and CEO, of PAETEC. “Our combination now creates a new Fortune 500 company with the financial strength and scale to compete and win against any other provider in the industry. I’m confident that this transaction will deliver substantial long-term value for our customers, employees, and shareholders.”

PAETEC shareholders will receive 0.460 shares of Windstream common stock for each PAETEC share owned under the terms of the agreement which was approved by the boards of directors of both companies. Windstream expects to issue approximately 73 million shares of stock valued at approximately $891 million, based on the company’s closing stock price on July 29, 2011.

Windstream also will assume or refinance PAETEC’s net debt of approximately $1.4 billion at the time of closing. PAETEC stockholders are expected to own approximately 13 percent of the combined company upon closing of the transaction.

Significant Synergies and Tax Attributes Drive Free Cash Flow Accretion

The transaction is expected to be accretive to free cash flow per share, excluding merger and integration costs, in the first year following the closing. The transaction is expected to generate annual pre-tax operating cost synergies of approximately $100 million and capital expenditure savings of approximately $10 million, which are expected to be fully realized by the third year after closing. Windstream expects to incur merger and integration costs of approximately $50 million in operating expense in the first year following the closing and approximately $55 million in capital expenditures over the first three years following closing.

The transaction will allow annual PAETEC net operating loss utilization of approximately $130 million in each of the first 5 years. The tax benefits will have an estimated net present value of approximately $250 million.

Enhanced Scale and Improved Business Mix

The combined company would have had $6.1 billion in total revenue and about $2.4 billion in adjusted operating income before depreciation and amortization, which excludes non-cash pension expense, restructuring charges and stock-based compensation expense, on a pro forma basis for the last 12 months ended March 31, 2011. Business and broadband revenues would have comprised approximately 70 percent of total revenue.

The new company will serve business customers in 46 states and the District of Columbia and maintain approximately 100,000 fiber route miles across the country. Windstream will offer data center services across the United States and have improved capability to serve multi-location business customers.

Strong Balance Sheet and Liquidity

Windstream will continue to have a strong balance sheet and liquidity. The transaction will be slightly deleveraging, including synergies.

Committed Financing

Windstream has received $1.1 billion in committed financing in connection with the acquisition, which financing would be required if Windstream refinances the assumed debt.

Dividend Practice

Windstream pays an annual dividend of $1 per share and its board of directors expects to continue the current dividend practice after the transaction closes.

Approvals and Anticipated Closing

The transaction is expected to close within six months, subject to certain conditions, including necessary approvals from federal and state regulators and PAETEC shareholders.

PAETEC Overview

PAETEC is a competitive local exchange carrier and provides telecommunications services primarily to business customers in 46 states and the District of Columbia. The company operates seven data centers in the U.S. and owns approximately 36,700 route miles of fiber in portions of 39 states and the District of Columbia.

PAETEC has approximately 5,000 employees, including about 875 in the Rochester, N.Y. area. The company was founded in 1998.

Additional Information

Stephens Inc. and J.P. Morgan Securities LLC are acting as financial advisers and Skadden, Arps, Slate, Meagher & Flom LLP is acting as legal adviser to Windstream in the transaction.

BofA Merrill Lynch and Deutsche Bank Securities, Inc. are acting as financial advisers and Hogan Lovells is acting as legal adviser to PAETEC in the transaction.

Conference Call

Windstream will hold a conference call at 8 a.m. CDT today to review the transaction.

To Access the Call

Interested parties can access the call by dialing 1-877-374-3977, conference ID 88434342, ten minutes prior to the start time.

To Access the Call Replay

A replay of the call will be available beginning at 9 a.m. CDT today and ending at midnight CDT on Aug. 8. The replay can be accessed by dialing 1-855-859-2056, conference ID 88434342.

Webcast Information

The conference call also will be streamed live over the company’s website at www.windstream.com/investors. A replay of the webcast will be available on the website beginning at 9 a.m. CDT today.

About PAETEC
PAETEC (NASDAQ GS: PAET), a Fortune 1000 company, is personalizing communications and energy solutions in 86 of the top 100 metropolitan areas across the United States. We offer a comprehensive suite of network services (voice, data and fiber solutions), as well as managed services, cloud and data center services, software and technology, and energy services. For more information, visit www.paetec.com.

About Windstream
Windstream Corp. (Nasdaq: WIN), headquartered in Little Rock, Ark., is an S&P 500 communications and technology solutions provider with operations in 29 states and the District of Columbia and about $4 billion in annual revenues. Windstream provides IP-based voice and data services, MPLS networking, data center and managed hosting services and communication systems to businesses and government agencies. The company also delivers broadband, digital phone and high-definition TV services to residential customers primarily located in rural areas and operates a local and long-haul fiber network spanning approximately 60,000 route miles. For more information about Windstream, visit www.windstream.com.

