Modern Technology Cp (MODC)

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Modern Technology Corp Announces 2008 Plan for Shareholder Equity Growth and Dividends

OXFORD, Miss., Jan 17, 2008 /PRNewswire-FirstCall via COMTEX/ -- Modern Technology Corp (Pink Sheets: MODC), a specialized holding company, announced today its plan to increase shareholder equity and create frequent dividends of both cash and stock.

During 2007, the company completed its planned divestiture of all negative cash-flow operations and thereby eliminated the prior levels of required cash to sustain these operations. The company has carefully re-aligned itself to require minimal cash and also position itself to yield maximum cash for its stockholders. For 2008, the company has embarked on a new strategy to achieve its prior stated goals of stockholder equity appreciation and dividends. The new strategy requires a smaller operational footprint and less cash to sustain operations and is anticipated to provide a significantly higher internal rate of return for the company and its stockholders.

The company will purchase 'bad debt' in the form of convertible debentures from various institutional investors. These debt instruments represent assets to the company and future cash-flows from the sales of securities acquired from these convertible debt instruments. The company will also obtain a majority ownership position in the debtor public company in order to execute a 'turn around' strategy and subsequently execute a 'spin off' transaction and retain a minority equity position. This strategy is intended to create a continuously growing asset base for the company as well as cash-flows derived from both the sale of stock obtained from the convertible debentures and the sale of stock retained by the company as part of the spin-off transaction. The company plans to execute two or more such transactions per year. Each transaction may add $1 million to $5 million in asset value to the company's balance sheet. As these convertible debenture assets are liquidated, the cash yield is typically far greater than the value of the convertible debenture itself at 'face value'.

A series of updates and disclosures will be published in the coming days and weeks in order to update stockholders and prospective stockholders on our progress, asset and revenue projections, and new Board and executive appointments.

For more details, please review carefully the details on current holdings, assets, capital structure, and other important disclosures found on the company's web site.

About Modern Technology Corp

Modern Technology Corp is a specialized holding company focusing on the purchase of convertible debt instruments and majority control of public companies for execution of a 'turn-around' strategy and subsequent spin-off. The company builds revenues and asset value through a model of continuous growth-by-acquisition and income derived from the sales of stock obtained from its portfolio of securities. The company's goal is to provide cash and stock dividends derived from its sale of securities and spin-off transactions to its stockholders as frequently as practicable. The most recent disclosures and information on the company can be found at

http://www.pinksheets.com. The company's web address is: http://www.moderntechnologycorp.com.

Safe-Harbor Statement

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties. The company's web-site version of this press release contains various RISK FACTORS (and are incorporated herein by reference) and should be read before any investment decision.

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SOURCE Modern Technology Corp http://www.moderntechnologycorp.com