Acceleware Reports Investment in Canadian Asset-Backed Securities
Calgary, Alberta - May 2, 2007 - Acceleware Corp. (the "Corporation" or "Acceleware") (trading symbol "AXE" TSXV) today reported that approximately $1.45 million of its $7.2 million in cash and cash equivalents is invested in Structured Investment Trust III, Series A ("SIT"). The SIT is administered by Coventree Capital Group Inc. ("Coventree"). At the time of purchase, this asset-backed commercial paper had a credit rating of R-1 High (highest rating available for short-term commercial paper) by Dominion Bond Rating Service ("DBRS").
The Corporation has consistently invested its cash in accordance with its board-approved investment policy, the objectives of which are (in decreasing order of importance) to preserve capital by investing in highly rated instruments, to insure liquidity and to insure adequate returns. All of the Corporation's invested assets are rated R-1 High by DBRS and were selected on the basis of professional advice.
The Corporation is unable to predict how long the current market disruption will continue. It is also unable to determine at this time if the SIT commercial paper that it holds will ultimately be repaid in whole or in part and, if so, when that might occur. However, Acceleware believes it has sufficient cash available to finance its operations during this period of market uncertainty. Further, Acceleware confirms that this event is not disrupting its operations in any way and that management does not anticipate requiring access to the cash invested in SIT for operations until 2008. The Corporation will continue to monitor these events and will update shareholders as appropriate.
Acceleware (TSXV: AXE) develops and markets performance-optimized acceleration products that significantly reduce the run-times of high-performance computing (HPC) applications such as cell-phone design and seismic data processing. By leveraging the base processing power of GPUs (graphics processing units) with proprietary acceleration software, compute-intensive applications can achieve unparalleled performance and speed. Acceleware delivers processing superpower.
Acceleware is developing and selling products for the electromagnetic, energy, biomedical, pharmaceuticals, industrial and military markets. These markets share a common need; as companies continue to push the boundaries of innovation and demand faster product-development cycles for more complex products, the need for accurate and timely computer modeling and testing is steadily increasing. For more information, visit www.acceleware.com.
For further information, contact Norman Tsui, Chief Financial Officer of Acceleware Corp. at +1(403) 444-7778
Charlee Forbrigger, Acceleware Corp.
+1 (403) 249-9099 ext. 287, firstname.lastname@example.org