Windstream Cautionary Statement Regarding Forward-Looking Statements
Windstream claims the protection of the safe-harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements, including statements regarding the completion of the acquisition and expected benefits of the acquisition, are subject to uncertainties that could cause actual future events and results to differ materially from those expressed in the forward-looking statements. These forward-looking statements are based on estimates, projections, beliefs and assumptions that Windstream believes are reasonable but are not guarantees of future events and results. Actual future events and results of Windstream may differ materially from those expressed in these forward-looking statements as a result of a number of important factors. Factors that could cause actual results to differ materially from those contemplated above include, among others: receipt of required approvals of regulatory agencies; the possibility that the anticipated benefits from the acquisition cannot be fully realized or may take longer to realize than expected; the possibility that costs or difficulties related to the integration of PAETEC operations into Windstream will be greater than expected; the ability of the combined company to retain and hire key personnel; and those additional factors under the caption “Risk Factors” in Windstream’s Form 10-K for the year ended Dec. 31, 2010, and in subsequent Securities and Exchange Commission filings. In addition to these factors, actual future performance, outcomes and results may differ materially because of more general factors including, among others, general industry and market conditions and growth rates, economic conditions, and governmental and public policy changes. Windstream undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The foregoing review of factors that could cause Windstream’s actual results to differ materially from those contemplated in the forward-looking statements should be considered in connection with information regarding risks and uncertainties that may affect Windstream’s future results included in Windstream’s filings with the Securities and Exchange Commission at www.sec.gov.

PAETEC Cautionary Statement Regarding Forward-Looking Statements
Except for statements that present historical facts, this release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. In some cases, you can identify these statements by such forward-looking words as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “should,” “will” and “would,” or similar expressions. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause PAETEC’s actual operating results, financial position, levels of activity or performance to be materially different from those expressed or implied by such forward-looking statements. These risks include those related to the ability of PAETEC to consummate the proposed merger and to realize the anticipated benefits of the merger. Some of the other risks, uncertainties and factors are discussed under the caption “Risk Factors” in PAETEC’s Annual Report on Form 10-K for the year ended December 31, 2010 and in PAETEC’s subsequently filed SEC reports. They include, but are not limited to, the following risks, uncertainties and other factors: general economic conditions and trends; the continued availability of necessary network elements at acceptable cost from competitors; changes in regulation and the regulatory environment; industry consolidation; PAETEC’s ability to manage its business effectively; competition in the markets in which PAETEC operates; failure to adapt product and service offerings to changes in customer preferences and in technology; PAETEC’s ability to integrate the operations of acquired businesses; any significant impairment of PAETEC’s goodwill; PAETEC’s significant level of debt and interest payment obligations and compliance with covenants under PAETEC’s debt agreements; PAETEC’s ability to attract and retain qualified personnel and sales agents; PAETEC’s failure to obtain and maintain network permits and rights-of-way; PAETEC’s involvement in disputes and legal proceedings; PAETEC’s ability to maintain and enhance its back office systems; and effects of network failures, system breaches, natural catastrophes and other service interruptions. PAETEC disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Additional Information and Where to Find It
This communication relates to the proposed merger transaction pursuant to the terms of the Agreement and Plan of Merger, dated as of July 31, 2011, among PAETEC Holding Corp. (“PAETEC”), Windstream Corporation (“Windstream”) and Peach Merger Sub, Inc., a wholly-owned subsidiary of Windstream.

Windstream will file with the Securities and Exchange Commission (“SEC”) a registration statement on Form S-4 in connection with the transaction that will include the proxy statement of PAETEC, which also will constitute a prospectus of Windstream. PAETEC will send to its stockholders the proxy statement/prospectus regarding the proposed merger transaction. PAETEC and Windstream urge investors and security holders to read the proxy statement/prospectus and other documents relating to the merger transaction when they become available, because they will contain important information about PAETEC, Windstream and the proposed transaction. Investors and security holders may obtain a free copy of the Form S-4 and the proxy statement/prospectus and other documents relating to the merger transaction (when available) from the SEC’s website at www.sec.gov, PAETEC’s website at www.paetec.com and Windstream’s website at www.windstream.com. In addition, copies of the proxy statement/prospectus and such other documents may be obtained free of charge (when available) from Windstream, upon written request to Windstream Investor Relations, 4001 Rodney Parham Road, Little Rock, Arkansas 72212 or by calling (866) 320-7922, or from PAETEC, by directing a request to PAETEC Holding Corp., One PAETEC Plaza, Fairport, New York 14450, Attn: Investor Relations, telephone: (585) 340 2500.

This communication shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.

Westwood (WWON) One to Merge With Dial Global

Scorpex (SRPX) Signs Multi-Million Dollar Contract to Secure Waste Processing Equipment for Initial Facility

LAS VEGAS, NV–(Marketwire – July 27, 2011) – Scorpex, Inc. (PINKSHEETS: SRPX) (the “Company”), an emerging leader of industrial, hazardous and toxic waste disposal services in the Baja Mexico/California region, today announces it has entered into a major agreement with International Environmental Technologies, Inc. (“IET”) for the acquisition and installation of waste gasification/thermal oxidation equipment as well as a license to use the technology.

IET’s patented technology is capable of processing municipal waste, medical waste and hazardous waste simultaneously without presorting for maximum efficiency. The oxygen starved system virtually eliminates noise and noxious odors when operating while reducing waste volume by 95%. The design of the system also reduces breeding sites for scavengers, rodents, insects and disease that are sometimes found in other processes.

Chief Executive Officer Joseph Caywood commented, “Following our evaluation of various waste processing techniques and technologies, we found the solution offered by IET to be superior to those offered by competitors. Securing this technology was a crucial part of our business plan. We will provide additional details very soon.”

About Scorpex, Inc.

Scorpex, Inc. is taking the necessary steps to own and operate a full service waste disposal and recycling company, capable of storing and disposing all types of waste, including those classified as industrial, toxic, and hazardous. The location chosen for the first Scorpex plant is strategically positioned to accommodate the vast region of Baja California, Mexico.

For more information, visit www.scorpex.com

About MissionIR

MissionIR is committed to connecting the investment community with companies that have great potential and a strong dedication to building shareholder value. Through a full suite of investor relations and consultancy services, we help public companies develop and execute a strategic investor awareness plan as we’ve done for hundreds of others. Whether it is capital raising, increasing awareness among the financial community, or enhancing corporate communications, we offer a variety of solutions to meet the objectives of our clients.

For more information on Scorpex, Inc., visit http://SRPX.MissionIR.com

This press release may contain certain forward-looking statements regarding future circumstances. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements. Actual results, events, and performance may differ. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as to the date hereof. The Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. The inclusion of any statement in this release does not constitute an admission by the Company or any other person that the events or circumstances described in such statements are material.

China Nutrifruit (CNGL) Withdraws Registration Statement on Form S-1 and Application for TDR Listing

DAQING, China, June 23, 2011 /PRNewswire-Asia-FirstCall/ — China Nutrifruit Group Limited (NYSE Amex: CNGL) (“China Nutrifruit” or “the Company”), a leading producer of premium specialty fruit based products in China (“PRC”), today announced that it has filed an application with the Securities and Exchange Commission to withdraw its registration statement on Form S-1, Registration No. 333-171286, for a proposed offering of 73,000,000 units of Taiwan Depositary Receipt (the “TDRs”), representing 7,300,000 shares of the Company’s common stock. The Company also withdrew its application for listing the TDRs on the Taiwan Stock Exchange.

“After careful considerations, we have decided not to pursue the TDR listing due to uncertainties in the global capital markets. We believe it is in our shareholders’ best interest to withdraw the application given the current market volatility,” said Mr. Changjun Yu, Chairman and CEO of China Nutrifruit.

About China Nutrifruit Group Limited

Through its subsidiaries Daqing Longheda Food Company Limited and Daqing Senyang Fruit and Vegetable Food Technology Company Limited, China Nutrifruit, is engaged in developing, processing, marketing and distributing a variety of food products processed primarily from premium specialty fruits grown in Northeast China, including golden berry, crab apple, blueberry, seabuckthorn, blackcurrant and raspberry. Its processing facility possesses ISO9001 and HACCP series qualifications. Currently, the Company has established an extensive nationwide sales and distribution network throughout 18 provinces in China. For more information, please visit http://www.chinanutrifruit.com .

Acxiom (ACXM) Announces First Quarter Fiscal Year 2012 Results

Jul. 27, 2011 (Business Wire) — Acxiom® Corporation (Nasdaq: ACXM), a recognized leader in marketing services and technology, today announced financial results for the first quarter of fiscal year 2012 ended June 30, 2011. Acxiom will hold a conference call at 9:00 a.m. CDT today to further discuss this information. Interested parties are invited to listen to the call, which will be broadcast via the Internet at www.acxiom.com.

Jerry Gramaglia, Acxiom’s interim chief executive officer, said, “We achieved overall solid financial performance for the quarter and are pleased with our continued revenue growth, especially in our core U.S. marketing services and products business. During the quarter we increased spending in sales, account management and service delivery to continue our momentum and position Acxiom for strong performance through the balance of the year.”

First Quarter 2012 Highlights:

• Revenue increased by 6.9% in the current quarter ended June 30, 2011 to $288.9 million, compared to $270.4 million for the quarter ended June 30, 2010.
• Income from operations of $22.2 million in the current-year first quarter, compared to income from operations of $22.1 million in the first quarter of the prior year.
• Earnings per diluted share attributable to Acxiom stockholders of $0.13 in the current quarter, compared to earnings per share of $0.12 in the first quarter of fiscal 2011.
• Operating cash flow of $32.8 million, compared to $17.0 million in the first quarter a year ago.
• Free cash flow available to equity of $9.6 million, compared to negative $6.3 million in the first quarter a year ago. Free cash flow available to equity is a non-GAAP financial measure; a reconciliation to the comparable GAAP measure, operating cash flow, is attached to this news release.

Operational Highlights:

• Information Services: Revenue for the quarter ended June 30, 2011 was $225.6 million, up 7.1%, compared to $210.7 million for the quarter ended June 30, 2010. Income from operations for the current first quarter was $20.2 million, down 3.4% compared to $20.9 million in the prior-year first quarter.
• Information Products: Revenue for the quarter increased 6.0% to $63.3 million, compared with $59.7 million in the first quarter a year ago. Income from operations for the quarter was $2.3 million, compared to $1.1 million in the first quarter of the previous year.
• Debt prepayment: The company prepaid $25 million of its term loan due March 15, 2015 in the current quarter. Subsequent to the end of the June 30, 2011 quarter, the company prepaid an additional $75 million of the term loan.
• Middle East and North Africa (MENA) disposal: Subsequent to the end of the June 30, 2011 quarter, the company disposed of its ownership interest in MENA.

Web Link to Financials

You may link to http://www.acxiom.com/FY12_Q1_Financials for the detailed financial information we typically attach to our earnings releases.

About Acxiom

Acxiom is a recognized leader in marketing services and technology that enable marketers to successfully manage audiences, personalize consumer experiences and create profitable customer relationships. Our superior industry-focused, consultative approach combines consumer data and analytics, databases, data integration and consulting solutions for personalized, multichannel marketing strategies. Acxiom leverages over 40 years of experience in data management to deliver high-performance, highly secure, reliable information management services. Founded in 1969, Acxiom is headquartered in Little Rock, Arkansas, USA, and serves clients around the world from locations in the United States, Europe, Asia-Pacific, and South America. For more information about Acxiom, visit Acxiom.com.

Forward Looking Statements

This release and today’s conference call may contain forward-looking statements including, without limitation, statements regarding our expectation for strong performance for the balance of the year. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially. The following are factors, among others, that could cause actual results to differ materially from these forward-looking statements: the possibility that certain contracts may not generate the anticipated revenue or profitability or may not be closed within the anticipated time frames; the possibility that significant customers may experience extreme, severe economic difficulty or otherwise reduce the amount of business they do with us; the possibility that we will not successfully complete customer contract requirements on time or meet the service levels specified in the contracts, which may result in contract penalties or lost revenue; the possibility that data suppliers might withdraw data from us, leading to our inability to provide certain products and services to our clients, which could lead to decreases in our operating results; the possibility that we may not be able to attract, retain or motivate qualified technical, sales and leadership associates, or that we may lose key associates; the possibility that we may be unable to quickly and seamlessly integrate a new chief executive officer and chief financial officer; the possibility that we will not be able to continue to receive credit upon satisfactory terms and conditions; the possibility that negative changes in economic conditions in general or other conditions might lead to a reduction in demand for our products and services; the possibility that there will be changes in consumer or business information industries and markets that negatively impact the company; the possibility that the historical seasonality of our business may change; the possibility that we will not be able to achieve cost reductions and avoid unanticipated costs; the possibility that the fair value of certain of our assets may not be equal to the carrying value of those assets now or in future time periods; the possibility that changes in accounting pronouncements may occur and may impact these forward-looking statements; the possibility that we may encounter difficulties when entering new markets or industries; the possibility that we could experience loss of data center capacity or interruption of telecommunication links; and other risks and uncertainties, including those detailed from time to time in our periodic reports filed with the Securities and Exchange Commission, including our current reports on Form 8-K, quarterly reports on Form 10-Q and annual reports on Form 10-K, particularly the discussion under the caption “Item 1A, RISK FACTORS” in our Annual Reports on Form 10-K for the year ended March 31, 2011, which was filed with the Securities and Exchange Commission on May 27, 2011.

With respect to the provision of products or services outside our primary base of operations in the United States, all of the above factors apply, along with the difficulty of doing business in numerous sovereign jurisdictions due to differences in scale, competition, culture, laws and regulations.

We undertake no obligation to update the information contained in this press release or any other forward-looking statement.

Acxiom is a registered trademark of Acxiom Corporation.